Agent unethical tactic advice

[Hill]

We are currently in the process of buying a home in Queens. We signed a contract and turned over our deposit. Now the agent has come back to us to say there is a better offer and is insisting that we sign an exclusive agreement to list our apt with him. He says he has not shown the better offer to the seller yet and won't, but if we don't sign he'll "let it play out" which we take to mean he will show the offer and effectively sink our deal. We feel that what he is doing is unethical, but also how can we trust him to sell our apt if he is saying he isn't being honest with the seller either? Looking for advice and options.

[showtime]

Hi Hill, that sounds extremely shady. So you're saying you have signed and turned over a deposit to the seller's lawyer, but the seller hasn't counter signed yet?

If that's the case, then you don't have a fully executed contract. The seller isn't bound yet because they haven't signed (see article referenced below), but you are. Tough situation to be in.

You should definitely consult your attorney as what he is saying is highly unethical and against licensing law I believe. I'm pretty certain a listing agent has a fiduciary duty to the seller to disclose all offers.

Honestly, you should just call his bluff. It's highly likely he doesn't even have another offer. And besides, having someone like that sell your home is the worst idea I can imagine.

[lower_nyc]

We are currently in the process of buying a home in Queens. We signed a contract and turned over our deposit. Now the agent has come back to us to say there is a better offer and is insisting that we sign an exclusive agreement to list our apt with him. He says he has not shown the better offer to the seller yet and won't, but if we don't sign he'll "let it play out" which we take to mean he will show the offer and effectively sink our deal. We feel that what he is doing is unethical, but also how can we trust him to sell our apt if he is saying he isn't being honest with the seller either? Looking for advice and options.

Do you have something in writing where the listing agent admits that he's not going to present the alleged competing offer to the seller? If so, you've caught him red handed. Listing agents in New York are required to present all offers to a seller. If the listing agent is not doing that, he's breaking the law.

[Eddie McGowan]

Do you have something in writing where the listing agent admits that he's not going to present the alleged competing offer to the seller? If so, you've caught him red handed. Listing agents in New York are required to present all offers to a seller. If the listing agent is not doing that, he's breaking the law.

I totally agree - that is a violation of NYS law, and if that agent is a Realtor, then it is also a violation of the NAR (National Association of Realtors(R)) Code of Ethics (Article 1, Standard of Practice 1-6) for which the agent can be suspended or face a fine of up to $15,000. Contact your local board to file an Ethics Complaint right away, and that will put immediate pressure on the agent to do the right thing.