The 6-11-13 Newsletter of the Tennessee Association of REALTORS
Editor: Pug Scoville


1. Upcoming COURSES & EVENTS
2. HOT LINE: Changing from Financing to All-Cash?
3. HOT LINE: Seller Occupancy After Closing?
4. We Need Your Help!!!
5. TAR Celebrates National Homeownership Month
6. A Fraud Warning for TN Consumers…
7. Ethics Penalties May Get More Expensive
8. Destination: Destin in September!
9. Getting Paid For Your Problems!
10. USEFUL LINKS


1. Upcoming COURSES & EVENTS

June 12: Contracts 101 (4 hrs. CE) – TAR Office, Nashville. For more info or to register: https://www.123signup.com/event?id=bnyfk

June 19: TransactionDesk Basic (3 hrs. CE) – TAR Office, Nashville. For more info or to register: https://www.123signup.com/event?id=bnyfm

June 19: TransactionDesk Advanced (3 hrs. CE) – TAR Office, Nashville. For more info or to register: https://www.123signup.com/event?id=bnpsx

Online CE Course Promotion for June: Enroll in any online CE Shop courses during the month of June and save 20%! Enter JUNE20 at checkout to receive your discount. Enroll at: http://tarnet.theceshop.com/


2. HOT LINE: Changing from Financing to All-Cash?

QUESTION: What form do you use when there is a change by the buyer from financing to cash?

ANSWER: There is not a form which is specifically geared to remove the financial contingency. Therefore, you can use an amendment form for this purpose. HOWEVER, you need to make sure that the buyer understands the ramifications of removing this contingency. They will have no way to get out of the transaction if something happens and they are unable to come up with the funds to close if they remove the financing contingency.

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


3. HOT LINE: Seller Occupancy After Closing?

QUESTION: We closed a deal where the seller was to remain in the house three days after closing. We used the Occupancy for Seller After Closing agreement. The listing agent insisted that we had to do a walk-through and sign a Final Inspection agreement at closing. None of the options on the Final Inspection agreement apply because the sellers are still in the house, and there will be another walk-through. My opinion is that the Occupancy agreement extends the walk-through until after the seller vacates the house as stated in the Occupancy agreement. You can’t do a thorough walk-through with the sellers’ belongings in the house. Doing a walk-through today would not relieve the seller of providing the house in the same or better condition as on the binding agreement date when they vacate, so it seems pointless. What is the best way to handle this?

ANSWER: The walk-through today would be beneficial in making sure that all repairs have been done prior to closing. If they have not, then this would need to be addressed at closing to ensure that they are completed. Otherwise, you are correct in that the Occupancy agreement does require that another walk-through be done once the sellers vacate to ensure that there is no additional damage to the property.

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


4. We Need Your Help!!!

As we emerge from several years of painfully-slow business in many parts of the state, the Tennessee Association of Realtors (TAR) is looking to the future!

Following is the link to our 2013 TAR Membership Survey, and we hope every reader will take just a few moments and respond to it! It’s a fairly SHORT, 7-QUESTION SURVEY that won’t take much of your time …but it means so much to us if you will stop what you’re doing long enough to give us your feedback:
http://www.surveymonkey.com/s/2013TARSurvey

Please help us chart TAR’s future focus and directions!


5. TAR Celebrates National Homeownership Month

TAR President Randy Thomas joined industry partners and Gov. Bill Haslam in support of National Homeownership Month, which is celebrated each June to highlight the important role housing plays in creating jobs, maintaining viable communities and contributing to the economy. For photos and a link to NAR’s latest TV ad defending homeownership, go to: http://tnrealtors.com/2013/06/tar-celebrates-national-homeownership-month/


6. A Fraud Warning for TN Consumers…

From a press release by TN’s Attorney General Robert Cooper:

*** BEGIN QUOTE ***
Tennessee is cautioning consumers about deceptive travel promoters and timeshare resellers as part of a joint multi-state, multi-national law enforcement initiative, coordinated by the Federal Trade Commission, Attorney General Bob Cooper announced today.

