"Did you get the contract signed by your seller?” The offer expired yesterday!
"Why won’t your buyer sign the document?” We need it now for short sale approval!
"Your seller did not sign the earnest money release!” We’ll go to court.
Guess what? You cannot make your buyer or seller DO anything. You can relay a message. You can make a suggestion. You can advise they speak to an attorney. But you cannot MAKE them do anything.
This week I had two unfortunate calls from other brokers. One stated his buyer would go to court and it would be "ugly” if my seller does not sign a release of contract. The other broker called one of my agents and threatened that if our buyer didn’t sign a document, he would be in violation of the contract.
Well, you know what? That is not my decision nor your decision to make. That’s the buyer’s or seller’s decision. They can choose not to sign, they can choose not to respond by deadlines and they can choose to take no action. All you can do is tell them what the deadlines are (that they should be able to read on their own) or relay a request. Sure, you can relay a threat, too.
All too often I see agents act like attorneys. I see them get emotional and insert themselves into contracts. They are treading on dangerous territory. The Realtor Code of Ethics states we cannot practice law.
Article 13 Realtors® shall not engage in activities that constitute the unauthorized practice of law and shall recommend that legal counsel be obtained when the interest of any party to the transaction requires it.
So, skip the strong arms tactics. We all wish our sellers and buyers would comply with contracts and deadlines. Sometimes they don’t. Leave the deciding to the client.
It's Wendy!
Wendy Rulnick, Broker, Rulnick Realty, Inc.
Call toll-free 1-877-ITS-WNDY (1-877-487-9639) or local 850-650-7883 ext 204
Email Wendy: itswendy@rulnickrealty.com
Destin Short Sales & Pre Foreclosure Help.
Read Wendy's Destin Real Estate Blog
Wendy is a short sale and pre-foreclosure specialist and has been featured in "Kiplinger Personal Finance Magazine" and "Florida Realtor Magazine". Call Wendy Rulnick, Broker/Owner,to list and sell your home or condo on the Emerald Coast of Florida in Walton, Okaloosa and Santa Rosa County- Destin, Santa Rosa Beach, Fort Walton Beach, Niceville, Bluewater Bay, Navarre, Seagrove Beach, Watercolor, Sandestin, Seaside, Crestview, Rosemary Beach, Mary Esther, Shalimar, Eglin AFB, Hurlburt Field.
If this isn't the truth. We can convey information, give our opinions, send them for legal advice but it all becomes a matter of choice.
I recently had a listing where the seller was annoyed with me that I couldn't keep the buyers engaged. I tried to explain that I was representing them, the sellers, and that the buyers had their own agent--who is the only one I was speaking with, not the buyers. They could not get it through their heads that "it's the price, stupid".
Another seller wanted me to literally strong arm potential buyers as they came through the home.
And then there was a thread on LinkedIn asking if people felt Realtors earn their commissions... How could they possibly know unless they did this themselves?
I agree. It's not easy for agents to accept but it is the Buyer and Seller's decision. It requires a lot of patience to explain this to the other agent when your client is the one not signing, and reversely explaining it to your own client when the other will not sign. Margaret C.
Hi Wendy, I am so happy you posted this. There is an old saying "Don't shoot the messenger". Great post.
It is sometimes difficult for other agents to leave emotions out of the deal. Especially in times where they are mentally spending their paycheck as soon as the offer is accepted! But in the end, we can advise of deadlines and contingencies, but you are right that the client decides what they do or do not wish to sign.
Wendy, so true. We are merely the messengers, and sometimes, that is all we can do, and relay the intel when we get it. Thanks for posting.
Threats of court or lawsuits may compel a Broker to recommend that Seller / Buyer contact an Attorney.
Threats such as "it will get ugly" may suggest contacting the Police.
Particularly in this day and age, when consumers (and that inculdes all of us) are so empowered by technology. The greatest service we give to all of our clients is the dignity of letting them make their own decisions. Hopefully it's an informed one.
