The moral dilemmas of buying a house.

Dowski
Dowski's picture
Posts: 23
Joined: 2009-09-19
Dad Points: 35

Not specifically a Dad questions but just looking for some advice really.

Myself and my Wife are soon to be in  a position to buy a house.  We've found one we like.  Lucky us, most would say.  We viewed the house in question and the owners want to make a private sale between ourselves and them without the use of a realtor.  OK, so far.

The only problem is that we previously viewed the house with their former realtor at the end of august last year.  At the time we didn't consider the house as it is definately a fixer-upper.  However, since then our priorities have changed.  We temporarily moved to Canada for few years.  Now we want to stay permenantly and fixing a place up over the next few years won't be a problem for us.  The house is liveable, in a terrific area and less than a minutes walk to a very, very good school.  Lots of similarily aged kids to our own and we already know a number of the residents due to my wife's job.

The owners de-listed their home from their realtor well before Christmas and legally no one owes the former realtor any financial obligations.  The problem comes with the fact that I've become well acquainted with the realtor in a friendly-client sort of way.  Off to hockey games, beers in pub, that sort of thing.  He's also shown us around a number of other properties and we've gotten to know him quite well.  However, the sellers are quite happy to cut their former realtor out of the loop.

To compound the problem - the realtors home,  the sellers new home and the house for sale are all crowded around a four way stop in a small town in western Canada.  We could all become neighbours sometime later this year.

Legally we would be doing nothing wrong.  However, it does feel like I'd be cheating the realtor out of his commission.  Financially, it make sense to be mercenary but...

Any advice would be much appreciated.




jpod00
jpod00's picture
Posts: 115
Joined: 2007-11-05
Dad Points: 144
Weigh All Sides

So, think of it like any other deal.  This realtor is your friend.  Would you expect a friend of yours to pass up a good deal, or to ask you to pass up a good deal just because they can't share in the good deal?!?  If it were me, I'd talk to the realtor and tell him or her my plans.  Then I'd remind him or her (can I just say 'him' from now on?) that I would quickly refer anyone I know to him if I heard they were in the market.  If the realtor is any good at his job, the commision on one sale will not make or break his budget, even in this questionable economy.  There is a reason, which may be completely unrelated to the realtor specifically, that the sellers cancelled their listing with him.  Maybe they listed too high and that's why it didn't move, for instance.  Anyway, what it boils down to is this:  If it is the right house for you now, you should buy it.  But, like anything in life, you should be open about it with all involved so you can proceed without feeling like you have something to hide.  Okay, just my $.02

 

Jim

Boulder, CO

Dad to Cole, Luke, Trev & Delaney, Regional Coordinator, DaddysHome Inc.



trophyhusband
trophyhusband's picture
Posts: 203
Joined: 2006-11-27
Dad Points: 391
Hire the realtor for a small fixed fee to close the deal

You're going to need someone to handle all the paperwork and close the deal for you - a real estate attorney would be the likely candidate for an agent-free sale (we did exactly that many years ago - smoothest, cheapest house transaction we've ever had).  Why not offer the agent a reasonable fixed fee to do all that?  (...but be sure to comparison shop what an attorney would charge for contract review and escrow closure so you know what it *should* cost).  Hey, they didn't sell the house when they had the listing - that's why listing contracts expire - no reason for them to collect a % of the sale price just for being the neighbor!

 

- Andy

____________________________________

Board Member, Daddyshome, Inc. - The National At-Home Dad Network www.daddyshome.org 15th Annual At-Home Dads' Convention: www.athomedadconvention.com



Dowski
Dowski's picture
Posts: 23
Joined: 2009-09-19
Dad Points: 35
Lucky escape, me thinks.

 

Many thanks for the advice.

Events have moved on since I last posted.  The Sellers and Neighbours are now involved in a full blown law suit related to a different matter - not sure of the details but don't care.  I think that I shall make a discrete retreat from the entire affair and make plans to live somewhere else.

Lucky escape, me thinks.

 



Comment viewing options

Select your preferred way to display the comments and click "Save settings" to activate your changes.