Angry Realtors Are Emailing Me

[GeoffGreen 0]

Geoff, I don't negotiate with buyers or sellers so I don't think I should start with realtors. So how about this:

 

If you ("you" being the realtor in question not YOU personally) have a listing that you want me to buy on a RTO then I'll pay you 1 month's rent upfront. Anything beyond that you have to negotiate with the seller.

 

Oh yes and "Take it or leave it."

 

 

Doug,

When acting as a realtor I would never want you to buy on a RTO if the owner wants to sell the property outright. I would present a RTO offer and it would be up to the owner to decide how to react.

Geoff

[Doug Pretorius (ON) 9]

Sounds good to me. I know that when presented in an unbiased way sellers will accept my offer often enough to make me a very happy investor. Unfortunately most realtors think they're doing the seller a favor by rejecting an RTO offer for them. The thing they forget (because it's not their money going down the toilet) is that paying for a vacant house SUCKS! It doesn't matter if originally they wanted to sell it outright, it doesn't take many mortgage, tax, insurance and utility bills on two houses before 99% of sellers would consider ANY offer.

 

So in light of that, for years I've tried to figure out a way to break through the Realtor-resistence. I know it's not an issue with the sellers. Given the opportunity many sellers would accept a RTO offer. The problem is how to get past the razorwire, landmine, and pitbull defences the realtors throw up.

 

I've had good success with signing pure options with realtors involved, but I'm still trying to figure out how to translate that to the RTO market.

[GeoffGreen 0]

Sounds good to me. I know that when presented in an unbiased way sellers will accept my offer often enough to make me a very happy investor. Unfortunately most realtors think they're doing the seller a favor by rejecting an RTO offer for them. The thing they forget (because it's not their money going down the toilet) is that paying for a vacant house SUCKS! It doesn't matter if originally they wanted to sell it outright, it doesn't take many mortgage, tax, insurance and utility bills on two houses before 99% of sellers would consider ANY offer.

 

So in light of that, for years I've tried to figure out a way to break through the Realtor-resistence. I know it's not an issue with the sellers. Given the opportunity many sellers would accept a RTO offer. The problem is how to get past the razorwire, landmine, and pitbull defences the realtors throw up.

 

I've had good success with signing pure options with realtors involved, but I'm still trying to figure out how to translate that to the RTO market.

 

Doug,

Not sure of the rules where you are but Realtors are for the most part breaking the law (not to mention being unethical) by refusing to present offers to owners. Yes, yes I know it happens but it is not their position to reject ANY offer, regardless of the terms. If you suspect foul play maybe you could mail a copy of the offer to the owner as a follow up?

Geoff

[Doug Pretorius (ON) 9]

Geoff, I'm not convinced that pressing the issue or going around the agent to ensure the offer is seen by the seller would do much good. If the Realtor uses all their salesmanship to convince the seller that my offer is bad for them (which is what the few realtors who did present my offers did) it's not going to make any difference.

 

I need a way to get the Realtors on board so that they will at least present the offer in an unbiased light. I would be perfectly happy if my offer was presented as Plan B. If the sale doesn't happen in the time the seller needs, then they have my offer to fall back on.

 

As I mentioned in another post, I'm willing to make a Realtor's listing available to the qualified buyers my marketing brings in, in exchange for my offer being presented as a VIABLE back-up if a cash sale doesn't happen.

[MichaelC 160]

Doug, have you considered being present when the Realtor presents your offer to the homeowner?

[Doug Pretorius (ON) 9]

Michael, I've thought about it but haven't tried it. How exactly would I go about it?

 

I know I would have to look at the house first because the realtors around here don't like sight-unseen offers. Would I then at the viewing tell the realtor that I want to make an offer and I want to be present in person when it's presented?

 

Should I discuss the offer with the realtor prior to the presentation so that they understand there's no pressure, the seller does NOT have to decide on the spot, it's simply a back-up offer in case the traditional sale they're looking for doesn't happen? Or should I leave that until the presentation so neither the seller nor the realtor know what the offer will look like?

[MichaelC 160]

I know I would have to look at the house first because the realtors around here don't like sight-unseen offers. Would I then at the viewing tell the realtor that I want to make an offer and I want to be present in person when it's presented?

The Realtor may not like sight-unseen offers, but their approval isn't required. You'll probably need to give an explanation to some extent of who you are and how you work. But for the most part, any investor friendly Realtor, or any Realtor who has been in business even just a short while, should be able to understand why you want to be present when the offer is presented to the homeowner.

Should I discuss the offer with the realtor prior to the presentation so that they understand there's no pressure, the seller does NOT have to decide on the spot, it's simply a back-up offer in case the traditional sale they're looking for doesn't happen? Or should I leave that until the presentation so neither the seller nor the realtor know what the offer will look like?

Any offer I make, Doug, is with a 24 hour expiration. So while the homeowner doesn't need to decide immediately, they're not shopping my offer around or using me as a safety valve. The offer is legit, this is serious business, and they have to realize this and make a decision.

Michael, I've thought about it but haven't tried it. How exactly would I go about it?

Include in your offer your right to be in attendance when the offer is presented.

[Doug Pretorius (ON) 9]

Any offer I make, Doug, is with a 24 hour expiration. So while the homeowner doesn't need to decide immediately, they're not shopping my offer around or using me as a safety valve. The offer is legit, this is serious business, and they have to realize this and make a decision.

Good point, I was thinking that I would leave it open so the seller can in fact use me as a "safety value". But I don't let buyers get away with that so I should know better not to let sellers get away with it either. Thanks for the reminder.

 

Include in your offer your right to be in attendance when the offer is presented.

Will do.

 

Is there anything I can do about the probability that the realtor will try to talk the seller out of it the minute I walk out the door?

[Jason (AL) 1]

Is there anything I can do about the probability that the realtor will try to talk the seller out of it the minute I walk out the door?

 

 

As you're walking out the door, give 'em your best "I'll kick your mutha f'n arse if you screw this up" look.

 

Think Robert DeNiro , Joe Pesci and/or Al Pacino.

 

Works every time.

[MichaelC 160]

. . .Is there anything I can do about the probability that the realtor will try to talk the seller out of it the minute I walk out the door?

[Doug Pretorius (ON) 9]

While not as elegant or enjoyable as either of your suggestions, how about this:

 

I could hire the listing agent as my agent as well, thus turning them into a dual-agent and creating a conflict of interest. At the very least they would be equally liable to represent my interests. At best they would keep their mouth shut and let the seller decide on their own.