Q: We are having a terrible time finding a buyer for our house and have reduced the price several times. We really must sell soon because my husband lost his job and we have to move.

The house has been listed with an agent for six months but we let the listing expire last month. I received a call last week from someone who saw our house when the agent advertised it and had received some information from our agent. He said that he also called our previous agent last week but she explained that she no longer had the listing. He got our number from the telephone book.

The potential buyer would like to see the house and sounds very positive about buying it. He mentioned the money we would both save by not paying a real estate commission.

Our previous agent called us yesterday to tell us about the call from the potential buyer. She said that she had negotiated with him previously, but I know his name was not on the potential buyer list that we received when the listing expired. What should we do?

A: You are right about one thing. After a listing has expired, the agent must provide a list of potential buyers for whom they had interacted. However, a real estate agent’s entitlement to be paid occurs when the agent is the “procuring cause of sale.” This is when, through his or her efforts a buyer who is “ready, willing and able” is found. Efforts include advertising, front yard signs, speaking with potential buyers, sending them information and showing the property.

It is very clear that when one of the potential buyers on the list purchases the property within a specified period of time, usually six months, a commission is owed. It appears that your agent neglected to include this potential buyer on the list. The potential buyer did re-contact the agent. An attorney could help you determine if you have a legal obligation to pay the commission.

You may not need to contact anyone to do what is “right.” The role of the agent reaches far beyond finding the buyer. Keep in mind that he or she can assure that the contract is properly drawn. The agent can help you to negotiate the price, guide you through counter offers and make the path to closing smoother.

Before you make your decision, talk the details of this situation over with an attorney. The wrong decision may cause the agent to initiate legal action. The right decision may be more expensive, but morally correct.



Attorney Sylvia Heldreth is a Certified Specialist in Real Estate Law. Her office is located at 1215 Miramar Street in Cape Coral. This article is not intended as specific legal advice to anyone and is based upon facts that change from time to time. Individuals should seek legal counsel before acting upon any matter involving the law.