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efete1

non-exclusive agreements

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Hi all

Hope everyone had a great holiday season!

I have an owner (probably an investor) who has a few rental properties. He is open to my helping him to get his house leased and sold (I was offering a CA). He doesn't want to do an exclusive contract with me as he has had problems before with realtors doing this, etc. He gave me all the info I need to do some research.

How can I protect myself so that I get something out of the deal and don't waste my time, or is that impossible? Do I still have him sign the agreements ahead of time ( I was going to do that anyway) and/or do I modify it somehow? Is there a way to ask some kind of compensation for my time if I don't find someone for his house before he does?

Any thoughts/advice would be appreciated. Thanks!

 

Eric

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He doesn't want to do an exclusive contract with me as he has had problems before with realtors doing this
My response is: "I am not a real estate broker/agent and I can place a tenant/buyer in weeks not months. I also charge no commissions or fees to you." If the seller has someone that wants to see the house, tell the seller to send them to you and you would be glad to show it and sell it to any potential buyer (under the umbrella of your agreement of course).

 

I'm not a big fan of non-exclusive, only because the advantages we offer are far greater; but if the deal is worth it, I would think it is only fair to be compensated for releasing the seller from your agreement.

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Eric, what Steve said. No one works for free. Why should he expect you to? If he wants the right to cancel, there needs to be some written agreement stating that you are to be paid the agreed to amount if he does, in fact, cancel. It's only fair.

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Eric,

I agree with Steve, however if you still want to move forward with the non-exclusive agreement, here's the clause I've used on hundreds of mine. I've never been screwed if I did my job. Truth is, if you're not doing your job then you deserve to have the rug pulled out from under you.

Hope this "example only" helps.

Adam

PS Make sure YOU have YOUR sign in the front yard too if at all possible.

PPS Notice how if the seller acts up this "non-exclusive" agreement becomes "exclusive".

 

P. NON-EXCLUSIVE:

If Seller should sell, lease or assign their interest of the property secured by this option during the Option term to any other person or party that is not directly linked or in relation to YOUR NAME (Optionee), this contract shall become void upon written proof of that transaction therefore relieving the seller

, SELLER (Optionor) from any further involvement of this contract. If said property is sold, leased or assigned by seller to anyone directly related, or brought forth by Optionee or Optionee’s efforts in securing their own interest in this transaction, such person shall be furnished with the copies of this Agreement and shall agree in writing to be fully bound by the terms with regard to the Buyer’s rights under this Agreement therefore making this agreement fully exclusive on the Optionee’s behalf.

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Eric can you help out with Non Exslusive verbage on a LO if the property is already listed with a realtor?

 

How would you word you LO aggreement?

 

thanks

THomas Martin

911loan@gmail.com

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The funny thing is that motivated sellers usually say something like: "I don't want you to waste your time." and then they proceed to sign an EXCLUSIVE contract. However, I've enjoyed quite a bit of success getting properties under a non-exclusive agreement and using them for marketing purposes. Just make sure you don't spend any money on them, use free advertising avenues, and don't forget to collect all those phone numbers and email addresses for future use. That way it doesn't really matter whether you sell the house or not, you benefit either way.

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I have done some non exclusive deals here lately. I have been burnt from "investors" on the last 3 homes. If I am dealing with your average joe the homeowner it is no problem. But when I sign deals with investors, I think there just using me to see if I could possibly get a lease purchase for them, meanwhile they found a renter before I found someone to do a lease purchase. So that stinks, but its the nature of the business. You win some and lose some. If I hear this from the seller" Yea, I have several properties....." then typically I am not going to waste my time. Our focus should be on the typical seller. Thats my 2 cents.

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I agree. The bulk of our business typically comes from the average homeowner. The guy and gal who buy maybe three houses in their lifetimes. Dealing with other investors is often not a good idea. Let's face it. They're not in this business for you to make a buck.

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