Get it in writing
The Wheel Estate Cam: Episode 17
By Frank Borges LLosa, Friday, March 26, 2010.
Episode 17: While he still sees mistakes with real estate contracts, Frank LLosa of Frankly Realty says getting it in writing is still preferable to "verbal back and forth" in real estate deals.
"Verbal doesn't work -- it's not binding," he contends, plus there may be more of a "tendency to change things" if it isn't agreed to in writing. LLosa also says he has "seen some really sloppy contract work" by agents. "I think I understand why some lawyers say that Realtors shouldn't be filling out contracts themselves," he says.
Watch past episodes of the Wheel Estate Cam.
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Submitted by Vicki Lloyd on March 27, 2010 - 2:44pm.
I can't believe that a buyer actually countered himself! (LOL- I haven't seen that before.)
I agree that everything needs to be in writing. I recently had one where we went back and forth for a total of 4 counters until we had a final meeting of the minds. At that point, we consolidated all the terms on to one counter offer that both parties signed, then we threw out all the others.
Vicki Lloyd, MBA, e-PRO, ACRE, Realtor
http://LiveLakeForest.com
(949) 457-0281
Submitted by Kevin Dielissen on March 29, 2010 - 4:09pm.
Why is this news? We as Realtors, must get everything in writing! It's job #1 for us to act in a professional, legal, and ethical manner for our clients best interest. Almost all (with a couple of small exceptions) contracts for real estate MUST be in writing. Elementary Real Estate 101! Next breaking news? Breathe...everyday!
Submitted by Tyler Webb on March 29, 2010 - 6:10pm.
Kevin,
The sad news is that many agents do not know or understand your "job #1". And I'm intrigued. What are the exceptions to the Statute of Frauds to which you refer?
Tyler Webb
Associate Broker
Champion Realty
Annapolis, MD
@recrab
www.recrab.com
Submitted by Charles Ritz on March 29, 2010 - 6:53pm.
Actually, they shouldn't have countered before their offer was confirmed. They should have sent an addendum, amendment or simply resent page one of the RPA-CA with the price increase.
How can you counter offer an "agreement" that's not ratified and/or fully executed? The counter has to be a counter to Something ... and if the something has not been agreed upon it's voidible. It would be interesting to accept the counter before the Purchase Contract ... haha
Some agents are just plain silly!
Broker Associate/Realtor
All Nations Realty and Investments
Rancho Cucamonga, CA
Submitted by Frank LLosa on April 8, 2010 - 8:33pm.
Vicki, How funny is that. A buyer saying: "No we won't accept $400,000, how about $405,000?"
Submitted by Frank LLosa on April 8, 2010 - 8:36pm.
Hey Kevin,
Don't think of it as news. Think of it as entertainment and opinion with a possibility of picking up an eventual tip or two. But not always.
Yes we SHOULD always get things in writing, but it amazes me how many veteran agents do not. So I want asking why this is so acceptable?
And I love it when I get the "Honey, I have been in the business longer than you have been alive and... this is what we can do... $xyz"
Frank
Submitted by Frank LLosa on April 8, 2010 - 8:38pm.
Charles, Maybe I didn't explain it correctly. Or maybe it was hard to follow (heck I was spinning around).
The buyer made an offer. Lets say $400,000. The seller countered at $405,000. Instead of the buyer accepting it... they COUNTERED at $407,000.
We were stumped. The buyer was one signature away from being ratified. And instead they countered for more!
Frank
Submitted by Frank LLosa on April 8, 2010 - 8:41pm.
DISCLAIMER: IGNORE ME & THIS IS NOT LEGAL ADVICE
Hey Tyler,
As for the "certain exceptions" that is where things can get interesting. Sure we learn to put things in writing, but there are some cases (don't rely on this, but you can ask your lawyer) where the initial round of offers were put in writing. So both parties saw the main contract. And then subsequently one party agreed verbally to a different price. Both parties agreed verbally on the phone. The judge allowed the contract to stand since the cruz of the contract was in writing. Interesting stuff. But still little ole agents like us, we need to just do it all in writing.
Frank
(Not a lawyer)