she must present the offer. However the seller can reject the offer. The issue with on-line bank is that they just ask you questions and depending on how you answer they will give you a pre qualification letter.. What you want is a pre approval letter from a real person.. It will only help you out in the end.

Clarification: the SELLER can discriminate against the lender, not the listing agent. Listing agent must present all offers (just saying this again so I don't get sued).

Listing Agents must present all offers to the Seller and the Seller must decide whether to accept or reject the offer.

O.k., just to follow up on Bjwtaylor, who did a fine job.....

Lenders are not a protected class, you can disciiminate against them as you see fit. It's as simple as that.

Real estate agents are supposed to present all offers to their client. I think Kelly (reply bellow) at Quicken Loans will have you covered*

Best Regards,

To Daniel below and anyone considering his advice:

Sorry, Daniel, but you are quite mistaken, and you should not suggest a stranger be fired or reported to HUD for circumstances you don't know,especially when you show no indication of qualifications for understanding the situation, even if you did know all the facts. I don't see any title or indication of professional status, license, or certifications in finance, mortgage, law, or real estate. If you don't have that, you are hardly in a position to be jumping on a realtor's case in such a seriously detrimental way. And the fact that you don't know what steering is or that agents don't reject offers suggests further that you don't have the background knowledge to be offering such advice.

The realtor does not make the decision to sell. The owner does. The seller might have rejected the offer based on the realtor's advice, but the decision is the seller's alone. You have no reason to blame the realtor, who, if she did advise, apparently gave good advice. On-line pre-approvals are one step above worthless and promise lots of trouble, even if the buyer's credit and income are great.

I have no idea why you think that was steering. Listing agents wouldn't likely steer. They just want a buyer who can pay for the house. But you have accused the listing agent of an illegal action that he/she would be very unlikely to do. What's pretty unscrupulous is your slandering someone you don't know on the basis of your mistaken opinion about a stranger's two short sentences worth of information that probably result from the buyer's misunderstanding of who can reject an offer.

Steering is directing buyers away from properties they might otherwise buy because of bias, usually racial bias. Most often, the intent was to keep black buyers out of white neighborhoods and white buyers out of black ones, but it could go anyway for anybody for any reason. At one time, even mortgage companies participated. Now it is rare, and it has long been patently illegal, a violation of Fair Housing law.

Besides, what do you see in this question that suggests racial bias and steering? Nothing. All parties may be of the same background.

It is totally legal to protect oneself from unacceptable financial risk, and taking one's house off the market when the buyer has nothing more than an internet pre-approval wouldn't be wise. The law does not require sellers to take foolish financial risks. And the buyer can go get some solid financing if he/she wants the house. It's reasonable for the seller to require that.

Technically she can't but the seller can reject an offer based on the mortgage co the purchaser has chosen.

There are many REALTORS who require all prospective purchasers to be pre-qualified through their choice of lenders. That doesn't mean that you have to use that lender; It only makes the listing agent and their seller client more comfortable to know that the buyer is qualified by someone they know locally and trust. Online lenders have been very unreliable in getting things done. They are better now than in years past, but I would still prefer that any buyer be qualified by a trusted local lender.

the seller has the final say but usually they go with the guidance of their agent. Just because you got pre approved by Quicken doesn't mean you have to use them. The pre approval letter is simply used to show the seller you qualified to buy the property based on a review of your credit, income, assets etc. Some people need to educate themselves before making judgements, happens so often in this business.

Chris

James said a very important thing here, "if you want someone in a cubicle fresh out of college". Years ago, this is ho people got their start in all companies. Due to new licensing and registration requires imposed by the government, along with fees that banks, brokers or mortgage bankers have to pay now to employ loan officers, it doesn't make sense to hire people like this any more. I have often thought about how a new crop of loan officers will get their start. For many reasons, it is best to contact an experienced loan officer. Many loan officers are n LinkedIn, and you can see the experience they have on their page.

It is not up to a listing agent to accept or reject your offer, this is up to the seller. I would have you're agent (you do have a buyer broker I hope) contact the listing agents Broker in Charge and tell them that if you'/re offer isn't presented that you and they will be filing a complaint against the listing agent and the listing company with the real estate commission.

On a second note: I would advise you that you would be much better off working with a local lender. I have seen more buyers than I can possibly remember learn the hard way that online lenders will more often than not make your life miserable. You can almost count on unexpected charges only disclosed when you're sitting at the closing table, there's no one to speak with, they have no ties or connections with the area and protracted delays are common.
Many closing attorneys charge additional fees for dealing with loan that are through on-line lenders as they have also learned it's going to take them much more work to close the transaction.

