Procuring Cause – Realtor professionalism & ethics
Realtors have always sold many of our homes, but only a few realtors missed out because they did not follow “their” code of professional ethics and protocol of “procuring cause” which states:
A broker is regarded as the “procuring cause” of a sale, so as to be entitled to commission if his or her efforts are the foundation on which negotiations resulting in a sale begin. It is the cause originating a series of events which, without break in their continuity result in the accomplishment of the prime objective of the employment of the broker who produces a ready, willing, and able purchaser to buy real estate on the owner’s terms.
All realtor transactions we have been involved with began with the realtor contacting our office or sales staff to schedule a client meeting or home showing. The hundreds of realtors we have compensated over the past 30 years have always followed these initial steps of interaction with us and have always been present with their client at our very first meeting and have always received compensation from us.
If a customer has signed a legal binding document and our process has already begun regarding a custom built home we are past the point of “procuring cause” as addressed in the paragraph above. If this customer prefers to be represented by a realtor then the customer would need to compensate the realtor personally.