If a property is sold by owner do you have to pay a property manager a commission on that sell for allowing the buyer access to the home in your absence?

UPDATED: Oct 1, 2022

Advertiser Disclosure

It’s all about you. We want to help you make the right legal decisions.

We strive to help you make confident insurance and legal decisions. Finding trusted and reliable insurance quotes and legal advice should be easy. This doesn’t influence our content. Our opinions are our own.

UPDATED: Oct 1, 2022Fact Checked

Get Legal Help Today

Compare Quotes From Top Companies and Save

secured lock Secured with SHA-256 Encryption

If a property is sold by owner do you have to pay a property manager a commission on that sell for allowing the buyer access to the home in your absence?

I owned a rental property for several years and utilized a property manager. Several
months ago I found a person who was interested in buying the property and had
them contact the property manager so they could arrange a date and time to view
the home because we had a renter residing in the home at the time. The potential
buyer met the property manager at the home, viewed the home, and verbalized to
me afterward that they may be interested in buying the property when the renters
lease was up but not at that time. Fast forward 8 months, Ive maintained regular
contact with the buyer in the interim and showed the home again to the buyer and
their spouse myself after the renter had vacated the premises. They have now
purchased the property. I received an email from my previous property manager
stating that she is also a licensed real estate agent and feels that because she
showed the house to the buyers 8 months ago she is entitled to a commission. At
no time did I sign a listing contract with this individual and my only business
relationship involved her managing my rental property and that relationship ended
when the renter left a few months ago. Legally, do I owe this person a commission?

Asked on January 3, 2019 under Real Estate Law, Wisconsin


SJZ, Member, New York Bar / FreeAdvice Contributing Attorney

Answered 4 years ago | Contributor

It depends on what your property management agreement with her stated. If it did not provide for a commission for her if she helped show/sell the house, she is not entitled to one: she showed the house as part of her property management job/duties. But sometimes these agreements do provide for a commission if the manager (if the manager is a realtor) helps sell or show the building; therefore, check what you have agreed to, to see is she is entitled to a commission.

IMPORTANT NOTICE: The Answer(s) provided above are for general information only. The attorney providing the answer was not serving as the attorney for the person submitting the question or in any attorney-client relationship with such person. Laws may vary from state to state, and sometimes change. Tiny variations in the facts, or a fact not set forth in a question, often can change a legal outcome or an attorney's conclusion. Although AttorneyPages.com has verified the attorney was admitted to practice law in at least one jurisdiction, he or she may not be authorized to practice law in the jurisdiction referred to in the question, nor is he or she necessarily experienced in the area of the law involved. Unlike the information in the Answer(s) above, upon which you should NOT rely, for personal advice you can rely upon we suggest you retain an attorney to represent you.

Get Legal Help Today

Find the right lawyer for your legal issue.

secured lock Secured with SHA-256 Encryption