Saturday, June 15, 2019
One of my relatives asked for a contract review on the sale of their home in another city. Imagine my surprise at seeing "$395 transaction fee to be paid by the seller" written into the contract by the buyer's agent. Aren't they being paid commission already? Yes, in this case the buyer's broker was being paid $14,000, but the agent felt compelled to try and squeeze an extra $395 on top of that. She should be ashamed. "But, wait" I can hear her saying. "We have to pay our transaction coordinator and provide her office space." I get it. However, $14,000 will easily pay expenses and leave a healthy chunk to be split between the broker and the agent. "But", she says, "my broker charges me a transaction fee of $395." OK. Maybe that's why they offered you a more attractive commission split when you joined their office. Do the right thing, pay the $395 out of the commission and stop trying to rob people. I was faced with this exact scenario when my previous brokerage was bought and the new brokers mandated a transaction fee. Many agents, myself included, refused to pass that fee on to our clients but, disturbingly, many others thought it perfectly acceptable to have their clients pay it. That particular broker cleverly called the junk fee a "Regulatory Compliance Fee" which they hoped would eliminate client protests. A transaction fee charged by the broker to the agent can be an entirely legitimate fee TO. THE. AGENT. There are very few circumstances that would justify passing that fee along to a client. Unless there are unusual circumstances justifying the fee, I would encourage anyone whose agent has tried to charge them a transaction fee to immediately find a new agent. Asking for a transaction fee is all the evidence necessary (in most transactions) to demonstrate that the agent is not working in their client's best interest. This stuff really bothers me.
For those that haven't read any of my blathering about brokers stealing from their clients, here's a good one from five years ago, Robberies Update
"Profit is sweet even if it comes from deception." __Sophocles
Wednesday, June 05, 2019
The statue of the spaceman surfer is by Henry Lund and is installed at the new downtown Cocoa Beach parking garage. It's a timely departure from the abundant, well-worn t-shirt images we're used to seeing with a shuttle blasting off in the background while surfers and pelicans glide across waves in the foreground.
Our inventory has contracted a bit with 252 existing condo and townhome units and 60 single family homes for sale this morning in Cocoa Beach and Cape Canaveral. The Cocoa Beach MLS is showing 24 homes closed in the month of May at prices between $192,500 for a 1000 foot fixer-upper to $825,000 for an 18 year old direct river 4/4 beauty in Sunset Cove.
There were 62 condo units closed in the month. Sales spanned a range from $90,000 for a tiny 1/1 in Cape Canaveral to $955,000 for a brand-new top floor(5th) SE corner direct ocean Flores de la Costa in north Cocoa Beach. That particular new building, the only new oceanfront construction in Cocoa Beach in quite some time, began closing pre-construction contracts this month after getting their CO. Side view 2/2 units in the building closed for as little as $350,000. The building has a two week minimum rental period so rental potential there is high especially as it's the only new vacation rental in the city. There are a few units still available if anyone would like info.
Love bugs are finished (hopefully) until the next hatching in August and the heat has settled in. Those of us on the coast have been enjoying the sea breeze which has kept us about ten degrees cooler than Orlando and the interior most afternoons. That's one of the reasons we live here, right?
If anyone needs a tough, experienced buyer's agent in the Cocoa Beach area, now that I'm back full time, I am able to take on a few new clients. Those of you who were looking at properties back during snowbird season without finding anything may want to consider resuming the search during the summer season when you'll have less competition.
When you're in Cocoa Beach this summer, enjoy yourselves and remember, sunscreen and hydration. The 4th Street Filling Station is a must visit for good food and a crazy beer selection. Outdoor dining under the old oak trees and very kid-friendly.
"Good decisions come from experience...and experience mostly comes from from bad decisions." _(From restroom stall at "Airport Diner")