Sometimes it better to give the buyers or sellers more time to work things out in a mutual manner. When someone calls and threatens a lawsuit, the deal is pretty much going to blow up and there is no chance of salvaging it.
Im always amazed by the lack of prefessionalism and ethics in our industry by some agents.
Wendy,
You can ask a closing question so carefully worded they have to agree!
Ask a closing question and shut up! The next one that speaks losses!
You can be a salesman!
Bill
Hi Wendy, Very well said. Not only do some agents hijack the transaction they also rely on the old " My way or else ! " theory.
Threatening is counter productive to everything. To protect ourselves we should privide advise to our clients via email in addition to telephone or personal contact
Bill Archambault - Those few words can be key!
Wendy - we all get these calls, and perhaps have even made a few nag calls ourselves in an attempt to keep things moving along. Even when trying to get an offer signed, or responded to. The other party often wants to know WHY so and so won't do smoething. Some people are sorta like cats, sometimes - they do what they want when they want and seem not to care much about consequences.
Wendy:
I have seen so many multiple personalities develop in real estate agents, sellers, & buyers. It seems that this market has brought the best and the worst out in the buying public, real estate agents, and sellers, from one day they like you to the next day they are unhappy with their agent to the degree that they start using abusive behavior.
My favorite is when the buyer and the buyer's agent threaten me and my seller on a short sale. They somehow beleive that this is going to magically get their short sale approved by the bank negotiator. It never works, but it surely makes everyone tense over things we cannot control.
You are so right, Wendy. I have had a buyers EMD sitting for months now. I guess it will sit forever because the sellers won't sign and my buyer doesn't want to go to small claims court.
(((sigh)))
Wendy, Amen Sister! I have seen more "threats" lately from other agents and Brokers than ever before. It IS frustrating when we can't control our clients...there is always one in the crowd. It's our job to educate them on the law but we can't force them to do anything. Sadly!
Wendy, Amen Sister! I have seen more "threats" lately from other agents and Brokers than ever before. It IS frustrating when we can't control our clients...there is always one in the crowd. It's our job to educate them on the law but we can't force them to do anything. Sadly!
Wendy, I get so mad when agents say they sell homes. They assist in selling the home and market it of course, but the buyer and seller control the outcome.
You are so right. We can not force a client to do anything. We can point out the ramifications of not doing something but then it is up to them to decide what the next move is.
Amen! We are just baby sitters to larger babies some of the time!
We can only educate, inform, encourage and enlighten. We cannot employ force to make anyone do what we think they should do.
All of the above - well said! Sometimes, we can't even stop them from continuing to look after they are in escrow! All we can do is advise them of the consequences of their actions. If they decide to throw away their EMD, it is their decision. Frustrating, though.
Generally I have a canned response for any 'request' that starts with "You need to make your client..."
It isn't really nice.
I so agree about this but disclose the impact their behavior can make on the outcome... plant the seed nd and see if they will take action on the issue in hand
Sometimes we need to remember that we are not the ones who face the consequences of their actions- it really is their deal and their consequences - good post
I had a buyer that was really causing more problems for themselves. They were endangering their escrow money - but I couldn't get them to get moving on anything. Unfortunately, the listing agent was one of those that was sitting on top of the buyer's agent (me) the second we were in escrow demanding a commitment letter instantly.
But much of this was wasted energy - you can't make a buyer do anything. Many realize that no one wants to put a property back on the market in this market and us it as license to take their sweet time with getting things done. Sadly this is exacerbated by the fact that the banks are asking for the moon and the stars and most buyers are exhuasted by the process no matter how seriously they take it.
On another deal I was was on the listing side when the buyer's simply disappeared. Turns out they went on a 6 week vacation to China without completing their loan documentation. Trouble was, I couldn't extract that information out of the listing agent until they were into their trip for three weeks. He kept saying they would be back in a "few days." When I found out - I hit the roof. But tht didn't mean that I could "make them" come home.
