Expert: Dottie Worthington - 10/2/2006

Question
Hello!  I apologize in advance for the lengthy email that is to follow, but I -do- want to convey an accurate description of our situation.  

My husband and I have had our home on the market for close to 4 1/2 months.  Throughout the process, the level of service provided by our realtor's office has gone down considerably.  Employee turnover seems to be a problem, and we always have someone new working on the sale of our home.  (Each time, unfortunately, the "someone new" is either uninformed of our needs and intentions, or doesn't feel that we warrant her time.)  

The realtor's office is clearly not working in our best interest.  5 days before the buyers of our home were scheduled to close, we were informed that "Mary Brown" (I don't wish to use the broker's real name) wants us to put the brakes on showing you homes until your financing is in order.  AGAIN, this is 5 days before we would (allegedly)have to move out of our home!

We never agreed upon a definitive close date, only the POSSIBILITY of a close date.  (We had a funeral service to attend out of town, that day.) The only way we knew that we were scheduled for the closing is that we contacted the title company the day before!  We called "Mary Brown"'s office, and were treated as if we were on trial. (The office manager repeatedly alleged that we DEFINITIVELY agreed upon the date of closing, even though we most certainly did NOT.) There was never an apology or even feigned empathy.  Never an attempt to resolve the issue; never an offer to show us any spec homes or lived-in homes so that our family would have a place to live. LONG story short, the broker was getting her commission, but was not at all interested in the well-being of our family.

My husband and I found a spec home we liked with "X" builders.  We listed "Mary Brown" on the contract, even though she had nothing to do with locating the home for us.  We did this because our contract stated that she would charge us 6% on the sale of our existing home, and would credit us 3% on the purchase of our new home.  

The builder told us that "Mary" would be required to sign their contract in person.  The agent from "Mary"'s office identified herself as "Mary" (and signed her name)but was actually just an agent who worked for her.  When we asked the office manager of "Mary"'s office about this, she stated that it was a common business practice to have someone else sign their name for them.  (I am no expert in real estate law or otherwise, but this certainly sounded like forgery to me, which I hoped would void the contract with "X" builders.)

My husband and I wanted "Mary" off of the contract with "X" builders so that we would have a little more money to put down on the new house.  We asked "Mary"'s office if they could just charge us the standard 6% that they charge, without refunding us anything, and were vehemently told 'no,' that they would NOT.

We originally signed with "Bob and Betty Smith" (again, a pseudonym,)who were with Re/Max.  Shortly thereafter,we were solicited by our current broker, "Mary Brown," who was, at that time, with Re/Max as well.  "Mary Brown" said that we needed to contact "Bob and Betty Smith" and tell them that we were no longer interested in selling our home.  THIS way, she said, we could re-list with her, since her agents are much more familiar with our area.  

NOW, "Mary Brown" has been fired by Re/Max for questionable business practices.  Word on the street is that "Mary Brown" is going to lose her license soon, but this is only hearsay.  

We signed our selling agreement with "Re/Max XYZ" with "Mary Brown" listed as the broker.  Since "Ms. Brown" is no longer with Re/Max, is our contract now invalid...? She is now listed as "Mary Brown Properties," but we never signed any contract(s) with such an office...only with "Re/Max XYZ."

We desperately want out of this contract!  Our experience with "Mary Brown"'s office has been disastrous one. If Re/Max deemed "Mary Brown" to be an unethical representative, surely there is some validity to the claim.

Please help.  We are not sure who else to turn to, so that our issues may be resolved.  

Thanks,
Wendy  

Answer
Wow Wendy!
Without reading the contracts you signed it is hard to advise you. I would suggest either asking an attorney what to do, or sitting down with the Broker of record for that office and asking for some kind of release. Unfortunalty in our business there are those who are new and un educated and not in it for the long haul. When someone first suggest you call someone up to "lie" to them about not putting your home up for sale, should have been a clue.
In the future I would ask for references before picking an "expierienced" Realtor, and find out how long they have been at that company. Lots of times the cut rate franchise is just that---- cut rate! If you signed for a lesser fee to sell with a promise to buy new home from that broker, you may be bound to that. It wouldn't matter if the broker sent over one of the agents to sign for them, all deals belong to the broker no matter which agent is handeling them. also that means the broker is also responsible for that agent and their mess-ups, if you get my drift.
Let me know if this helps.
Dottie Worthington
www.worthington-realestate.com