Expert: Dottie Worthington - 9/8/2007

Question
After 3-4 offers and counter offers, the seller accepted our offer.  Their agent gave a verbal acceptance and asked for and received option money.  Earnest money check was delivered to title company waiting only on signed contract.  We were told that the wife signed the contract and were only waiting on husband to return from out of town to sign and that contract would be faxed next day.  Then seller discovered another interested buyer and instructed his agent to tell them he was about to sign a "low ball" offer and challenged both parties to a "bidding war".  Needless to say we did not "win".  I realize we never saw / had the signed contract but we did have a verbal acceptance from the agent.  It seems super unethical to me,  is it illegal?

Answer
Wow! That is very frustrating. Your agent should not have taken a contract tot he Title company until all parties signed, but in some states, if the sellers agent says "done deal" then it is accepted. Check out the state laws, and the local REALTOR ethics challenges!