<img height="1" width="1" style="display:none" src="https://www.facebook.com/tr?id=294326554740919&ev=PageView&noscript=1" /> Good Karma… - Wilson Sisters

Good Karma…

04 July 2012
Wilson Sisters

Last year, we were working with a client, having shown her multiple properties, who ended up unfortunately going around us, contacting and dealing directly with a listing agent on a property that we had sent to her, putting in an offer and purchasing it without letting us know until afterward. It stung for sure, and we were really disappointed that someone with whom we’d developed a relationship, and spent a great deal of time, would do something like that, but in the end we had to accept that it was our own fault for not insisting that she sign the Buyer Agency Agreement and commit to us upfront. We were also pretty struck by the fact that an agent, who knew that we were working with this client, would knowingly encourage her to cut us out of a transaction. It left a pretty sour taste in our mouth, and for a while we felt a little jaded about the state of our industry.

This weekend though, we had the opportunity to demonstrate just how we think business should be done. A prospective buyer called us and asked us to represent him on the purchase of a condo that he had already seen through the listing agent. He was a first-timer, and being inexperienced in the process, he started his search on Realtor.ca instead of finding himself representation from the start. After having seen the condo, and discussing and receiving, but not signing the paperwork for an offer from the listing agent, he was advised by someone that he should have his own agent to represent his interests. So he called us. Once we determined that he hadn’t signed a Buyer Agency Agreement with anyone, and it was agreed that we’d go see the condo and then possibly prepare an offer on his behalf, he called the listing agent to advise her that he decided to find his own representation. As you can imagine, she was extremely upset at having “wasted” her time and very disappointed that she was not going to be compensated for the efforts she had put in on his behalf, and she advised him that her client was also less than thrilled with this development. He felt terrible and was also concerned about the negotiations and called us for advice on how to handle the situation.

We called the listing agent with the intention of smoothing things over. Thing is, we know how she was feeling. We’ve been there. It sucks. She was pretty upset and let me know it, but my sister and I did what we wish many in our industry would do- we offered her a referral fee should this client purchase this property, a pretty standard 25% and told her that we think that if more Realtors treated each other that way, our business would be a lot more fun. It took the anger out of the transaction, got rid of hard feelings, and it was also what was best for our client, as afterward, the listing agent, and assumably the seller, would harber less ill-will toward us and our client and have a good reason to want to negotiate this deal. And that we did. Everyone came away happy and our client is quickly moving into his first, and awesome pad.

All’s well that ends well.

Lesson?

Realtors, please don’t be greedy. Do the right thing by each other. There’s enough business to go around for those of us who work hard and do the right thing.

Buyers, start and end your search with an agent you trust. Find someone at the beginning and sign with them. You may not realize it, but we are spending a lot of time working on your behalf. Our time is valuable and we don’t get compensated for it when you don’t allow us to finish the job we start.