Wanted to share a very recent experience ( a few days ago) with an unscrupulous listing broker.
A 2 family HUD home was listed by this agent who's office happened to be about an hour from the property and in a different county. The property showed active on the HUD website but showed "under deposit" on the mls ( / realtor.com). My agent who is very experienced with HUD properties contacted the listing broker who never returned his call. So my agent contacted the HUD office since he has worked with them on numerous occasions. Looks like HUD contacted the listing agent, then all of the sudden, the status of the property on the mls was changed to "active".
My agent believes that the listing agent might have had a client he was trying to hold the property for. So by showing the property as active, no one would show any interest. Also, the property taxes were exaggerated on the listing and finally, the listing agent noted in the description that the city had changed the zoning of the property from a 2 family to a single family ( asking - or scaring- buyers to do their due diligence).
Needless to say, all that didnt scare me and I just got the property under contract. Im curious to see if anyone has had similar experiences?
@Victor N. yes, especially not returning calls.
@Victor N. all you can do is what you did. Be thorough, persistent and professional. I think most of the time, it's just poor work ethic, sloppiness and a lack of professionalism. Sometimes you give these characters more credit than they deserve when you think they are executing some scheme to outwit potential buyers. Not to say that doesn't happen, because it does. I just find that there are a lot of people who can make a living doing jobs that they aren't very professional about doing.
@Robert Leonard yes, I am a skeptic and a pessimist, but there have been too many cases of status changes within a week of not getting a response, then finding the offer was submitted after the calls that were not returned. REOs, HUDs and Fannie Maes don't bring much commission, so getting both sides of the commission has to appeal to an agent. Maybe even enough to tempt them into cheating. Some people find the most simplistic excuses to do wrong if it benefits themselves.
Yep. My mother (aka business partner) actually created a folder called, "Karin vs. all real estate agents everywhere" to keep track of correspondence because I've run into so much of this kind of thing. And I consider myself a pretty peaceful, non-confrontational person ... unless you get unethical. Oh, and btw, Mom's a broker and I'm an agent.
My "best" one lately: we had an offer accepted on an REO, and during my due diligence, I discovered that the leeching fields were located on an adjacent property. The agent promptly started ignoring me; they did return our security deposit, and one day later the listing was suddenly dropped and then picked up by another agency. I called the new listing agent, who hung up on me so as not to hear the story. So we sent in the leeching field info via an online feedback form. It was still never disclosed on the listing, even after that. The price dropped in a hurry, and the property is currently listed as under deposit. Stay tuned.
And, like @Walt Payne mentioned, I have the ones who don't return calls as well. I just re-submitted an offer today for another investor, whose previous offer went ignored for a month.
The good news: it's stuff like this that weeds out the wannabes! Some people can't take the abuse, or the time it takes to wade through this bologna day in and day out in search of the good ones, whether it's agents or contractors. So keep fighting the good fight!
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