We need to stop trying to dumb-down what we do for a living. I
mean it. Are we not in this business to service clients? We are aren't we? I am
and I hope you are as well. So when you hand the client the offer, how do you
know if the terms of this offer are in their best interest? Is price and
whether it is cash versus a loan the only two things you look at? Assuming that
is all you look at and we know that is true 99% of the time then is that really
a professional grade service?
If I can teach a college freshman to do your job as
well as what I have just described, why isn't your salary nothing more than
minimum wage? Are you hearing me?
You can buy a flat-screen TV and get more service than what
I have just described, so why are you getting paid 6%? Why aren't we being paid
like a TV sales clerk? Consumers probably know more about the warranty on a
$600 flat-panel TV than they do the Offer & Acceptance Agreement costing them more than $100,000. Does that make any sense to you? Not to me it doesn't.
When you look at the offer to buy and consider what to
tell your client think LARGE! Think legal review because for most of your
clients this is the largest purchase they will ever make.
Consider these ten points:
1. What
in the offer isn't good for sellers?
2. When
your agent, yes your agent, hands you this written offer on a
pre-printed form do you ever wonder if there are terms in the offer that are
not in your best interest?
3. Most
sellers look first at the price and the then the finance contingencies. But
what else is in the offer that can later be used against you?
4. Which
terms of the offer aren’t in the sellers’ best interest?
5. Which
terms can you delete?
6. If
you delete terms and the buyers walk then what?
7. What
pressure placed on you by a real estate agent is misplaced?
8. What
amount of pressure placed on you is just flat-out wrong?
9. Who
is protecting your legal interests?
10. And
lastly, who isn't?
As a seller you need to know the terms of the offer
aren't going to come back later and encourage litigation. You can't give legal
advice but you can stress the advice that the buyer needs legal advice and that
my friend is a professional service. And maybe this deal stalls and doesn't go
through, but so what if they tell all their friends about what a great real
estate agent you are.
So consider hiring our law firm to assist you with the
sale. Because I realize what you want is some simple formula that I put down on
paper, you follow it and bingo the sale goes through. But if what you do, what
we do, is as simple as a formula why do they need to pay us 6% to do it? Why
aren't we just getting paid $100 as if it were a new car sale? Now do you get
my point? This isn't simple, it never was and never will be and that is why you
get 6% to divide between the four of you. When you ignore the need for a lawyer
you are oversimplifying the real estate business and when we dumb it down
sooner or later the FISBO deal looks like a better way to buy and to sell real
estate.
This area of the law is a mine field – so don’t be the
one who steps on a landmine. Call us, contact the Lombardi Law Firm and ask for
either Steve Lombardi or Katrina Schaefer.
HOW TO CONTACT US
5000 Westown Parkway, Suite 440
West Des Moines, Iowa 50266
Telephone: 515-222-1110
Fax: 515-222-0718
Write to Steve or Katrina
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