Double-siding a short sale - YES or NO? - Forum

Michael J Wollen March 13, 2011 at 4:37am

I have run itno banks that will only pay one commission so if you double end a deal and the commission is 6%, you will only get 3% if you double end. Its something to check before you submit. Wachovia/Wells Fargo is one.

3n9fnvka38y7n March 13, 2011 at 4:29am

We don't have dual agency here, but we do have transaction brokerage. I would and have done both sides on a short sale.

Bill Travis March 10, 2011 at 1:50pm

I used to feel the same way, until I realized that I could not properly represent either client.

When working with a client I have the duty to get the best price at the best terms for that client. When I work a dual agent I cannot do that. While two sides may both be happy at the outcome, if I were only working for one client I may have been able to negotiate a better deal for my client.

Marsha Umansky said:

Yes it is the best for BOTH the Seller and the Buyer, because they both got exactly what they are prepared to give and to receive. It is safe to say, that with 2 different agent representing the Buyer and the Seller the outcome would have been the same, and if not, then one of the parties you are concerned about could have been on a short end at the expense of the other. So how can you say, dual agency is not a good case scenario?

Bill Travis March 10, 2011 at 1:14pm

The broker owns the listing. Agents are sub agents of the broker. If one agent in the office represents the buyer and another represents the seller, then dual agency exists the same as if one agent represented both.

Linda Zemler said:

I have another agent on my team do it just to keep squeeky clean. However, there are definate benefits to buyers to be working with the listing agent in a short sale. To avoid buyers not feeling represented and to avoid possible loss of commission, we have a different team member formally representing the buyer.

Michael D. Schade March 10, 2011 at 1:10pm

I totally agree with Marsha Umansky,you're right on. I think agents are too paranoid today.I have not had a conflict in 34+ years. The negotiations, for the most part are removed.The lender has their bottom line and how you get there is your business,so long as the lender agrees. The seller is not profiting from the transaction,except saving their name,so they really could care less how you make the ends meet. I've been a part of 7 short sales and they all came down to one thing,"what the lender requirements were." Where you run into difficulties, is if there's a second morgage,then it's not so cut and dry. Anyway, I wanted to applaud Marsha for speaking up.

Marsha Umansky March 10, 2011 at 11:48am

Yes it is the best for BOTH the Seller and the Buyer, because they both got exactly what they are prepared to give and to receive. It is safe to say, that with 2 different agent representing the Buyer and the Seller the outcome would have been the same, and if not, then one of the parties you are concerned about could have been on a short end at the expense of the other. So how can you say, dual agency is not a good case scenario?

Linda Zemler March 7, 2011 at 7:10am

I have another agent on my team do it just to keep squeeky clean. However, there are definate benefits to buyers to be working with the listing agent in a short sale. To avoid buyers not feeling represented and to avoid possible loss of commission, we have a different team member formally representing the buyer.

Trina Gonzales March 7, 2011 at 6:55am

You go girl! Best wishes with your escrow.

Kristin D Smith said:

Wow! Thanks for all the great answers. I have finally come to a decision to refer out one side and feel very VERY good about my decision. It's helpful to get all the feedback & makes it easier to justify my decision. Thanks to ALL of you for taking the time to respond!!!

Kristin D Smith March 7, 2011 at 6:40am

Wow! Thanks for all the great answers. I have finally come to a decision to refer out one side and feel very VERY good about my decision. It's helpful to get all the feedback & makes it easier to justify my decision. Thanks to ALL of you for taking the time to respond!!!

Roxie Desort March 7, 2011 at 3:54am

Mr. Colby,

I work for a wonderful lawyer which I've been lucky to find, I'm also a student, studying legal studies. The reason I'm writing is because I was highly impressed by your answer! I would love a chance to learn from you!!

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