Am I supposed to buy gift for real estate agent and mortgage

amother

Wed, Dec 22 2021, 5:22 pm

Do people buy gifts or something for their real estate agent and mortgage broker when they close? Or do you just shake hands and good bye

amother

Dodgerblue

Wed, Dec 22 2021, 5:24 pm

As someone who works in a mortgage office most people do not, but the ones that do are definitely remembered and it's totally appreciated. It's really nice to get a gift after working so hard to help someone get the financing to move into their new home.

amother

Wed, Dec 22 2021, 5:26 pm

What if the mortgage broker made multiple mistakes along the way which caused the whole process to be delayed and by now we are both annoyed at each other. Very uncomfortable situation. And I hate leaving off on a bad note

kenz

Wed, Dec 22 2021, 5:30 pm

amother [ OP ] wrote:

I would think then that a gift would be even more appreciated and help you to not end on a bad note. Impressive that you are even asking, even more impressive if you decide to do it. Kol hakavod.

amother

Canary

Wed, Dec 22 2021, 5:31 pm

Most don’t and it’s not expected. Usually they give you a gift.

amother

Dodgerblue

Wed, Dec 22 2021, 5:33 pm

amother [ OP ] wrote:

That's a hard situation. I don't think people realize how much background work goes into one mortgage loan. We have some clients annoyed at us all the time, they don't realize how things work and the many many guidelines we have. I myself am going thru a mortgage now not for the first time and I know how stressful it can be

pesach

Wed, Dec 22 2021, 5:35 pm

Do you buy a gift for the sales lady that helped you pic a dress?

Wink

Or the plumber that fixed your clogged drain?

amother

Red

Wed, Dec 22 2021, 5:39 pm

It is unusual to give them gifts. I would maybe give the agent if he worked especially hard to help you find the right property, showed you around a lot and didnt give up. But gifting the mortgage agent would be even more unusual. In your specific case if you want to end on a positive note and if you know him personnally, you may want to but it would be totally unexpected.

amother

Dodgerblue

Wed, Dec 22 2021, 5:41 pm

amother [ Canary ] wrote:

Most don’t and it’s not expected. Usually they give you a gift.

Yes, we give each client a gift after they close.

amother

Pumpkin

Wed, Dec 22 2021, 5:42 pm

We received gifts from both our real estate agent and mortgage broker. Totally didn't expect it, I thought it was really nice.

amother

Snowdrop

Wed, Dec 22 2021, 5:44 pm

amother [ Pumpkin ] wrote:

We received gifts from both our real estate agent and mortgage broker. Totally didn't expect it, I thought it was really nice.

Not to be snarky, but you paid for those gifts Wink

.

To answer the OP, I wouldn't give gifts to these people.

amother

Ginger

Wed, Dec 22 2021, 5:44 pm

amother [ Dodgerblue ] wrote:

I find that so interesting. I live in the UK, when we first bought our home the mortgage broker messed up, didn’t tell us exactly what paperwork we needed, it actually took 3 months to get a mortgage. Ridiculous.
When we needed our second mortgage we researched before so we could be organised. The guidelines were so clear and subscribed, we did it ourselves. Within 2 weeks we had our mortgage. We remortgaged our home and bought a HMO property, that mortgage was more work, took me a bit longer to gather the paperwork. Wouldn’t bother with a mortgage broker again, unless it’s a complicated mortgage.
Maybe the process is different by you. I found delays were due to incompetence.
The estate agent takes 10k on closing. Our gift to him. That’s what it takes to get a house here.
Estate agent found someone who wanted to sell, he tells them he can get £X for the house. Then calls anyone who he has heard os looking to buy, and we pay £10k for the phone number of the seller.
No gifts from me. They’re greedy enough.

amother

Dandelion

Wed, Dec 22 2021, 5:45 pm

In my experience, the real estate agent might give the buyer a housewarming gift. S/he gets a nice commission for selling the house.

It would never occur to me to give a mortgage broker a gift at all. And to give a gift to someone who made mistakes and delayed your closing - you are a better person than me for even thinking of it. Just close on the house, say "thank you" if you think it would help clear the air, and move on.

amother

Wed, Dec 22 2021, 6:28 pm

amother [ Ginger ] wrote:

That’s what we just went through! He didn’t either tell us exactly what we needed, and botched up numbers twice. Took 3 months until we got approved and even that was a neis. He admitted all his mistakes but sent us a message that he is upset that we pressured him to get it done already. He was extremely unprofessional the entire time. I have a lot more I could say. Anyway I don’t feel like getting him anything and if most people say it isn’t done then I won’t. I just hate the feeling of leaving off being upset at each other.

The real estate agent on the other hand was amazing and very patient and professional. After all that work he did I should just say thank you and that’s it? Feels like a lack of hakaras hatov. But if you say they certainly aren’t expecting anything maybe I’ll just drop the whole gift idea.

Anyway thanks for listening

amother

Saddlebrown

Wed, Dec 22 2021, 6:47 pm

pesach wrote:

Do you buy a gift for the sales lady that helped you pic a dress?

Wink

Or the plumber that fixed your clogged drain?

Excuse me??? What kind of comparison is this?

Your real estate agent and mortgage broker spend days and weeks working on your behalf! Being a mortgage broker is one of the most stressful jobs out there; what with coordinating with your attorney, insurance agent, realtor, appraiser, underwriters, bank closers and oftentimes many others to ensure a smooth transaction. It takes hours and hours of behind the scenes work for me as a loan officer before my assistant, and certainly before my loan processor even get started on the client's paperwork! And you're comparing it to a one time plumbing fix or the purchase of a basic dress???

