"Close Up" News Item TV1 19/5/08

[newkidontheblock]

If I was in the Bells' shoes, I'd just default on my purchase.

Why go ahead with a purchase when you can't afford it? You'd have enough grounds to defend yourself in court - should your vendor decides to sue you.

[Keys]

If I was in the Bells' shoes, I'd just default on my purchase.

Why go ahead with a purchase when you can't afford it? You'd have enough grounds to defend yourself in court - should your vendor decides to sue you.

Takes mental note (don't sell to NKOTB)

[newkidontheblock]

Takes mental note (don't sell to NKOTB)

Awwww...

[mortgage broker]

Lawyer

I wonder if this person ran the paperwork by the lawyer before signing.

[Ged1]

Put a clause in the contract stating the RE gets their commission on settlement.

It's easy for a buyer to put in a clause as above. The REA will have palpitations. They, however, have to present the offer, and any serious vendor will accept. Of course this means that the RE will help with this deal to the bitter end....probably help you in with the furniture and make you your first cup of tea in the new house..

[Green Fish]

Crikey!

"There's nothing to see here."

Of course the agent is entitled to the commission. The agent's job is to obtain an unconditional buyer. It that buyer defaults, the vendor has the usual remedies under the contract, and part of the vendor's claim will be for the commission that they had to pay to the agent.

The appearance of a grumpy old woman on TV does not alter the position - and there is no controversy over this: the agent is entitled to the commission, because the agent has found an unconditional buyer. "Nothing to see here."

The real issue is this: Why use agents? In my experience, they tend to foul things up.

[Ged1]

"There's nothing to see here."

Agreed......but, as a buyer, if I don't get possession then I will retrieve my deposit from my solicitor's trust account and the REA will get his commission from the vendor.

No one is saying the REA shouldn't get commission, but a buyer can be sure it won't be from him if he adds that clause.

[Davo36]

Yeah this sort of thing just makes me glad I'm not an agent any more. See this sort of stupid story all the time.

Glad to see most people here agree the agent did what they should have and deserved the commission.

The Bell woman expected the agent to try and bring the purchaser to the party because the agent would have to do it for free. Whereas as some have mentioned she'd have to spend some or all of her $16k booty paying a lawyer.

Contracts are contracts. They are only bits of paper and if the parties (1 or both) decide not to fulfull their part, there's bugger all that can be done a lot of the time. The deposit can be kept and the defaulting party pursued for damages but that whole process is very slow, costly and fraught with difficutly such as they have no money anyway or are firmly ensconced in China where everything is legal.

But of course it's an easy story for a Current Affairs Entertainment show to run. Poor honest homeowner has their money taken by rapacious real esate salesperson, blah blah blah.

David