9-26-16 Vol.: 2016 Iss.: 35 • Randy Durham, 2016 President • Phil Newman, TAR Digest Editor

TAR TAKEAWAYS
✔  Unleash the power of professional designations
✔  Get a jump on the new version of TransactionDesk
✔  Find your niche for business success
✔  Score vacation/second-home tips at NAR in Orlando
 
CONTENTS

In the News
1. Your REALTOR
® Leaders Shine

2. Flip Fallacies?
3. A Key to Happiness
Member Services
4. TransactionDesk: Get the Jump
5. RETI Webinar: Riches in Niches

Professional Development
6. The Power of De
$ignation$
7. Second-Home Tips at NAR
Legal & Ethics Hot Line
Timelines and Expirations
8. Submit Expired Offer to Client?

9. Counter Expired Offer?
10. Extend Closing Date on Expired Contract?
Key Links & Resources

 
 

1. Your REALTOR® Leaders Shine
Strong volunteer leadership is the lifeblood of any REALTOR® association. Tennessee is graced with a roster of stellar leaders who give generously of their time and energy to better the association and our service to 24,000+ members, anchored by our 10-member Executive Committee. Both the 2016 and 2017 Executive Committees smiled for the camera during our Fall Convention in Charleston, S.C. A big THANK YOU to these outstanding volunteers! 


2016 Executive Committee
(L. to R.) Leon Dickson Sr., Secretary-Treasurer; Kathy Dunn, Division 2 VP (Middle); Brian Copeland, President-Elect; Nancy Guy, Division 1 VP (West); Randy Durham, President; Pat Beech, Immediate Past President; Travis Close, Division 3 VP (East); Brian Williams, Division 1 VP (West); Hagan Stone, Division 2 VP (Middle); Doyle Webb, Division 3 VP (East).


2017 Executive Committee 
(L. to R.) Regina Hubbard, Division 1 VP (West); Randy Durham, Immediate Past President; Kathy Tucker, Secretary-Treasurer; Leon Dickson Sr., President-Elect; Cindy Stanton, Division 2 VP (Middle); Brian Copeland, President; Kathy Dunn, Division 2 VP (Middle); Travis Close, Division 3 VP (East); Brian Williams, Division 1 VP (West); Robert Bradney, Division 1 VP (West).

2. Flip Fallacies?
The world of flipping is complex, and prospective purchasers are wise to seek the help of a good buyer’s rep to navigate the process.THIS article delves into ways “you can be an advocate for buyers who plan to purchase a house that’s being flipped.”
 
The key points:

  1. See it yourself
  2. Learn the history of a home
  3. Understand the flipping process
  4. Hire a certified home inspector
  5. Bring in additional specialists
  6. Avoid legal glitches

Read the full story HERE.
 

3. A Key to Happiness
A 75-year study on adult development suggests one of the keys to long-lasting health and satisfaction. InTHISTed Talk, the study’s director, psychiatrist Robert Waldinger, says: “The good life is built with good relationships.” He elaborates: “The people who were the most satisfied in their relationships at age 50 were the healthiest at age 80. Good, close relationships seem to buffer us from some of the slings and arrows of getting old. Our most happily partnered men and women reported, in their 80s, that on the days they had more physical pain, their mood stayed just as happy. But the people who were in unhappy relationships, their physical pain was magnified by emotional pain….” Watch his 12-minute message HERE.
 

4. TransactionDesk: Get the Jump
Over the past year, the NEW version of TransactionDesk has been running parallel with the current version. While we don’t have a specific date when the NEW version will be the only option, we anticipate this IMPORTANT CHANGE to be implemented sometime during the first quarter of 2017. 
 
For those who want to get a jump on learning the NEW TransactionDesk, we recommend that you start now. You’ll find that many things are the same BUT the layout and navigation have changed significantly. Watch the screencast
HERE for details.

5. Free RETI Webinar: Riches in Niches
For ideas to identify and leverage your niche in business and marketing, the Real Estate Technology Institute (RETI), a TAR partner, is offering a FREE webinar at 3 p.m. EDT/2 p.m. CDT this Wednesday, Sept. 28: “Finding Your Niche,” led by Warren Dow. Register HERE.

