Is There A Deal Here?
Motivated seller contacted me with a 4bd/2 bath house in good shape currently vacant. It's listed with a realtor for $174,500. She's desperate. Mortgage payoff is $161,500.
She's open to LO but what do I do about that realtor? Is there even enough of a spread to make it worth it? 
The seller will need to review her contract with Realtor. In many cases, SHE is obligated to pay the realtor even if she sells it to you on the side. It should be all spelled out in her listing agreement.
I have a realtor friend who said she sometimes lets people out of their agreement if the seller is desperate.
Another thought, if the realtor is tough on not releasing, ask if they'll take a note for the commission.
What are you going to do with the house? If you're going to flip it, promise the agent the listing when you resell it if she'll release it now.
If you use an agent to facilitate payments, maybe her office would like the contract.
These are just suggestions. I haven't actually tried any of them. I'm just throwing out food for thought.
What else can you offer the agent? Any future listings coming up? Can you name some names of other investors that you may give a referral to if she helps you out? (Or the negative connatation) or the people that will hear her name when you complain? (I would suggest merely an implication of this point. Be subtle.
Diplomatic, even.
Mark Twain said, "Diplomacy is the art of saying 'nice doggy' until you can find yourself a rock."
Again, I'm just trying to stimulate your brain.
I'd love to know how this turns out. We could all learn from it.
Good luck
Ronnie
All good advice. The listing agreement expires at the end of the month and is subject to a 30 day commission clause if somebody that the realtor referred ends up buying the house after the listing expires.
The seller says she doesn't want to rip off the realtor just wants to walk away. She said that she spoke to him and at this point, knowing her situation he would let the listing expire and expect nothing.
We;ll see...
Make sure the seller is communicating with the realtor to inform the realtor that they do not intend to renew their listing agreements. Many listing agreements are written to automatically renew.
WOW! Didn't know that. Thanks.
[addsig]