When Buyers’ Agents Violate Trust: What to Do After a Lost Lockbox Key

In the highly regulated and ethical world of real estate, trust is paramount. Recently, a situation occurred where a home seller was left in a compromising position. Let's break down what happened, the rules involved, and how to handle such a violation.

What Happened?

A home seller was expecting a realtor to bring potential buyers to show their home. Instead, the realtor gave the buyers his lockbox key, recommended they use a lockbox key they had, and provided them with access codes. The buyers later claimed they lost the key and left, but other agents were unable to gain entry to the property. This is a violation of multiple listing service (MLS), local laws, and the National Association of Realtors (NAR) code of ethics.

The Legal and Ethical Implications

Multiple Listing Service (MLS) Rules: According to MLS regulations, realtors must ensure that only authorized agents have access to lockbox keys. This rule is in place to maintain order and security within the real estate market.

Local Laws: Local laws and regulations further reinforce the necessity of granting access to lockbox keys only to legitimate agents. Violations can result in legal penalties and fines.

National Association of Realtors (NAR) Code of Ethics: In addition to legal regulations, the NAR code of ethics mandates that realtors maintain the highest level of integrity and professionalism. Giving unauthorized access to a lockbox key is a clear violation of this code.

What Should You Do?

First and foremost, the seller's priority should be the safety and security of their property. Here are the steps one should take in this situation:

Step 1: Replace the Locks

Immediate action should be taken to secure the property. Installing new locks or re-keying the existing ones is essential to prevent further unauthorized access.

Professional Locksmith: Contact a reputable locksmith to change the locks right away. This ensures that only legitimate agents and future buyers have proper access.

Step 2: File a Complaint

File a formal complaint with the local board of Realtors and the state real estate commission.

Local Board of Realtors:

Complaining to the local board of Realtors will hold the agent accountable. It aligns with the ethical standards set by the NAR.

State Real Estate Commission:

The state real estate commission has the authority to investigate and discipline agents who violate professional and legal standards.

Data and Documentation: In some states, such as California, and with the use of Supra ekeys or lockboxes, detailed records are kept of who accessed the property. This can be used to substantiate the complaint.

Step 3: Seek Reimbursement

After filing the complaint, you should request compensation from the broker who employed the offending agent. This ensures that the financial burden is shared and that no one is left to bear the cost of securing their home.

Justification for Compensation: The cost of changing locks and ensuring property security should be covered by the agent's broker, especially considering the violation of professional ethics.

Conclusion

Trusting a professional with access to our personal property is a significant responsibility. When a realtor fails to uphold their professional and ethical obligations, it can lead to serious consequences. It is essential to take action to protect your property and hold the responsible parties accountable. Safety and security should always be the top priority.

Move Forward Safely: By replacing locks, filing complaints, and seeking reimbursement, you can navigate this situation with confidence and ensure the protection of your home.