This response really ticked me off, because it seems that the OP does understand that under normal circumstances in which her mortgage broker wouldn't mess up it would be nice of her to express her appreciation. I find that it's generally the clients with the tougher deals (sometimes also the tougher to deal with...) that have no gratitude whatsoever. A nice thank you email or thank you phone call is always appreciated. There is that 5% that takes the time to send a gift, though to be honest that happened more frequently in my first 5-7 years in this line of work than in the most recent 5-7 years. Generations and expectations are changing...

amother

Saddlebrown

Wed, Dec 22 2021, 6:49 pm

amother [ Ginger ] wrote:

Very different in the US compared to the UK. I have clients that are dual citizens and have done mortgages here while living there... and we've discussed this.

In the US, even savvy individuals that think they can apply directly with the bank turn to us later in the process to help them out. Some do manage; depends on the bank and depends on the client's financials. Most people do work with a mortgage broker though.

amother

Pumpkin

Wed, Dec 22 2021, 6:55 pm

amother [ OP ] wrote:

The real estate agent on the other hand was amazing and very patient and professional. After all that work he did I should just say thank you and that’s it? Feels like a lack of hakaras hatov. But if you say they certainly aren’t expecting anything maybe I’ll just drop the whole gift idea.

Anyway thanks for listening

Look no one will sue you for sending a gift and it'll probably be appreciated. I don't know the cost of the purchase (which affects how much the agent makes) and if there's another agent they will be splitting commission with. But agents usually make a hefty sum.
When we sold our house our agent walked away with a $40k check!

amother

Dodgerblue

Wed, Dec 22 2021, 6:55 pm

amother [ Saddlebrown ] wrote:

I agree. We close super tough files of ppl with no gratitude. And what about when all the frum clients don't want to do business on chol hamoed but want to close the day yom tov is over??? Who do you think worked so I can close then?
Lots of times it looks as though messed up but I'm reality there are so many pieces of the puzzle and there are also a ton of compliance stuff which are out of our control.

Amarante

Wed, Dec 22 2021, 6:58 pm

It is not expected to give your realtor a gift. As others have posted, realtors give people housewarming presents after it closes.

And I also have never heard of giving a mortgage broker a gift any more than any other person who is performing a job for me. I don't tip my surgeon or my dentist or my dental hygienist or my stock broker.

Now if the mortgage broker had done something extraordinary I would get them a thank you to recognize the extraordinary effort. And by extraordinary I mean something like shlepping miles in the snow to deliver papers so that a closing could take place. LOL

I would expect a mortgage broker to work diligently since they are being paid well for the transaction if the services performed are within what is normally done.

amother

Dodgerblue

Wed, Dec 22 2021, 7:02 pm

amother [ Pumpkin ] wrote:

That check is before splitting it a few ways. Don't assume it's all theirs. This may explain it....

Before you go and ask for a discount on your commission from a Realtor for helping you sell your home, please understand what you're truly asking for them to do ... and ask yourself this question: If your boss came to you and asked you to work overtime, but wasn't going to compensate you for doing so, would you still do it?

Another day, another person who says realtors are overpaid and an unnecessary part of a transaction. I’m assuming that those who think this have either been watching too much Million Dollar Listing or think they know how to do it all on their own.

A few things to consider:

There is no salary for your Realtor. No guaranteed income for them until the home actually sells. If it doesn’t go through for any reason, all of hours and time spent helping you and your loved ones go without any compensation for the time spent.
Think about it let’s say the house sells for $500k
3% = $15k. 2.5% = $12.5k. And 2% = $10k The agents sure don’t. That commission is paid to them:

- Before taxes
- Before broker splits
- Before marketing
- Before board dues
- Before office bills
- Before professional photographs on your home
- Before professional staging on your home
- Before all the other costs of doing business

Out of what’s left of their checks after all this, they can then begin paying for everything else. But wait, that’s not all!

They don’t get afforded a lot of the things you enjoy at a 9-5 job. They don’t receive:

- Employer healthcare
- Employee matched retirement accounts
- Paid vacations
- Weekends off
- Nights off
- Maternity leave
- Bereavement pay/leave
- Company car

They pay for all of this out of our own pockets. Every single penny.

Yes, there are some realtors married to people working company jobs who receive some of these benefits. But the vast majority of real estate agents, they support their families on what’s left after their benefits are taken out and spoken for.

Yes, they did choose to sell real estate. It’s a career which they love and it allows virtually uncapped growth and income potential. But they also have to often be available at any time of the day when needed. Whether it’s showing homes at 7pm, writing offers at 11 pm or doing final walkthroughs at 6am. They are there, available to help their clients when they are needed.

So before you tell another one of them that they make too much money and aren’t really needed anymore, I encourage you to do the following ...

Get your own real estate license, start lead generating on your own, find clients who like you and trust you to help them with the BIGGEST purchase of their lives.

Make sure you know not only what goes in the blanks of the contracts, but also what the promulgated parts of them say. Learn the legal steps of what happens once you write a contract, and what business partners are a good fit to help you and your clients and who’s a scam.

Try and keep deals together when they’re about to go south with critical thinking skills all while staying within legal parameters. Educate your new homeowner clients about what’s going to happen after they close and what to expect in the years to come.

Then listen, repeatedly, as others tell you the money you’ve been paid is WAY too much and they could do what you’ve done for much, much less.

Exhausting, isn’t it?