Procuring Cause of a Sale in Real Estate

Dated: August 15 2020

Views: 34

House key on a house shaped keychain resting on wooden floorboards concept for real estate, moving home or renting property

A procuring cause in real estate occurs when a real estate agent or broker produces a buyer for a property, and can sometimes lead to disputes with other agents.

Disputes are often caused by a customers' lack of understanding of how things work coupled with a broker's lack of attention.

Avoiding Procuring Cause Disputes When Working With Buyers

Always ask buyers about their past home search activities and if they've worked with other agents as a first step to avoid disputes.

Buyers will often use a string of agents and may not remember if they are shown the same house with a different broker. 

So if they have opted to buy the house through you, when you mark the contract in the MLS, the other agent may file a complaint. It's doubtful, but not totally out of the question, that the other agent may get some of the commission.

Open houses can also cause problems since the listing agent who organized the showing may also file a complaint. Again, it's doubtful the listing agent would receive some of the commission.

By checking with potential buyers first, the time required to settle any disputes can be avoided.

See article:

Blog author image

Tammy Broxson

Tammy Broxson is the Broker Owner of Broxson Real Estate Group, a boutique real estate brokerage in Florida. Tammy is also a State of Florida Real Estate Instructor and a mentor to other real estate p....

Latest Blog Posts

Why you should have YOUR own real estate agent when you purchase a home (or see a model home in a new community)

Why Have a Buyer's Agent When Purchasing a House?Buying a house is one of the most significant undertakings you'll make in your entire life. It's not simply about finding the right home for you and

Read More

Home Maintenance Tasks That Cost More Later

ome Maintenance Tasks That Cost More LaterSave money by addressing these home maintenance chores nowSharePinEmail•••BY TORREY KIM Updated April 02, 2020Most people maintain&

Read More

Do I Need a Home Inspection With New Construction?

Just Because Your Home Is New Doesn't Mean It's PerfectSharePinEmailBY ALY J. YALE Updated July 24, 2020If you’re buying a new construction home, you might assume that a home

Read More

10 Best-Kept Secrets for Buying a Home

Buying Secret #10: Keep Your Money Where It IsIt’s not wise to make any huge purchases or move your money around three to six months before buying a new home. You don’t want to take any

Read More