The 6-14-11 Newsletter of the Tennessee Association of REALTORS
Editor: Pug Scoville


CONTENTS
1. Seller Financing Update…
2. The 20-Percent Minimum Down Payment Proposal
3. Give Yourself a GREAT Convention Experience!
4. HOT LINE: Acknowledging Other Offers?
5. HOT LINE: Items Remaining With the Property?
6. 2012 TAR Committee Requests
7. TREC Amends Its E&O Policy
8. Upcoming Courses
9. Rates Hit Another 2011 Low
10. Useful Web Links

To ask a TAR Legal and Ethics Hot Line question, CLICK HERE.

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


1. Seller Financing Update…

The TAR DIGEST will not be published for the next two weeks, due to staff travel. HOWEVER…

Chris Sexton, TAR’s Director of Governmental Affairs, is working on an update for TAR members regarding new Tennessee legislation addressing the issue of seller financing. As soon as that update is ready, it will be emailed to all readers of the TAR DIGEST.

Watch for it!


2. The 20-Percent Minimum Down Payment Proposal

In a small but important development, banking regulators agree to push back to August 1 the deadline for public comment on their controversial 20-percent minimum down payment proposal.

NAR has been talking a lot about the qualified residential mortgage (QRM) proposal in recent months. That’s because of its severe consequences to home sales if it gets carried out.

For a complete update, CLICK HERE.

[SOURCE: REALTOR Magazine Blog]


3. Give Yourself a GREAT Convention Experience!

After the past few years, it’s DEFINITELY time to recharge and rebuild your business!

Give yourself a great Convention experience, pick up some new tips from several wonderful speakers, and visit beautiful historic Savannah, Georgia, the site of the 2011 TAR Convention in September!

Speakers this year include: Dr. Bertice Berry, Shannon King, Verl Workman, Jackie Leavenworth, Krisstina Wise, Lynn Madison, and Todd Sholar! We’ve recruited some exciting new speakers for this year’s Convention to make it a memorable one!

To learn more, and to register online, go to: http://tnrealtors.com/meetings/convention/schedule.php


4. HOT LINE: Acknowledging Other Offers?

QUESTION: If a selling agent asks a listing agent if there is an offer currently on the table, do they have to answer that question?

ANSWER: Only if they have the permission of the seller to do so.  Standard of Practice 1-15 states:

REALTORS, in response to inquiries from buyers or cooperating brokers shall, with the sellers’ approval, disclose the existence of offers on the property. Where disclosure is authorized, REALTORS shall also disclose, if asked, whether offers were obtained by the listing licensee, another licensee in the listing firm, or by a cooperating broker.

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


5. HOT LINE: Items Remaining With the Property?

QUESTION: I have written a contract today and on line 21, other items to remain, I put “all items listed on MLS as of (the current date)” and I also added one other item to remain. A couple of items were listed on the MLS but now the seller has taken these items. Should the seller be responsible for either reimbursing the buyer or returning these items? Did I properly note on the contract what exactly was to remain?

ANSWER: Please note that the Hot Line cannot determine what is to remain with the property. This is an issue between the buyer and the seller.  If the parties have questions concerning their rights, they should speak with their own attorney.

In the future, however, we strongly recommend that the buyer’s agent, in the offer to purchase, list specifically what is to be included in the sale, not just reference the MLS sheet. That way there is no disagreement or confusion closer to closing.

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


6. 2012 TAR Committee Requests

2012 TAR Committee Request Forms are online. In the Members Only section of the TAR website, there is a page titled “Officer & Committee Forms” at: http://tnrealtors.com/members/officerforms.php

If you are interested in serving on a TAR Committee, you can access the application online. The DEADLINE for receipt of the Committee Request form is August 24, 2011!

On the same page, you can also access the online application form to be considered for nomination as a TREEF Trustee. The DEADLINE for receipt of the TREEF Trustee Application form is July 7, 2011!


7. TREC Amends Its E&O Policy

In last week’s DIGEST, we posted a reminder about the penalties that could be incurred, by BOTH licensees AND their managing brokers, for lapsed E&O insurance.

Be advised that, at last week’s meeting of the Tennessee Real Estate Commission, the Commissioners approved and adopted an updated policy on E&O insurance. You can download a copy of their new policy (#2011-CPS-001) by CLICKING HERE.

[SOURCE: TREC]


8. Upcoming Courses

June 16: 2011-2012 Residential Core Course (6 hrs. CE) – GNAR Office, Nashville. For more information or to register, call 615-254-7516.

June 20: 2011-2012 Commercial Core Course (6 hrs. CE) – WCAR Office, Brentwood. For more information or to register, call 615-771-6845.

June 22: 2011-2012 Commercial Core Course (6 hrs. CE) – GCAR Office, Chattanooga. For more information or to register, call 423-698-8002.

June 23: NAR Ethics Course (3 hrs. CE) – Springfield Baptist Church, Robertson County. For more information or to register, call 615-384-0816.

June 27: 2011-2012 Commercial Core Course (6 hrs. CE) – MAAR Office, Memphis. For more information or to register, call 901-818-2421.

The complete 2011 schedule of GRI courses (both Classroom and E-Class) is online HERE.

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


9. Rates Hit Another 2011 Low

With employers adding far fewer private-sector jobs than anticipated, the latest Freddie Mac data shows that home loan rates fell for an eighth consecutive week to a new low for the year. The 30-year fixed mortgage averaged 4.49 percent, down from 4.55 percent the prior week. Interest on 15-year fixed loans, meanwhile, dipped to 3.68 percent from 3.74 percent. Five-year adjustable-rate mortgages sank to 3.28 percent from 3.41 percent, and one-year ARMs dropped to 2.95 percent from 3.13 percent.

[SOURCES: Freddie Mac; Information, Inc.]


10. Useful Internet Links

Click on any of the following to access:

Back Issues of the TAR DIGEST
Tennessee Assn. of REALTORS
TAR Education
TAR on LinkedIn
TAR on Facebook
Follow TAR on Twitter
Online Risk Reduction Resources
Online Resources for Association Leaders
Tennessee Real Estate Commission