Kristy and I have been trying to sell a house for over 3 years. We loved the house in Pennsylvania.
So many amazing things took place there. We will never forget the two weeks that ten people and one dog shared the two bedroom/one bathroom home. Kristy and I slept in our room, four girls slept in the spare room, and four guys slept in the garage (we sort of converted it to a room). We shared food, stayed up late playing cards, and laughed. What an amazing two weeks.

The house allowed us to learn a ton about hospitality and living with open doors.

But we have been forced to try a Short Sale, which is when the house sells for less than what is owed, but the bank agrees to basically forgive the outstanding amount. It hurts your credit but no to the extent that a foreclosure does. Well, the realtor found a buyer. Our contract stated that the realtor would get 6% for their part... pretty standard. However, the contract also stated that all aspects of the contract are subject to the approval of the lender, and they only agreed to pay 4%.

Well, our realtor is coming after us for the other 2%. We have another realtor who has been representing us with the lender and communicating with the realtor in PA, and she has assured me that we don't owe the money. I tried to appeal to our realtor (the person who is supposed to represent our interests in this deal) to waive the 2% since the reason we are doing a Short Sale is because we are in a bit of financial distress. Kristy has been unemployed since February and we are in the process of moving to Chicago for me to go to school. We don't have any income at this moment. Unfortunately, the realtor basically said no.

So, now I have played the contract card. I told him that it was clear in the contract that whatever the loan holder agreed to is what is expected. Since they only agreed to 4%, that is all the realtor gets.

My fear is that the realtor backs out and we are forced to take them to court. I have a big problem with the idea of suing someone. I feel we should try to work things out as best we can without relying on the court system. I have never had to sue anyone in the past and don't want to ever have to do it. This whole situation makes me sick to my stomach. This realtor is coming after us for less than $400 (he is making over $3,000 on the sale already). If I had it, I would give it to him. But coming after us for money at this point is like trying to squeeze blood from a turnip.

1 comment:

Karen Cousins said...

Dave, is your realtor a sales person with a big company, like ReMax or something? If so, he probably works in an office with a managing broker. You should find out (you can ask him) who that broker is, and appeal to him/her. Your story is compelling, and the amount is negligible. If you use your excellent communication skills, perhaps you can convince the broker to waive the 2%. It's a very reasonable request, and you should not feel bad about requesting the waiver. (I used to be a realtor, believe it or not!) Best of luck to you and Kristy! Karen