Most Common Complaint Filed Against Realtors (Honest Answer)

The most common complaint filed against realtors is failure to disclose — an agent either not telling a buyer about a known defect or problem with the property, or misrepresenting the true condition or facts of a home. Right behind it come complaints about breach of fiduciary duty and putting the agent's own commission ahead of the client's best interest. I'm David McAtee with Realty One Group Rose here in Tyler, TX, and I'll be straight with you: nearly every one of those complaints traces back to the same root problem — an agent who was selling instead of serving. I serve, I don't sell, and I've never sold a piece of property in my life.

1. Failure to Disclose: The Number One Complaint Against Realtors

When you dig into the data from state licensing boards and the National Association of Realtors, disclosure problems sit right at the top of the list. A buyer moves in, finds a leaky roof or a foundation issue or a history of flooding nobody mentioned, and now they feel lied to. According to the National Association of Realtors Code of Ethics, an agent has a duty to be honest and to disclose known material facts. When that duty gets skipped, the complaints roll in.

Here in East Texas, disclosure matters even more than folks realize. Foundations shift in our clay soil, old homes hide surprises, and weather leaves its mark. An agent who glosses over that to close faster is asking for trouble — for themselves and for you.

• Not disclosing known structural or foundation defects
• Hiding water damage, mold, or a flooding history
• Failing to mention easements, boundary disputes, or title issues
• Staying quiet about a death or major event on the property when law requires disclosure

Pro Tip: Always ask for the seller's disclosure notice in writing and read every line. If something feels vague, ask your agent point-blank — a good one will tell you the truth even when it hurts the deal.

2. Misrepresentation: When an Agent Tells You What You Want to Hear

The second-biggest bucket of complaints is misrepresentation — an agent stretching the truth about square footage, school zones, property lines, comparable sales, or what a home is really worth. Sometimes it's flat-out dishonesty. More often it's an agent who just wanted to make the client happy and blew a little smoke to do it. I don't blow any smoke, and here's why: that smoke always clears, and when it does, somebody's angry.

I've seen sellers who want $300,000 for a home that's honestly worth $265,000. The easy thing is to nod, take the listing, and let them find out the hard way when it sits for six months. The honest thing is to show them the market analysis and tell them the truth. I don't have a crystal ball, but I'll back my opinion with real numbers every single time.

• Inflating a home's value to win a listing
• Overstating square footage or lot size
• Misrepresenting comparable sales or market conditions
• Promising an outcome no one can actually guarantee

Pro Tip: Ask your agent for a written comparative market analysis with real recent sales. If they can't show you the numbers behind their price, that price is a guess dressed up as fact.

3. Breach of Fiduciary Duty: Putting Commission Before the Client

A fiduciary duty means your agent is legally and ethically bound to put your interests first — above their own paycheck. When that gets flipped, you get complaints. This shows up as pushing a client toward a quicker, higher-commission deal, steering them away from a home that's actually better for them, or failing to negotiate hard because the agent just wants the transaction to close. The Texas Real Estate Commission handles a steady stream of these each year.

This is the one that fires me up the most. Your agent works for you. Not for the commission, not for the fastest close, not for the builder or the other side. When I represent somebody, they're the most important person in the room — period.

• Steering buyers toward homes that pay the agent more
• Failing to negotiate aggressively on the client's behalf
• Prioritizing a fast close over the client's real needs
• Not disclosing the agent's own conflicts of interest

Pro Tip: Get a buyer's representation agreement in place before you start looking. It puts in writing that the agent is legally on your side — I learned that lesson the hard way years ago.

4. Dual Agency and Conflict of Interest Complaints

A big chunk of complaints come from confusion — or outright abuse — around dual agency, where one agent represents both the buyer and the seller in the same deal. It can be done ethically and legally in Texas, but it's a tightrope. When one agent is trying to serve two sides with opposite goals, somebody usually feels shortchanged, and that's when the complaint gets filed.

I'll be honest with you: it's hard to give both sides my absolute best when their interests pull against each other. That doesn't mean it can't be done right, but it does mean you'd better understand exactly who's representing whom before you sign anything.

• Not clearly explaining dual agency before it happens
• Failing to stay neutral when representing both sides
• Sharing one client's confidential information with the other
• Pressuring a client to accept dual agency they don't understand

Pro Tip: If an agent proposes representing both sides, ask them straight up how they'll protect your confidential information and your negotiating position. If the answer is fuzzy, walk.

