We've been working with a realtor since July, house hunting, and using his referrals for contractors to get our house ready for sale. We have a pending purchase on a house and have decided to rent our current house out, rather than to sell it. Things have been humming along, but earlier this week we discovered that our realtor, without getting our permission, told the sellers' lawyer that we'd totally remove the Contingency (our offer is contingent on either selling OR renting our house) from our purchase agreement, and he also moved our closing date (meaning, he actually amended the contract that my husband had signed and changed the date) to 1 month sooner than we said we could close.
So, yeah, we're pretty upset about that.
Now, in the meantime, I placed my own rental ad online, and have some serious prospects for tenants. The Realtor came today with a photographer to do the photographs for his company's MLS ad. If we have them list it on MLS we will have to give them 1 month's worth rent--$2500.; whereas, I advertised on free websites, used my iPhone pictures, and probably have already found a tenant.
He is making a large amount on our purchase, and his forgery of the purchase document is infuriating, so why do I feel guilty if we DON'T list with him?
Added: In January we purchased a rental home which I found online, but we had him represent us, so he did make a few $ thousand already.
Haha, Julie, probably a very good call on the Catholic guilt ;-)
No, he didn't even discuss it with us before telling their lawyer that we'd remove the contingency. Ultimately, we did get approval from our mortgage company to proceed without a sale contingency, but he didn't ask us first. And he made the change last Friday, but we didn't find out about it until Monday.
Ok, I feel much better about walking away from him, other than to finish off the purchase.
ETA: I don't know if his motivations were bad, but his actions certainly were. I can only assume that he didn't want to risk losing the sale--he stands to make well over $15k off the purchase.
You feel guilty because you are Catholic. :) At least that is what I blame all my irrational guilt on.
You are being kind not suing him! Don't give him 2,500 for breaking the law. Stick to your guns. Maybe he will get the idea you shouldn't do stuff behind his client's back.
Katie,
You feel guilty, because unlike your Realtor - you have ethics, morals and integrity....
I would fire happy little butt on the spot and report it to the Real Estate licensing board...I wonder how many other people he screwed over that didn't say anything...
Say NO. Repeat after me - NO. We are NOT putting our home in your MLS listing. Let's say it again...NO. You do NOT have our permission to list our home in your MLS...
You can do this, girlfriend!! YOU GOT IT!!!
I would consider reporting him to your state's department of real estate (licensing board for realtors). Altering a contract that you signed, that binds you, without your knowledge and consent, is a huge problem. Unacceptable.
I would step away from him. If he forged something the contract is not valid.
Do not feel any obligation whatsoever to have him help you rent out your current home. Don't bother bringing up the changes he made to the purchase contract - simply tell him you cannot afford to spend the extra $2500 in fees when you feel that you're capable of finding a tenant on your own. Obviously, he won't like it because it means less money for him, but you are free to do what you want and are better off doing it on your own.
As for changing the terms of your purchase, you could probably win a lawsuit if it came to that, as long as you have a copy of the original agreement that you signed. Why did he remove the contingency? What was his reason for moving the closing date (aside from wanting to get paid sooner, of course)?
I would be livid about him changing your contract especially without letting you know ahead of time and I would let it be known.
As for the rental, you can rent it yourself but I strongly suggest you get background and credit checks on any potential tenant. People that have nothing to hide wont mind at all. I use this website for my leases and recently they added background and credit checks via their site.
Wow. He would no longer be my realtor. After that stunt with the changing of the contract, he should no longer be 'a' realtor. I can't imagine that what he did is legal.
Tell him you don't need him to list your rental. And he's lucky you're not reporting him for his misdeeds. I'm curious as to why he did what he did. What could possibly have been going through his mind?
Also... if he works with any of the larger realty firms I would not hesitate to report him to that company. He is not representing them well at all.
Be sure when you part ways that you let HIM know why as well. Isn't it simply illegal if he altered a document that you had already signed? And add when you part ways that you will be sure to let friends and neighbors who are house-hunting know that they should avoid him.
Did he not discuss these changes with you first? If not, that is wrong. Unless your contract with him indicates that should you decide to rent the property, he would have that representation, then he should not have stepped into that at all. I would let him know that at this time you do not need his help renting the house.
Just a bit of advice just in case, when you do get someone interested in renting, make sure you totally check them out. Credit check, income, job, previous landlord, etc. We have rented and had some disasters.
I guess I'd tell him you'll be renting your property on your own and that you don't need his help. If he gets nasty about it, tell him you didn't appreciate his amending your contract without a signature, and if he continues to be nasty you'll do something about that. Hopefully that will shut him up.
You're not beholden to the unauthorized changes, so just use your voice and say NO. Then fire him, assuming you didn't sign a long term contract. If you've been working with him since July, I'd expect it to be expired now.
