A real estate agent Must be present to open the lock box. So, if your agent is giving you the lock box code because they are to busy or to lazy to show you the home, than I suggest you find another one. Why? Because they are actually placing you at risk of trespassing. You may not know this but as a member of the local MLS when we list a home we sign a contract with the seller that states "Broker, broker's representatives, agents and sub-agents are hereby granted access to the property". No where does it say that the buyer has permission to enter the home - so by doing so you may be trespassing.
It seems this is becoming an epidemic and not just in Macomb County. In fact, this exact topic was addressed this month in the MAR Publication legal section. Then yesterday we received a call from a buyer asking for the lock box code on one of our listings. When we told him "a real estate agent agent must be present to open the lock box". He stated "the broker down the street gave me the code with out coming to the home". Really? Well today I sent off an e-mail to that broker stating that this is not only unprofessional but it is placing these buyers at risk not to mention the sellers they represent in the event something happens. The broker did contact me and said this was not acceptable practice and that he would look into it.
Our MLS listing contract also states "Owner(s) shall indemnify and hold Broker, Broker's representatives, agents and sub-agents and cooperating broker harmless from any and all liability for any reason as a result of injury to persons or damage or loss to property arising out of the showing". But does that protect you? What happens if no agent is present and something comes up missing, is damaged or if someone gets hurt? If you are not with an agent where does that leave you??? Can you then be held liable for damages?
Over the past few months several of our agents have come back with stories...
- They have found buyers wondering around in the home without an agent, that gained access via a lock box code.
- One of our agents would not allow a buyer in a home because their agent was not present. The buyer got right in her face and said "Fine I'll just wait till you leave and said some choice words"
- Ed would not allow a buyer in the home he was showing only to find the same buyer inside the next home he was showing because the agent gave him the lock box codes.
- We have even had buyers tell us that their previous agent just gave them the lock box to view homes on their own. These buyers were going in flooded basements, mold filled homes and even walking around with flash lights in the dark.
- One buyer we know of viewed the home himself, had the agent write the offer and closed without the agent ever viewing the home
Sorry to say folks these agents are not working in your best interests. If they are to busy to take the time to show you homes how will they handle the offer and the closing? How can they give you professional advice on the market and the home? You may want to check and see if they are representing you or the seller. Better yet if you decide to sell with them in the future will they allow buyers access to Your home too without being present??
While preparing for this post I did some checking and obviously the public agrees a real estate agent agent must be present to open the lock box - here's one from Trulia and Yahoo. However, there was also a blog where this guy actually gave investors step by step directions on how to gain access to bank owned homes without a REALTOR®. Shame on the agents that gave him the codes.
What do you think? Is this okay or is it Trespassing?
I agree with you, I am fed up with some agents giving lock box codes to buyers. I've run into every scenario you listed. I'm not sure what can be done, but I think the mls and the association need to crack down on this.
I met one buyer who wanted me to write an offer for them. I said sure, lets go look at the home. Their response, we've already seen it. Oh, are you working with a Realtor? No, not really he just gave us a bunch of lock box codes and told us to go check them out. I explained the process to them, and told them I cannot give out any lock box codes, they have since worked with me for the last year and I've sold them 3 homes!
Hey Mike I agree it starts with the MLS but I think agents need to report this. I contacted the broker of the one in my post, he emailed back and said he really appreciated the info and would take care of it.
We need to police ourselves - everytime we go into a home and see a buyer without an agent Ask who their agent is and report them to their broker.
Same pronlem here in Jacksonville. Lazy agents giving the code to thier"customers", then doors are left open, holes in the walls, you get the picture. Now when one of my REO's goes active there is an electronic lockbox. What are the lazy agents going to do now? By the way the banks I deal with love it!
Hey Mark we had the Ele boxes for a short time but sure wish we could get them back. That for sure would help the problem