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Realtor® Horror Stories

By MNR News posted 20 days ago

  

Realtor® Horror Stories

MNR's Legal Department give their thoughts on some of Reddit's most horrifying Realtor® stories for Halloween!

A Batch of Burnt Cookies

 "I was hosting my very first open house, and I decided to bake cookies... but I never checked the oven before turning it on to preheat it. Turns out the owner put all the oven information in the actual oven...the plastic straps melted, and the smell traveled all throughout the home. Luckily the paperwork didn’t catch fire before I smelled it! Quite embarrassing I must say."

Ghost Lawyer's Thoughts

"Thank goodness there was no fire! However, even if there had been, there is a good chance that the broker would not have been liable unless the damage was the result of gross negligence or willful misconduct. One of the provisions of the MNR Listing Contract is an “Indemnification” clause. Under the clause, the seller agrees to indemnify the broker and hold them harmless for claims or liability related to damage or loss in connection with marketing the property. But please note that it is not an absolute protection, because indemnification does not apply if the damage is the result of gross negligence or willful misconduct by the broker. You may also want to discuss with your client your plans for the open house so they both approve your plans and have a chance to explain that the oven is new and to remove the information inside."

A Realtor's® Worst Nightmare

 "I got an online lead several years ago. We looked at several properties, and we found one they seemed to love! We wrote the offer and the seller accepted. The listing agent sent it to the bank for approval, and I sent the paperwork to the title company. A while later, I got a call from the title company that said that my buyer’s check bounced. I tried to call them for weeks. They completely ghosted me and the seller, and they refused to return calls and emails asking them to sign a cancellation."

Ghost Lawyer's Thoughts

"Getting ghosted can be scary, especially when the ghosting client refuses to sign a cancellation of the purchase agreement. However, there is a Minnesota Statute that allows a party to cancel a purchase agreement even if the other party refuses to sign. Minnesota Statute § 559.217 lays out the steps to accomplish two types of cancellation - cancellation with a right to cure and declaratory cancellation. If the statutory steps are followed for a declaratory cancellation, that cancellation is complete 15 days after service of notice on the other party unless that party gets a court order suspending the cancellation."

A Haunted Listing

 "Years ago, I had a listing that the seller said was haunted by a young boy. When my article came out in the newspaper for advertisement of the new listing, there was a young, dark figure of a boy standing in the doorway in the picture."

Ghost Lawyer's Thoughts

"Some people think that ghosts just need closure, but under Minnesota law, they don’t necessarily need disclosure. Under Minnesota Statute § 513.56, there is no statutory duty to disclose the fact that a residential property was the site of perceived paranormal activity, or for that matter, whether the property was the site of a suicide, accidental death, or natural death."

A Secret Tenant?

 "My ultimate worst open house was one where the owner didn’t know his brother had not moved out. I didn’t find out until the day of a showing, when his brother's truck was still parked out in front of the house holding his entire house worth of stuff, including his garbage. I went inside, and the brother was passed out on a dirty mattress in the garage. I was able to make the garage off-limits for that open house, but his brother still refused to leave the property afterward."

Ghost Lawyer's Thoughts

"If a family member refuses to leave the home an owner is trying to sell, the owner should consult with an attorney who specialties include landlord/tenant law, because there is a chance the owner may be a landlord without even realizing it. Under Minnesota law, there are a number of factors that determine whether the family member is a guest in the home or a “residential tenant,” but the question usually boils down to whether the family member was occupying the home under a written or oral agreement requiring the payment of rent or the performance of specified services for the owner. If the family member is a residential tenant, a qualified attorney can help the owner determine what steps to take and what notice is required to move forward with an eviction or termination of tenancy."

Happy Halloween from Minnesota Realtors®. 🧡🎃

Please note: The information in this post should not be construed as legal advice. If you find yourself confronting a similar situation or if you have a pressing question, call our FREE MNR Legal Hotline (for broker-members). The Legal Hotline is available Monday-Friday from 9 AM-12PM & 1 PM-4 PM (CST). Find our Legal Hotline here!

#LegalHotline
#OpenHouse
#NewConstruction
#Professionalism
#Tenant
#Cancellaiton
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