The Weekly Membership Newsletter of the Tennessee Association of REALTORS
Editor: Pug Scoville


CONTENTS
1. TAR Installs 2010 State Officers
2. Tennessee Boasts MANY First-Time Homebuyers
3. HOT LINE: Updating Property Condition Disclosure?
4. HOT LINE: Listing Slated for Foreclosure?
5. HOT LINE: Providing Form to FSBO?
6. Upcoming TAR Courses & Events!
7. Rates Move Closer to 5 Percent

To ask a TAR Legal & Ethics Hot Line question, go HERE.

For other questions about this newsletter, please use the “CONTACT” form HERE.


1. TAR Installs 2010 State Officers

At its 2009 Annual Convention this past week, the Tennessee Association of REALTORS (TAR) installed your 2010 officers:

  • 2010 President: B. J. Swinehart (Knoxville)
  • 2010 President-elect: Emil Mongeon (Brentwood)
  • 2010 Secretary-Treasurer: Sue Stinson Turner (Memphis)
  • 2010-2011 Division 1 Vice President: Bob Stephens (Union City)
  • 2010-2011 Division 2 Vice President: Amy Hamilton (Mt. Juliet)
  • 2010-2011 Division 3 Vice President: Billy Daniel (Morristown)

The installation of new officers occurred at a banquet concluding the three-day Convention. At the same event, REALTOR Jewell McKinney of Kingsport was named 2009 REALTOR of the Year for TAR, and Ms. McKinney also received the Presidential Award for her exemplary service to the association.

Also at the Convention, the TAR Board of Directors approved the 2010 budget for the state association, with membership dues set at $90, plus a $15 assessment for Issues Mobilization.

In other news, the Tennessee Real Estate Educational Foundation (TREEF) reported the election of its 2010 officers: Neal Clayton, President; Janet DiChiara, President-elect; Marlene Rakow, Secretary; and Bobby Wood, Treasurer. Gary Blume was elected Trustee of Counsel.


2. Tennessee Boasts MANY First-Time Homebuyers

According to a report by the Internal Revenue Service, “Tennessee has the 13th highest rate [in the nation] of residents taking advantage of the first-time homebuyer credit….”

For more information, go HERE.

[SOURCE: Nashville Business Journal]


3. HOT LINE: Updating Property Condition Disclosure?

QUESTION: I have a listing that has been on the market since November of 2008. I have recently received a contract on the property. Do I need to fill out a new Tennessee Property Residential Disclosure? The form has been updated since then.

ANSWER: If anything has changed on the form since the seller completed the original form, then a new one should be completed. The seller has a duty to update the form in the event that anything changes up to the date of closing under Tenn. Code Annotated 66-5-205. In speaking with you, you indicated that the form was a 2008 form, rather than a 2009 form. This is permissible as long as the seller completed the form in 2008 and was using the most updated form at the time they completed it. Agents have a duty to make sure that they are using the most current forms when they have their clients use them.

[SOURCE: TAR’s Legal & Ethics Hot Line Attorneys]


4. HOT LINE: Listing Slated for Foreclosure?

QUESTION: I have a listing that may be going into foreclosure on an upcoming date. Do I need to disclose this fact to prospective buyers at this point, or wait until it actually goes into foreclosure?

ANSWER: Since you are working with the Seller, you must disclose the fact that this is scheduled for foreclosure on the given date. We would recommend talking to the seller and advising him that you are required to disclose adverse facts about the property. Secondly, we would advise the buyers in writing that the property is due to be sold at foreclosure. We would also talk to the bank to see if they might be willing to postpone if you have an offer. If they will you can advise interested buyer so that the bank may be willing to entertain an offer and postpone the sale but would not guarantee that this would happen.

[SOURCE: TAR’s Legal & Ethics Hot Line Attorneys]


5. HOT LINE: Providing Form to FSBO?

QUESTION: I am working as buyer’s agent with clients who want to purchase a FSBO. Is it appropriate for me to furnish the TAR Seller’s Property Condition Disclosure form for the unrepresented sellers to fill out for the buyers?

ANSWER: As long as you are working with one of the parties to the transaction, then you can give either party forms for use in the transaction. Furthermore, this is a form which benefits your client (the buyers), so we would encourage you to provide this form for the sellers to complete.

[SOURCE: TAR’s Legal & Ethics Hot Line Attorneys]


6. Upcoming TAR Courses & Events!

GRI 4: From Offer to Contract to Closing — Sept. 28-29 (Knoxville, TN), 16 hours CE. For more information, go HERE.

GRI 4: From Offer to Contract to Closing — Oct. 1 to Nov. 4 (E-Class distance learning course), 16 hours CE. For more information, go HERE.

GRI 5: Systems for Success — Oct. 5-6 (Memphis, TN), 16 hours CE. For more information, go HERE.

Forms 101 — Oct. 8 (TAR Office, Nashville), 4 hours CE. For more information, go HERE.

GRI 6: Sticky Situations — Oct. 15-16 (Knoxville, TN), 16 hours CE. For more information, go HERE.

GRI 5: Systems for Success — Oct. 22 to Nov. 25 (E-Class distance learning course), 16 hours CE. For more information, go HERE.

Watch each week’s TAR DIGEST for schedule changes and additions!


7. Rates Move Closer to 5 Percent

Home-loan rates remained near three-month lows this week and dipped even closer to the 5 percent threshold, Freddie Mac reported in its survey this past week. According to the firm, average interest on 30-year fixed loans fell to 5.04 percent from 5.07 percent a week earlier; while 15-year mortgages averaged 4.47 percent, down from 4.5 percent the prior week. Five-year adjustable-rate mortgages held steady at 4.51 percent, while one-year ARMs dropped to 4.58 percent from 4.64 percent. Freddie Mac economist Frank Nothaft believes the pattern of decline could lead the survey to a record annual low for 2009.

[SOURCES: Freddie Mac; Information, Inc.]


TAR’s Home Page: http://tnrealtors.com

Members receive the TAR DIGEST automatically, through their email address in NRDS. Non-members (such as Office Managers) may subscribe at: http://www.tardigest.com

Back issues of the DIGEST may be viewed and searched at: http://www.tardigest.com