Friday, July 16, 2010

Do I have to pay Realtor's advertising costs?

I put a house on the market in the Fall with one Realtor and 2 months into the listing we decided to keep the house. They mentioned there may be some advertising costs due at that time but never followed up. The listing expired so I called them and asked if we owed and they said no. We decided then to put the house back on the market with a different Realtor and now the other one is saying we owe them now for advertising because we didn't re-list with them. Can they make me pay?

Do I have to pay Realtor's advertising costs?
Yes they can. If you have something written that says you owe them for advertising costs and then you cancel your listing with them, you could owe them. If you have something written that says you don't owe them, then you have a leg to stand on
Reply:No you are not responsible to pay the advertising fees for him to list your property. It doesn't matter if you decided to list with another realtor/agent or not. If your listing expired it is your choice whether to list again with the same realtor or if you want to change. They can not make you pay. Write a letter to the agent and his Broker notifying that you are sending a letter to the Board of Realtors for moral and unethical practices by them. Make sure all letters are sent certified so that you have a copy and they will have to sign (although the receptionist signs sometimes). This way everyone is put on notice and the letter will go in the agent and Broker's file of record.
Reply:Go reread your orgional listing agreement. There could potentially be a clause related to this.
Reply:I would think that you are liable. You broke the first listing contract and then listed with another broker. Your first broker incurred damages because you broke your contract.

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