Nonetheless the choice is yours to make and a preapproval letter from an online lender should not be dismissed by a listing agent, though bear in mind they may counsel their sellers to reject your offer for this reason.

Kelly,

Is there any chance you can update us all? Inquiring minds want to know.

SHE can't do that, but her sellers can.

Unfortunately she can do that.

Kelly, there are reasons that Realtors don't like on-line lenders. But don't take our word for it, read what consumers have to say:

http://www.consumeraffairs.com/finance/quicken_loans_mortgage.html

If you want service and a seasoned mortgage professional, go to a brick and mortar lender. If you want an order-taker in a cubicle, fresh out of college, go to one of the on-line places. It really is that simple.

Although it's always best to work with a local lender, Quicken Loans is great to work with too. I am in hopes that the agent went to the sellers with the offer and did not make that decision on her own. She works for the seller and must convey all offers. You can always contact his/her Designated Broker to let him/her know what happened, I'm sure they'd like to know..
I hope that you find another home that you love just as much! Good luck!

If the listing agent spoke to the seller and the seller determined it was against their terms then the offer can be rejected. Also the mortgage laws changed in 2010 regarding face-to-face loan applications and what documents have to be delivered to you within 3 days. I've never understood how an on-line back can get your tax returns and other documents in order to issue a pre-approval. They can do a pre-qualification which in my opinion as a listing agent is a worthless piece of paper! My advice is always to be pre-approved by a local bank or direct lender.

Yes she can do that. Keep in mind most agencies have their own mortgage companies in place to better suite their clients. Not to mention if you place a bid on an estate it probably wouldn't be accepted . Go to a mortgage company in town and have them draft you up a approval letter typically it will only be valid for 30 days however it take less than 20 minutes to due in person and you heart ache will be over.

Kelly, Sorry to hear that. I have Closed quite a few deals where Quicken was the lender and everyone closed on time.
There are a lot of good points brought out below, I hope you are able to get back to us all with an update.

The listing agent isn't the one who wouldn't accept your offer. It's her job to advise the seller, but ultimately it's the seller's decision. The seller can say yes or no to whomever he feels qualified/unqualified. I suggest you also get approval from a local lender to appease the seller....you should be able to
get the loan through whomever you want at that point.

Rather than thinking you are being descriminate against, perhaps ask why they will not accept your offer. Perhaps they have had bad experience with Quicken, or have had appraisal problems, have had closing issues, there are all sorts of potential problems that can pop up during the process. If you are an experienced buyer, who has been through multiple financing deals, it might be for you. If not, you might be better of elsewhere anyway. I am sure that they are not offering you the best rate in town, so it might be smart to speak to someone else.

To Daniel in Baton Rouge...

I'm sorry to correct you Daniel, but you are using the term "Steering" incorrectly.

"Steering" The illegal practice of directing members of minority groups to, or away from, certain areas or neighborhoods.

There is no discrimination going on here.

The listing agent's responsibility is to present offers to the homeowner, for him/her to accept, counter or reject the offer. It is not the listing agent's responsibility to accept, or disapprove offers.

In NJ, an Agent has to present all offers to the Seller, unless the Seller has instructed them differantly. The Seller may have been burned in the past with someone claiming to be qualified, but ended up just wasting the Seller's time.

If you are qualified.....GET APPROVED BY A LOCAL LENDER.

That's a good listing agent. She knows that your quicken loan approval was more likely a pre qualification, (that is your financials were not reviewed or verified) as oppose to a pre approval where your pay stubs, tax returns, credit and assets were physically reviewed by a mortgage specialist. The listing agent should at least be present your offer regardless of her opinion but I too would advise my seller not to accept it.

Kelly,
The listing agent must follow any direction (as long as it is legal) from the seller's. They work for the seller's. The seller's decide what offers they accept or reject.

All the best,
Gary Geer
http://www.GaryGeer.com

Really good advice from Annette and Nathan. They go into detail about the conditions under which an offer may not be presented.

You say "a listing agent wouldn't accept our offer." What did YOUR agent say? Hopefully, you have a buyer's agent representing you. You certainly shouldn't be dealing with the listing agent.

Finally, Mack makes a good point about local lenders versus online ones. And many agents (and sellers) have that perception as well. As others have noted, you can use any lender you want to actually provide the loan. But--depending on the circumstances--you may be better off getting your preapproval from someone else.

