Expert: Connie Wildasinn-Broker,GRI,Realtor® - 12/5/2011

Question
Hi,

My question regards what a reasonable payment would be for a real estate agent to help me write up a counter-offer, based on the details given below.
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I’m the Seller. The State government where I reside is the Purchaser. And the property is raw land. A narrow two-lane road that divided the family property into two pieces years ago is being widened into a divided highway/parkway with a sidewalk.

The State is condemning the property, so the Purchaser is not going to drop out or lose interest, and the Seller is not going to change her mind. The sale seems pretty straightforward and guaranteed to close. So the RE agent shouldn't have to deal with any aspects except the counter-offer and maybe some questions.

The price is not an issue. I believe the offer made is within the range of reasonableness. A neighboring landowner concurred, so there’s no quibbling on pricing. I think it’s fair enough.

THE ISSUE regards an area of the road where there is a blind, 80-degree turn in the road. For obvious safety reasons the State wants to incorporate an “S-curve” in the new design. The new road configuration will allow an area at the north end of the curve and an area at the south end to fall outside of the new, improved road.
(I hope this makes sense.)

The areas outlying the new road are small, but as things stand now according to the Purchase Agreement presented to me, the State would retain their original ownership of the old road. To repeat for clarification, most of the old road will be enveloped by, or folded into the new, much wider road except for two smallish areas at the extreme ends of the 80-degree turn. These outlying areas are not addressed in the Sales Agreement presented by the State.

Were I to sign the Sales Agreement today, the State would own the outlying areas which will end up being road frontage property lying between my land and the new road. It goes without saying that I don't wish to lose any frontage property.

Years ago I was warned by a county government employee to make sure that I didn’t inadvertently turn over frontage property whenever the road was widened. His neighbor had lost some frontage in a similar State road deal.

I could write up a simple counter-offer saying that the State would relinquish their ownership of the parts of the old road that extend past the new road, but I would prefer to have some input from a seasoned agent so that I can make sure that every “t” is crossed and every “i” is dotted.

The deal seems pretty straightforward. I am the one and only landowner that’s affected by the S-curve situation. I suspect everyone else was pretty satisfied with the pricing and has probably already signed the paperwork. I’m hoping that may work in my favor in terms of getting this matter settled promptly…. maybe the State won’t make things too difficult.

Can you give me your opinion of what might be a reasonable payment RANGE to compensate an agent or broker for their help with this sale based on the info at hand? Please base it on the area of the country where you are located since that’s what you know best.  The real estate agent that I’m hoping will assist me is a friend of a friend and would probably help me for free, but I want to pay him fairly.  

Thank you so much, Connie. And thank you for being a volunteer!
Roon O'Bannon

Answer
Hi Roon,

Since I have no idea what monies are in play, I'd say it now depends on liability issues for the agent... so you need to see what his broker is looking to charge to cover this issue incase at some later time you decide to sue them for ??? any number of disgruntled issues that could occur.

I know this sound tributary and it is ... the concept presented for the counter is straight forward, you want to retain that portion of land, and as all things real estate you must ask for it or loose it...

So all that said $700-1000 sounds about right, but then I'm here in California and no idea what land goes for your way...

Good luck... wish I could have been more help