We had our house listed with an agent for about nine months. The house did not sell and our relationship with the agent deteriorated. In the end, there was mutual frustration but I think he technically dropped us. The house is not on the market at this time but we do have plans to list with a new agent.

There was a couple who saw the house when it was listed with the original agent...months ago. They just contacted us expressing interest in the house and have sent an informal offer.

A friend suggested that we would owe commission to the original agent since this couple saw the house while he was under contract. True??

Thanks Much for Helping!

Does it not state in your agreement something about this type of situation? In my parts, we have a section where it says any buyer who previously saw the house under the listing agreement and wants to purchase the house after the expiration of the listing agreement, up to "x" number of days past the expiration of the listing agreement, a commission is usually earned and due - although I'd make your old listing agent represent you in the transaction (if you liked and trusted them) just to get your money's worth.

The question that needs to be answered is: is the house TRULY off the market? Has the term of the original listing agreement expired? If so, has the time period that VaBroker alluded too also expired? If the answer to both is "yes", then you do not officially owe the original listing agent anything.

It would be good form to bring them in as Va suggested, since it was their efforts that may have born fruit for you, albeit a bit later than you expected.

I wouldn't place too much faith in this couple who's trying to go behind the Agent's back, thinking they'll get a tremendously better deal by contacting you directly; but see what they're made of. If they're truly qualified and interested in your particular property, it may be worthwhile pursuing; but there's probably a reason they are approaching you directly, instead of going through the Agent who introduced them to the property . . . . it's not a good sign.

Without any Agent involved, someone would still have to draft a P&S Contract. Someone would still have to ride herd on the transaction. Someone has to do that, or pay to have it done. What VABroker was referring to above. we call the "tail" of the Contract, and we have to identify, in writing, the parties with whom it would apply (and that must be done here within 10 days of the Listing Contract's Expiration or Termination). Read your own Agreement. Your Agent apparently didn't see these prospects as likely candidates for your property, or he would probably have protected himself in this manner.

Be careful, protect your interests, and Good Luck.

look at your listing agreement. is it expired? yes, most listing agreements will include a "protection period," for perhaps 90 days after the listing expiration date. however, the protection period usually only applies to buyers who were actually shown the property by the broker/agent while the listing was active. this means they physically showed the property to the buyer. also, per the language of the protection period in the listing, as well as case law, within a few days of the listing expiration, the broker/agent must send you a certified letter showing the names of all buyers they had physically showed the property to.

if no letter, no protection period, no commission. and if you're outside the protection period, no commission.

I agree with Shana on this. In Colorado every contract has a holdover period, and yours probably does too. Even if you circumvent your ex-agent, you may be liable if he finds out what happened. Before you do anything, check your listing agreement!

In our listing contract it states that a commission is owed if:

Agreement of Sale is executed within __________ number of days (determined by negotiation) after the expiration

AND

If the buyer was shown or negotiated on the property during the term of the contract (no distinction is made about it being only the listing agent - if it was an agent showing through the MLS it still counts)

AND

The house is not listed with another broker.

SO....read over your contract. And. Do the right thing.