The agreement says he can show "my" deal to other buyers if I don't answer in 24 hours
I'm mostly reading about notes so property paper is new to me, but a friend forwarded a sourcing agreement to see if I could follow it and one clause stopped me.
It says the sourcer will present properties to the client first, and if the client hasn't responded within 24 hours, the property may be offered to other buyers on his list. No retainer, fee at close, standard enough otherwise.
Two ways to read that. The generous read is that this is how the guy stays alive. He's got sellers on contract with a clock running and he can't sit on a house for three days waiting for one buyer to wake up, and the wide buyer list is exactly why he gets deals in the first place. Pay for access to the pipeline and accept that you're one of several.
The less generous read is that you're not really a client at all, you're on a mailing list with an invoice attached. If the same house goes to eight people, what are you paying a fee for that the other seven aren't getting? Exclusivity, meaning he sources for you and nobody else in your buy box, is the thing that would make it a service instead of a broadcast.
Exclusive costs more, obviously, usually as a retainer, and then you carry the risk of a slow quarter. I genuinely don't know which one I'd sign and my friend has to decide by Friday.
Would you sign with a sourcing service that also markets the same deals to a general buyer list?
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