Hope that helps.

Like a lot of good questions this answer starts with a question. Are your presented by a good real estate agent? Is it the listing agent who has rejected your offer or is it the property owner? Those question and some other will be able put things in the right light and bring you different solution for each answer you may receive. In order to understand what’s inside this listing agent head I would ask the right question to get a real overview of what the listing agent/Property owner wants and try to build an offer that will fit both buyer and seller needs. And the most important when presenting the offer is presenting the buyer as a person that can and will close the transaction.
Most good agents will be able to help you with that.

If the listing is a foreclosure there is a good possibility that the listing agent has written instructions not to present them any offers unless they get pre-approved with in lender the seller trust. You can use any lender you want but they will not look at your offer unless you are pre-approved by the lender they trust.

If this is the case the listing agent is simply doing his or her job. If they do not follow the sellers instructions the seller will find someone who will.

Hi Kelly,

Technically speaking, the listing agent must present all offers to their client and in a timely fashion. Exceptions occur when the seller for example specifically requested CASH ONLY offers for example, or something else. To be on the safe side, I personally would still present all offers to my client even if it's outside their specific requirements.

Now there are a couple of ways to deal with this:
- You can ask your agent to find out more
- You can ask the listing agent for referrals of lenders to get pre-approved with: this is purely for the offer acceptance. Once your offer is accepted you are free to use which ever lender you want.
- You can walk away

There is no need to feel discriminated. There's always an explanation to things like this.

Good luck :)
Mimi

The listing agent needs to present all offers to the Seller. The Seller has the right to look at the pre-approval in addition to the contingencies, closing date, price and any other conditions in the offer and take it from there. The Seller is the one calling the shots on this one hopefully.

-Mike

WRONG. Many of these agents have posted erroneous information.

If the Listing Agent has been instructed by the sellers to not accept certain types of approval letters, then it is within the Listing Agent's responsibilities to not present the offer as it has not been properly prepared.

This is OFTEN the case when the Seller is a BANK or GOVERNMENT entity, such as Fannie Mae. The Seller has every right to request or require the agent to do whatever they want. And if you don't prepare your offer correctly, the Selling Agent does not have to present it, provided they have been instructed by the Seller to do so.

In fact, a recent requirement of Fannie Mae even states that the Approval Letter must be dated within 3 Days of the Offer! They even require certain documents to be typewritten and then signed in BLUE ink, and an original copy to be presented.

Some banks, WellsFargo / Bank of America, often require Buyers to get approved with THEIR approved lender. They don't / can't require you to use them, but they want to know before they accept your offer or someone else's, that you/they are actually qualified, before they turn other buyers away who may be more qualified-- and who will close on time.

NOW: This is not to say that you have to USE a certain type of bank. The seller cannot dictate who you use for the loan. So, use Quicken Loans if you want. But get a preapproval from who they tell you to.

Nothing like jumping through hoops.

Realtors are not loan officers, they should stay out of finance

fire the REALTOR

You have the right to present your offer and you have the right to use any bank you wish

The realtor is trying to STEER , which is illegal, to her "preferred lender"

File a complaint with HUD

Hi Kelly - my name is (ironically) Kelly from Quicken Loans. We'd love to help you work through this. We are a completely reliable, credible company that has been in business for 25+ years. We've closed over a million loans and many of our loans close in less than 30 days. J.D. Power and Associates ranks us “Highest in Customer Satisfaction for Mortgage Origination in the U.S.” – 2 years in a row.

If you need anything at all, please let me know personally - kelly@quickenloans.com

Thank you for working with us.

Listing agents must submit all offers to the sellers but it is up to the sellers if they decide to reject an offer becuase of the approval letter or any other terms in the offer. Many of my buyers have used Quicken Loans and they have been great to work with. Most of the mortgages that Quicken Loans have done for my buyers are actually ready to close early. Best of luck!

Interesting......You might want to write a bigger earnest money deposit OR tell your buyer's agent that you plan on walking.

I would think the agent would change their mind; especially in this market.

I believe that is discrimination. I can 100% understand it because there are a few big bank lenders that I despise and hate working with, I think this listing agent may be in the wrong. This is just my opinion, I am not an attorney. Good luck to you.

I'd much rather have a pre-approval from Quicken than from BofA or Wells Fargo, and I can't even stand Quicken. Listing agents that discriminate against pre-approvals from Quicken or mortgage brokers in favor of big box banks are doing their clients a disservice. It's their job to educate the seller and allowing them to think that bank = quality is a mistake. Especially when we know that simply isn't true.

kelly,

You should feel discriminated against. As a Realtor all agents are required to present ALL offers to the seller. I would contact her broker in charge and inform her that the agent refuses to present the offer to the seller...

