I received this e-mail last week and have been giving this some thought. I was not sure if I should post this or not. I think I will throw it out to the group. I blocked out the commission percentage, because I do not feel comfortable discussing percentages and actual fee amounts. It is sufficient to say the percentage was higher than what I am used to seeing.
Here is the message; the name was removed to protect the innocent. I copied and pasted it exactly how it was written minus the actual percentage.
AWESOME BRAND NEW PENTHOUSE - and NO AGENT NOR BROKER IN ALL OF HAWAII IS OFFERING A BRAND NEW SPECIAL ORDER LEXUS 2008 HYBRID and a huge GENEROUS % COMMISSSION to any broker - agent for a full price CASH OFFER_ ( NO LOAN) on this fabulous one of a kind PENTHOUSE - BEST VALUE IN ALL OF WAIKIKI NOW!
Is this any kind of an ethics violation? Any laws broken here? Is it smart marketing or bad business?
How would they make good on this if an agent brought in the buyer? All commissions go to the brokerage. How would you split a Lexus? Does the broker get the trunk and doors? You would also have to pay taxes on the car.
This would have to be disclosed to the buyers wouldn't it. How would you collect this and look out for the buyer's interest at the same time? As a buyer's agent aren't you supposed to get your client the best deal possible? This would make for a severe conflict of interest.
What do you think?