6. The Power of Designations
Studies have shown that REALTORS® who hold professionals designations earn 82 percent more than those without designations. (No, that’s not a typo.) They also boost their level of professionalism, marketability and proficiency. To learn about courses in NAR designations and certifications—many of which also count toward continuing education (CE) requirements—visit HERE.

7. Get Second-Home Tips at NAR
At the upcoming REALTORS® Conference & Expo in Orlando (Nov. 4-7), five sessions will be available that focus on resort- and second-home real estate, including “Home Sweet (Second) Home: Vacation, Investment, Luxury Properties” (advanced enrollment required), and “Unlocking the Mystery of the Home Sharing Economy.” View the list and find more details HERE.

Legal & Ethics Hot Line
Source: TAR Legal & Ethics Hot Line Counsel

Timelines and Expirations
It is critical that REALTORS® observe all timelines in all agreements. If an offer/contract/listing agreement etc. has expired, and an agent ignores that expiration and continues to move forward, problems can easily arise. For instance, if an agent chose to counter an expired offer, and one of the parties wanted out down the road, they could argue that there was no contract since it was accepted after the offer had expired. This is one example among many of what can go afoul if timelines are not properly met. Be sure to address the terminology section of TAR agreements to see how to count days, and which deadlines are drop-dead deadlines. Be ever-mindful of the timelines attached to your agreements.

8. Submit Expired Offer to Client?

QUESTION: I submitted an offer on behalf of a buyer. The listing agent did not respond within the allotted time, and the contract expired. This agent contacted me to say they had received other offers and were submitting them to the seller for consideration along with our offer. Is this ethical?
 
ANSWER: It is quite likely unethical. The Broker’s Act states, “Unless the following duties are specifically and individually waived, in writing by a client, a licensee shall assist the client by receiving all offers and counter-offers and forwarding them promptly to the client.” Tenn. Code Ann. § 62-13-404(3)(A)(ii). TREC Rule 1260-2-.08 states, “A broker or affiliate broker promptly shall tender every written offer to purchase or sell obtained on a property until a contract is signed by all parties.” Therefore, an agent must present all offers to the client unless they have instructed them not to do so in writing and signed by the seller.
 
Furthermore, under Standard of Practice 1-6, “Realtors® shall submit offers and counter-offers objectively and as quickly as possible.” In addition, Standard of Practice 1-7 states in pertinent part, “When acting as listing brokers, Realtors® shall continue to submit to the seller/landlord all offers and counter-offers until closing or execution of a lease unless the seller has waived this obligation in writing.”
 
Therefore, the agent is required to present all offers until closing unless otherwise instructed by the seller. Unless the seller instructs otherwise, waiting to present an offer until after it has expired is likely unethical and in violation of the Broker’s Act.

9. Counter Expired Offer?

QUESTION: Can you make a counter-offer on an offer/contract that has expired? If so, can you state that the counter-offer extends the expiration date of the original offer/contract?
 
ANSWER: No. An offer terminates at the time stated if there has been no response. At that point, the offer is dead. It is recommended that you ask the potential buyer to draft a new offer for your sellers to counter.

10. Extend Closing Date on Expired Contract?

QUESTION: The closing date fell on a Saturday, and the parties were unable to close. It is now Sunday, 1 day after the scheduled closing; can I amend the contract to extend the closing date to Monday?
 
ANSWER: No. You cannot extend the closing date after the contract is expired. The closing date is a drop-dead deadline that does not roll over. A licensee should always consult their calendar before filling in a closing date. A closing date may be extended if agreed upon by both parties AND in writing if done so BEFORE the expiration of the contract. Once the closing date has come and gone with no closing, the contract is dead and not able to be amended. This also applies to a possession date amendment. Any amendment to the contract must be signed and executed prior to the expiration of the contract to be valid.

KEY LINKS & RESOURCES
To check your CE hours: verify.tn.gov/default.aspx
For CE and other courses around TN: tarnet.com/education/
For online CE courses: tarnet.com/education/?target=online-CE-courses/
To ask a TAR Legal and Ethics Hot Line question: tarnet.com/technology-support/legal-ethics-hotline/
TREC: tn.gov/commerce/section/real-estate-commission
TAR website: tarnet.com
TAR on Twitter: twitter.com/tnaor
TAR on LinkedIn: linkedin.com/groups?gid=852077&trk=hb_side_g
TAR on Facebook: facebook.com/pages/Nashville-TN/Tennessee-Association-of-RealtorsR/15041383689

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