We cannot pick and choose what offers ot present to a seller. it is up to the seller to decide whether to accept, reject or counter our offer.

It depends on the agents listing agreement with the seller. Unless a specific box is checked, all offers must be presented to the seller. The seller however, will take this into account along with all other aspects of your offer and make a decision based on who they believe has the strongest offer.

No, agents are compelled to present all offers to the seller. Sellers can, however, require other proof of loan qualification.

She cannot, but the seller can. Every offer must be submitted to the owner for them to decide. The agent can advise the seller not to rely on an online pre approval, but I would tend to say that is a bad business practice. Even if the online pre app didn't hold up, what if you do want to buy the home and can get approved by a 'bricks & mortar' bank? If this were the case, the agent could very well be eliminating a buyer for the seller. I don't think the seller wants that to happen.

Is the Seller requiring that you pre-qualify with a certain lender? If so, contact that lender -

Kelly,
Listing agents make a commitment to the home owner to show the home to qualified buyers only. That means those able to demonstrate the ability to purchase the home at the 'offered' price.

How is this accomplished? By reviewing documentation from reliable and verifiable sources. Many investor types can produce a 'pre-approval' letter from lenders who can not be identified. These may be entirely bogus letters. Be aware, you have the liberty to finance the purchase through ANY lender you prefer. You are not committed to using the lender providing the pre-approval letter. An agent can, and apparently will, request a buyer to acquire a pre-approaval letter from a lender that is reliable and known to them. This fulfills their commitment to the seller, and provides you with a letter that will work in the market you are looking to buy. This will cost you NOTHING!

Sorry Kelly, it not discrimination, it good business practice. The listing agent would look really unprofessional if 'lightning Bolt' lenders declined your mortgage 5 days before closing because your debt ration was to high. (Hint: this is one of the first things that must be verified in the mortgage application process.) Meanwhile, the home has been taken off the market, you will have spent $$$ on inspections, maybe even started packing and placing your things in storage, only to be sabotaged at the last minute. Again, it's not discrimination, but good business practice.

You can always go back to Quicken to secure the loan.
Best of success in buying your new Wessex Square home.

The seller, not the listing agent decides whether or not to accept an offer. You can always response that you will leave the offer on the table for three days and of they do not accept it, you wish them the neat success in the sale of thier home. Quicken is fairly active in charlotte and they do successfully close loans. You could also tell you quicken,loan officer what is happening and get them to provide info to help convince the seller to accept.

Kelly,
Simple solution, get pre-approved with a local lender and if your offer is accepted decide which one you want to use. As long as the loan closes, no one will care. You may also find out though that a good local mortgage broker can compete with quicken and give you local access and service.

The sellers must be presented with all offers by the listing agent. The sellers can decline, counter offer or accept. I always advise my clients to use a local lender who is familiar with our market and neighborhoods. I have had clients use lenders on-line and from out of state, but the transaction is almost never as easy. Having a local lender and one that will communicate with the buyers agent as to the progress of the loan, is the best bet for you, the buyer. If you really want the home, perhaps you can get a pre-qual from a local lender but still use the on-line service. This can be written into the contract. However, the sellers still have the right to decline. Allen Tate Company has a mortgage company that provides competitive rates and outstanding service. The benefit also being that it allows the buyers agent to stay informed as to the progress of your loan. It is more important now than it ever has been to use a qualified agent and lender. Getting to the closing table is not as easy as it once was! Contact me if you have any questions. Good luck!

Kelly,

The simple answer is "yes". The listing agent should be acting on the seller's wishes and the seller can deline for any reason. While as a listing agent I probably would not decline an offer for that reason, as a buyer's agent I ALWAYS advise my clients to use local, brick n mortar lenders instead of online programs. I've seen far too many problems with online lenders. You may be able to satisfy the owner by providing them with a pre-qual letter from a local lender (giving them confidence of your qualifications) with the understanding that you may use Quicken for the actual mortgage. I would recommend your calling Roy Anderson at Summitt Funding - 704-239-9014 or William Roseberry at WR Starkey - 704-622-6896.

Bill Ahls

If you like the property.....Get an approval from a local Lender that your Agent likes, trust and can get your transaction closed on time....and re-submit your Offer....problem solved. It is just all part of the negotiation :)