Attorney General Cooper and Gary Cordell, director of the Division of Consumer Affairs (a division of the Department of Commerce and Insurance), are urging consumers to beware in light of complaints of deceptive conduct by some timeshare and vacation club companies. Among the allegations are that some are using misleading sales tactics to induce consumers into purchasing timeshare or vacation club programs that have high maintenance fees, poor travel date and destination selection, and hidden costs. Other abuses consumers complain about include cancellation issues, difficulty contacting customer service, and misleading or deceptive high pressure sales presentations.

Complaints have cropped up of another deceptive practice involving promoters tricking consumers into purchasing deeply discounted or “free” vacation packages supposedly worth thousands of dollars. More often than not, consumers receive nothing of value or are required to attend lengthy, high-pressure timeshare sales presentations.
*** END QUOTE ***

To read more, go to: http://tnreport.com/2013/06/07/tn-joins-multi-state-multi-national-initiative-against-travel-timeshare-deception/


7. Ethics Penalties May Get More Expensive

Among the actions approved by the NAR Board of Directors in May, the maximum penalty that can be imposed for an ethics violation was significantly increased. The recommendation that “the maximum permissible fine that may be imposed for violations of the Code of Ethics and other membership duties established in Section 1(j), Definitions Relating to Ethics, and in Section 14(d), Nature of Discipline, Code of Ethics and Arbitration Manual, be increased to $15,000” was approved by the NAR Directors!

The previous maximum penalty was $5,000, which NAR’s Professional standards Committee felt might be treated only as a “slap on the wrist” or a permissible “business expense” by some. The new maximum penalty amount gives a Hearing Panel the option of imposing a more painful lesson!

As with all ethics changes, this one does not take effect until January 1, 2014.


8. Destination: Destin in September!

Register for the 2013 TAR Annual Convention (Sept. 18-20) in Destin, Florida and enjoy great education featuring national speakers, as well as a beautiful beach, wonderful events, area golf, and a chance to network with other Tennessee Realtors! With the revival of a healthy real estate market, this whould be the PERFECT WAY to reward your own hard work this year! For more information or to register, go to: http://tnrealtors.com/meetings-and-events/convention/


9. Getting Paid For Your Problems!

During the month of June we’re looking for actual stories about troublesome situations that you’ve found yourself in …stories that could be used in TAR education courses and programs (without using actual names of course!). We’ve already sent checks to THREE of your fellow-Realtors!

What’s YOURS!?! We would love to hear the details (no names needed!) of any situation(s) in which you’ve been involved – problems or scenarios that challenged you as a buyer’s agent OR as a seller’s agent. It can be something that you did or didn’t do, OR something that the agent on the “other side” of the transaction did or didn’t do!

Either way, if it’s a good story, we’d like to use it in some future education programs (changing any names, of course) AND we’ll pay up to $75 for any story we use!

To submit a story, simply write it up in an email with as much detail as possible, and email it (with your own name and address) to:


10. USEFUL LINKS

To access current and past TAR DIGESTS: http://www.tardigest.com

Follow TAR on Twitter at: http://twitter.com/tnaor

TAR’s LinkedIn page: http://www.linkedin.com/groups?gid=852077&trk=hb_side_g

TAR’s page on Facebook: http://www.facebook.com/pages/Nashville-TN/Tennessee-Association-of-RealtorsR/15041383689

To ask a TAR Legal and Ethics Hot Line question: http://tnrealtors.com/services-support/legal-ethics-hotline/

For CE classroom courses around the state, go to: http://tnrealtors.com/education/realtor-courses/

For online CE courses, go to: http://tnrealtors.com/education/online-courses/

Tennessee Real Estate Commission: http://tn.gov/regboards/trec/

To check your CE credits on file with TREC, go to: http://verify.tn.gov