Unconditional Release Of Property From Listing Agent???Help!!!
I have found a property in New Jersey that I would like to purchase. The seller contacted me from one of my mailings. I went to look at the house and proceeded to make her an offer that was excepted. The seller then let me know that the house was listed with an agent. I then had her fill out an Unconditional Release of Property form as suggested by John Locke in his book. The real estate firm responed by saying that it is their policy to only grant a conditional relase. They also provided a form for the seller to sign that they say will take the property off the market with a protection provision. This provision states that if the propety is sold before the original listing agreement expires they still get their commision. How can I get the listing agent to release the property with no provisions. The real estate firm had nothing to do with this deal and I don't feel that they deserve any type of commision. Please help if possible.
[addsig]
One issue is when did the seller list the property -- was it before or after you made an offer on it.
Second, the seller may have agreed to a listing contract whereby the seller agreed to pay commission even if the seller produced the buyer. This is called an "exclusive right to sell" contract in PA. If the property was listed before you made an offer on it, the terms of the listing contract signed by the seller with the listing agency control. If the contract was exclusive agency variety, it seems seller is on the commission hook.
Nobody put a gun to the head of the seller. Seller could have negotiated "exclusions" to the "exclusive right to sell." Question is did the seller do that and when did seller list the property.
The seller listed the property before I made the offer. I have a copy of the agreement and there is no mention of any exclusivity. There is however a section that states the seller will refer any prospective buyers to the real estate and that any offers or negotiations will be referd and handeled by them. What do u think. Thanks for your help.
Somewhere in the listing contract should be a specific provision relating to payment of broker's fee in connection with any transfer or conveyance of ownership interest in the property during the term of the listing contract.
If the property is listed at a reasonable price and the agent believes that he can sell it at that price before the auction, Asking him to do an unconditional release is the same as asking him to throw away five thousand dollars. (Or what ever his comission would be.) If somebody came to you and said please sign this paper and agree not to make $5000 next month, would you do it?
Talk to the agent and negotiate some payoff to release the property. $500 to 1% is fair in my opinion.