In Oregon, licensed real estate agents receive a monthly newsletter published by the Oregon Real Estate Agency (the agency which issues real estate licenses).
Along with other helpful information, the agency publishes the names of agents who are being reprimanded for failure to follow the state’s requirements for handling real estate transactions, and provides a brief on the illegal actions and penalties assessed. I think this is a very valuable practice, showing all of us the pratfalls of operating improperly, and educating us on some points on which we may have been unclear.
This month, I was amazed at a particular case… I’d love to publish the name the of agent, but since her license has been REVOKED (rather than suspended), I’m hoping I do not need to warn the public…. Here is a brief summary of her illegal actions:
- AGENT failed to properly complete a listing agreement by leaving blank the section specifying how forfeited earnest money would be disbursed;
- AGENT advertised property on the multiple listing service at a sale price lower than the listing price to which the sellers had agreed, and advertised a seller credit of $2,000 to be offered to a buyer without first obtaining the sellers’ written consent to do so;
- AGENT failed to promptly transmit the listing agreement to her principal broker for review until six weeks after it was signed;
- AGENT failed to promptly transmit a repair addendum to her principal broker for review for approximately two months;
- AGENT recommended an unlicensed contractor to the sellers in order to facilitate repairs even though the repairs in question required performance by a licensed contractor;
- AGENT executed an addendum stating that the seller would credit the buyer $2,000 for a carpet allowance, when the signature on the addendum purporting to be the buyer’s signature was not the buyer’s signature, and submitted the addendum to her principal broker for review;
- AGENT executed an addendum extending the closing date, when the signature on the addendum purporting to be the buyer’s signature was not the buyer’s signature, and submitted the addendum to her principal broker;
- AGENT submitted a broker demand instruction to escrow representing that the seller had agreed to pay a commission higher than the listing agreement stated;
- AGENT represented to her principal broker that a licensed contractor had completed a roof inspection prior to closing, had verbally told AGENT that the roof was okay, had mailed a copy of a roof inspection report to the buyer, and had told AGENT that the inspector could not comply with a request for an additional copy because his father was dying, when in fact none were true;
- AGENT executed a promissory note for earnest money without making the note payable within a stated time subsequent to the sellers’ acceptance;
- AGENT failed to transmit a copy of the entire inspection report, which included photographs, to the buyer, when AGENT received it from the inspector prior to closing;
- AGENT failed to give the buyer a copy of the executed sale agreement;
- AGENT failed to give the buyer an initial agency disclosure pamphlet at first contact with the buyer;
- AGENT failed to include the buyer’s request for a carpet allowance in the initial offer to purchase; and….
- AGENT temporarily transmitted to the sellers the original copy of the sale agreement so the sellers could review and sign the document, without keeping a copy for herself or the brokerage records.
I am sure she represents the tiniest of percentages of agents who can't do business by the rules. I don’t know her and don’t know how long she was a Realtor, but it’s a relief to be rid of her.
Let the buyer (and seller) beware. 
Phil Anderson
Owner/Broker
New Portland Home
a real estate services company
