Sellers need more than some of the facts — they need all the facts
Q: We had a rude awakening this morning. Our seller’s agent called to say the sale of our home is over. We accepted an offer contingent upon the sale of the buyer’s townhouse. The buyer’s agent representing the buyers led us to believe they had an ironclad transaction and escrow. He conveniently left out that the townhouse sale was contingent upon the selling of an outof-state property. Our listing agent claims we can retain the buyer’s earnest money deposit. Nonetheless, we recognize that properties going back on the market after a failed sale are prone to sell for less. My husband wants to sue the buyer’s agent for malpractice. Why should we have all the loss when the buyer’s agent deliberately excluded facts to induce us to sell to his buyers?
A: Doctors and attorneys have malpractice insurance. Real estate agents and agencies have errors & omissions insurance — also known as E&O. Agents owe everyone a duty of honest and fair dealing at all times. Only a real estate attorney can give you the pros and cons of going after the agent’s E&O insurance, an ethics violation with the California Bureau of Real Estate, or arbitration with one of many Bay Area Realtor associations.
Can you see why a purchase offer contingent upon the sale of a buyer’s property has a bad name? Many buyer’s agents accidentally or purposely mishandle concurrent buying and selling. In all fairness, a good-to-great buyer’s agent has to make excellent decisions and recommendation at all times. Armed with facts, I’ve made a career out of helping clients buy and sell simultaneously in hot and cold markets. Sellers and their representatives must see the buyer’s listing information, and if under contract, the complete file concerning the sale of the buyer’s property. Weak agents got you into this mess. Strong ones will get you out.
Buying or selling real estate? Realtor Pat Kapowich provides turnkey services including relocation, staging, market analysis and strategic planning. 408-245-7700 or Pat@ SiliconValleyBroker.com