Contractual Void

[Editor’s Note:  The views expressed here are solely those of Ross Kaplan, and do not represent Edina Realty, Berkshire Hathaway, or any other entity referenced.  If you need legal advice, please consult an attorney.]

With more listing agents incorporating “Coming Soon!” into their marketing campaigns, Buyers’ agents need to be ever-more vigilant.

And not just to find “Coming Soon!” properties, which by definition aren’t yet listed on MLS.

Once Buyers’ agents have shown such a home, if their clients want to buy it, they need to take care to procure a commission agreement with the listing agent and their broker.

No agreement, no commission.

That’s because “Coming Soon” homes aren’t governed by the same offer of compensation — known as “the payout commission” — that MLS-listed homes are.

Got all that?

Fortunately, clients don’t need to worry about such things — just Realtors . . .

P.S.: Although, technically, Buyers do need to worry about their Realtor getting paid.

That’s because — at least in Minnesota — the standard Buyer Representation contract stipulates that if the Buyer’s agent isn’t paid by the listing broker, it becomes the Buyer’s responsibility to pay them.

About the author

Ross Kaplan has 19+ years experience selling real estate all over the Twin Cities. He is also a 12-time consecutive "Super Real Estate Agent," as determined by Mpls. - St. Paul Magazine and Twin Cities Business Magazine. Prior to becoming a Realtor, Ross was an attorney (corporate law), CPA, and entrepreneur. He holds an economics degree from Stanford.

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