5. Poor Communication and Neglect

Not every complaint is about lying — a whole lot of them are just about an agent who disappeared. Calls not returned, deadlines missed, updates that never come. Buying or selling a home is one of the biggest financial moves of a person's life, and being left in the dark during it is maddening. Communication breakdowns are one of the most common reasons clients turn on their agents.

I'm an early bird — up around 6:00 without an alarm, first one in the office. Communication isn't a chore for me; it's the whole job. If I'm quiet, it's because I'm out doing the drive-bys, the research, and the work you don't see. But you'll hear from me.

• Not returning calls, texts, or emails promptly
• Missing contract deadlines and inspection windows
• Leaving clients uninformed during negotiations
• Failing to explain paperwork and next steps

Pro Tip: At your first meeting, agree on how and how often you'll communicate. A good agent will happily commit to it — a bad one will dodge the question.

What I've learned about realtor complaints after years in the field

I got into real estate back in early 2020, in my latter 60s, during COVID. I rode the wave of those 2% and 3% interest rates when people were buying no matter what, and then rates jumped to 6% and 7% and reality set in. That's when I really learned what this business is about. And here's what it taught me about complaints: almost every one of them starts the moment an agent decides the commission matters more than the client.

That's why my whole approach is built on one line — I serve, I don't sell. I've never sold a piece of property in my life. I've just seen God bring the right people to the right property at the right time, many, many times. When you lead with service, the selling takes care of itself, and the complaints never come, because there's nothing to complain about. I told a seller the truth about their price. I told a buyer the truth about a foundation. I put it in writing. I picked up the phone. You can read more about how I work over at Market Moves ETX.

I don't have a crystal ball, and I don't blow any smoke. What I do have is radical honesty, even when it costs me the deal. I've been the marriage counselor, the peacemaker, the guy who tells you the hard truth over a cup of black Colombian coffee. Patience I still work on — but honesty I've got down cold.

And when we do it right and we close? We celebrate over a ribeye. I'm pretty darn good around a pit, forty-plus years of practice, and that ribeye at the end is my promise that we did this the honest way from start to finish.

How David McAtee - Realty One Group Rose helps buyers and sellers avoid these complaints

Every complaint I listed above is preventable, and preventing them is exactly what I do here in Tyler, TX. I put a buyer's representation agreement in place so you know I'm legally on your side. I give you a real market analysis backed by real numbers, not wishful thinking. I disclose everything I know, I return your calls, and I never steer you toward the home that pays me more. That's not a sales pitch — that's just the job done right.

I serve buyers and sellers across Tyler, TX and the surrounding East Texas communities, from first-timers to move-up buyers in the $500,000–$700,000 range. What I won't do is tell you what you want to hear. If it's the wrong home or the wrong price, I'll tell you, and I'll tell you why.

Let me serve you — the selling takes care of itself. When you're ready to buy or sell the honest way, give me a call at 903-216-6885, stop by 1042 Asher Way #200 in Tyler, or reach out through Market Moves ETX. And when we close, the ribeye's on me.

FAQ

What is the most common complaint filed against realtors?

The most common complaint filed against realtors is failure to disclose known material facts about a property, such as defects, water damage, or title problems. At David McAtee - Realty One Group Rose in Tyler, TX, I prevent this by disclosing everything I know in writing and telling clients the honest truth, even when it's not what they hoped to hear.

Can I file a complaint against a realtor in Texas?

Yes, you can file a complaint against a realtor in Texas through the Texas Real Estate Commission (TREC), which investigates violations of licensing law and ethics. You can also file an ethics complaint with your local Realtor association if the agent belongs to the National Association of Realtors.

What is a breach of fiduciary duty by a real estate agent?

A breach of fiduciary duty happens when a real estate agent puts their own interests — usually their commission — ahead of the client's best interests. This includes steering buyers toward higher-paying homes, failing to negotiate hard, or hiding conflicts of interest, and it's one of the most serious complaints an agent can face.

How do I know if my realtor is being honest with me?

You know your realtor is being honest when they back their pricing with a written market analysis, disclose problems even when it costs them the deal, and tell you the truth instead of what you want to hear. That's the standard I hold myself to at David McAtee - Realty One Group Rose in Tyler, TX — I don't blow any smoke and I don't have a crystal ball.

Why should I sign a buyer's representation agreement?

You should sign a buyer's representation agreement because it legally confirms your agent is working for you and your best interests, not the seller's. I learned the value of this the hard way in my own career, and now I put one in place so my East Texas clients know exactly whose side I'm on before we ever start looking.