If they decide to wait, we wait.
Wendy: I hear where you're coming from here. Sometimes I wonder if these agents even read the code of ethics.
Hi Wendy -- We have to remember we are agents for the principals, and we would be well served to remember this -- you hit the nail on the head!
This post goes right along with "Well, I WOULD NEVER LET MY BUYER/SELLER DO THAT!" I have seen this type of phrase often expressed by our members here in the rain. It is not our transaction... the BUYER and SELLER are the ones to make a decision... agents are not suppposed to put up roadblocks...
Agents that do this are only looking out after themselves and their commission.
Wendy,
What they are really saying is, "Am I going to be paid or what?'
Wendy,
Further to that. We are in the business of calming people. Lots have buyers blues and it's our duty to put their fears to bed.
Wendy,
Great Post its so difficult to deal with sellers especially when its a short sale.
Victor
Wendy,
Very well said. Also I am amazed when an agent says I will or will not let my client do a certain thing.
We give advice and opinion we do not make or let.
Wendy. So true. And very annoying. I have a seller right now who will not sign the deposit release. And rightfully so. The BA keeps sending me emails blaming the sellers for taking it out on the buyers and blah blah blah. What she hasn't sent me is the mortgage denial letter. Go figure.
I find this with a lot of agents in NJ. But over the years, I've learned to keep my mouth shut and let the other agent rant. Sometimes they know better, but not too often!
Amen! I think that perhaps sometimes these agents are just desperate for a closing and will do whatever they can to "make" it happen.
The more experience an agent has with actual closed transactions, the more trust the consumer will have in our advice.
We can't MAKE them do things, but if they trust us, they will listen.
BRAVO, You can only advise them but not force the horse drink the water.
Claudette - I might borrow your comment as my canned response.
Lane - I'd love to hear your canned response!
In these situations you just need to keep your cool. There are many agents that make themselves look silly with their bravado and threats.
Wendy, this is so true. Our job is to educate and advise our clients. Idle threats from other agents doesn't hold much water.
Wendy - very insightful post. When my clients delay response, I send an email or fax to the other Realtor that the request was sent to our client and due to our client's scheduling constraints or lack of access to technology more time is needed.
Early communication with the other Realtor will often quell their frustration and the pressure they are receiving from their client. Otherwise they think we and our clients are arrogantly ignoring them and dismissing the value of their time.
I know that some agents are really, really focused on commission. It is vital to stay focused on not using strong arm tactics; they'll come back to you in the end.
We are here to help advise our clients to make good sound decisions, but ultimately it comes down to them. It's a safe bet to let them make the actual decision and document it!
So true, so true. I am constantly telling clients that I cannot make anyone to anything. I am simply the middle man. Based on my experience I can tell them some of the consequences of such decisions but I cannot and will not make a decision for them. Too often I see agents acting like bullies. Not only does that tactic not work, it's usually counter productive. Thanks for the post.
Wendy...
Oh please. I have guns and know exactly when to use them :)
TLW...ROAR!
Hi Wendy...Perhaps for some it's a power thing. They try to sound as if they are the decision makers. We are advisors. The buyers and sellers make the final decision. I'd hate to think someone bought or sold a home because I told them to.
Kate
Can I copy this and send this the the BUYER who called me (I represent the seller) to threaten me I'd better MAKE my seller sign something.
Um, no. I cannot do that. Sorry. He'll sign if and when he chooses.
Hi Wendy... I hate when agents threaten agents. There simply is not a good enough reason to have to do it... no matter how much it might make someone feel good (and less helpless) to do it.
Wendy, we can’t make anybody do anything … it’s unfortunate that some agents treat transactions as if they were their own. I like your reference to the Realtor Code of Ethics … what about all the agents who are not Realtors?