Can I have an assistant contact expired listings for me?

Question

I have a partner that was into marketing/ collecting for years and has a gift in cold calling. He approach me with a partnership. His idea is to call up expired listings, find out why their property didn't sale with the last agent they were with. We all know there could be a number of reasons a property didn't sale (asking way too much, bad pictures, description or the condition of the house isn't up to par.) My question is can I give him potential candidates info from the MLS, he gets them to agree to re-list and he gets a percentage?

JR T. · Answer

There are people who make money at this strategy. I think the clients would be nightmares because they wanted a price that the market wouldn't bear and stuck to it long enough for the listing to go.

One property in my portfolio I had contacted the listing agent for 3 months to get a tour, no response. One day it's off MLS so my REALTOR sent the owner a letter offering to buy it for cash and I got it for a song. There are lots of incompetent agents out there..

Wayne Brooks · Answer

Yes, you could.  In most states, it's illegal to pay someone unlicensed for an activity "based on a closing/receiving a commission".  Paying them a fee because something results in a listing, is usually outside this restriction.  However, listings expire due to the price, for the product offered, period.  It never has anything to do with pictures, advertising, etc.  Of course the shtick is to blame the prior agent

Ranny BBloch · Answer

@Charles Coaston

Hi,

I am far from being an expert in this field, But as part of my research I have talked to several investors who hire SDR's or even outsource a call center in the Philippines.

Charles Coaston · Answer

@Mike Cumbie he would not be a part of the sale. I would give him the expired listings along with the number to call. He would talk to them and then do a hand off to me to proceed with re-listing with me. My question is would this be right as far as policy?

Mike Cumbie · Answer

Hey @Charles Coaston,

I can't speak for PA but in NY you have to be an agent to get a commission or any part of a sale of a property. Now that being said, you could pay him by the hour a salary to generate leads etc.

Also he could get his license (not join the board) for a couple hundred dollars and then you can give him lists of who to call and you put him on the sale at a percentage and that would work.

Good Luck

Charles Coaston · Answer

Also, how would you pay a person to do this particular service?