8-21-17   •   Vol. 2017 Issue 30    •   Brian Copeland, 2017 President   •  Phil Newman, Editor

TAKEAWAYS:
✔  *Change to Purchase and Sale Agreement*
✔  Call for Action Expected Tues. 8/22—Are You Ready?
✔  Social-media marketing tips to generate leads
✔  Hotline: proper use of Tennessee REALTORS
® forms 
✔  Catching the eclipse? Have fun & watch your eyes! —->

*Reminder*: Sign up TODAY for NAR Mobile Alerts!
We expect a Call for Action (CFA) to save national flood insurance to go out tomorrow, Tues., Aug. 22! To be sure you receive it, sign up for REALTOR® Party Mobile Alerts (RPMA) if you haven’t yet. It’s easy: 

** Text the word REALTORS to 30644 on your mobile device or go HERE to fill in your details.**

“If we aren’t going to do it, who will?” 
Are NAR mobile alerts important for you to receive? YES, says Tennessee REALTOR® Hagan Stone, whose family was one of many that endured Nashville’s epic flood of 2010. Click anywhere below to watch his short testimonial. [Text REALTORS to 30644!]

*Effective TODAY: Changes to Appraisal Section
of Purchase and Sale Agreement*
As of today, August 21, the Tennessee REALTORS® Residential Forms Committee has made the following changes to the appraisal section of the 2017 purchase and sale agreement, with revisions to forms RF401, RF403, and RF404, RF656, and RF708 (red = former; blue = new):

This Agreement IS CONTINGENT upon the appraised value either equaling or exceeding the agreed

upon Purchase Price. If the appraised value is equal to or exceeds Purchase Price, this contingency is satisfied.  In consideration of Buyer having conducted an appraisal, the sufficiency of such consideration being hereby acknowledged, if the appraised value of the Property does not equal or exceed the Purchase Price, Buyer shall terminate this Agreement or waive appraisal contingency via the Notification form or equivalent written notice within two (2) days following Buyer’s receipt of Appraisal;  Buyer shall promptly notify the Seller via the notification form or written equivalent notice.  Buyer shall then have 3 days to either:

  1. waive the appraisal contingency via the notification form or equivalent written notice
    OR
  2. terminate the agreement by giving notice to seller via the notification form or equivalent written notice.  Upon timely termination, Buyer is entitled to a refund of the Earnest money. 

iIn the event Buyer fails to do so to either waive the appraisal or terminate the agreement as set forth above, this contingency is deemed satisfied.  Thereafter, failure to appraise shall not be used as the basis for loan denial or termination of contract. Seller shall have the right to request any supporting documentation showing appraised value did not equal or exceed the agreed upon purchase price.  Upon timely termination, Buyer is entitled to refund of the Earnest Money/Trust Money

In the new version of the purchase and sale agreement, the Buyer shall promptly notify the Seller if the appraised value of the Property does not equal or exceed the purchase price. After notification, the Buyer has 3 days to either waive the appraisal contingency or terminate the agreement. This language will still allow Buyers and Sellers to negotiate a new purchase price and execute an amendment to the contract within those 3 days if the parties wish to do so.

This is a change from the current requirement that the Buyer must terminate the agreement or waive the contingency within 2 days following Buyer’s receipt of an appraisal where the value does not equal or exceed the purchase price.

This change will appear in the Residential Purchase and Sale Agreement (RF401), The Lot/ Land Purchase and Sale Agreement (RF404), and the New Construction Purchase and Sale Agreement (RF403). In addition, the Notification form (RF656) and the Purchase and Sale Agreement Timeline Checklist (RF708) have been edited in support of the Purchase and Sale Agreement. 

If you have any questions regarding the changes, please contact our Legal and Ethics Hotline at 800-899-5297.

*ONE WEEK LEFT* to Register for Memphis
Our Sept. 1 advance-registration deadline is almost here. Scroll down OR watch the preview video starring 2017 President-Elect Leon Dickson Sr. OR head to the Registration page HERE. **Be sure to buy your tickets to the Inspirational Breakfast and the Main Event when you register! The Kickoff party at BB King’s is included with registration.

Social Media Marketing Tips — Webinar Wed., 8/23
Prospecting for real estate leads on social media is a great way to grow your business. Get proven techniques to generate new clients in a free webinar with Amy Smythe-Harris and Craig Grant of the Real Estate Technology Institute (RETI), a Tennessee REALTORS® partner, 3 p.m. EDT/2 p.m. CDT this Wed. 8/23. RegisteHERE.

Committee Nominations: ByAug. 31!
Are you ready to serve in statewide leadership? Apply for a 2018 Tennessee REALTORS®committee, RPAC Trustee or TREEF Trustee position. You MUST apply by 8/31! Committee & RPAC  trustee:  HERE. TREEF trustee: HERE(login required)



Mark Your Calendar: Wed., Oct. 11 CE Courses!

Tennessee REALTORS® hosts BASIC and ADVANCED TransactionDesk courses to help you sharpen your skills, 3 hours CE each, taught by Brent Maybank. Sign up early! 

**Click the course title below to go to the portal and register. (member login required)

TransactionDesk BASIC
Wed., Oct. 11 — 9:00 a.m.–Noon

With TransactionDesk “in the cloud” you can access and manage your real estate forms, contracts, documents and contracts from any computer with internet access—and always have your “virtual” real estate office with you. Bring your laptop and/or smart device!

TransactionDesk ADVANCED
Wed., Oct. 11 — 1:00–4:00 p.m.

You’ve worked with TransactionDesk…now take it to a higher level and learn about the integrated cloud service (DocBox), E-signatures (AuthentiSign), and E faxing (InstaFax). Combine these features with filling out forms and transactions, and you’ve got a complete transaction-management solution. Designed for moderate to advanced users. Bring your laptop and/or tablet!

For more upcoming classes, log in to the portal HERE and look around.

Get details and Register HEREView/print the Schedule HERE.
See our all-star CE Speakers HERE. Help us thank our generous Sponsors HERE.


Source: Tennessee REALTORS® Legal & Ethics Hotline Counsel

Appropriate Use of Tennessee REALTORS® Forms
As a benefit of membership, Tennessee REALTORS® provides an extensive library of forms to help REALTORS® conduct real estate transactions. These forms are copyrighted by Tennessee REALTORS® and are afforded protection through those copyrights. Below are some hotline questions and responses to help you correctly use the forms without losing any of those protections.

Type/Write Agent’s Name into Bottom of a Form?

Q: Is it a requirement to have the agent’s name listed on the bottom of their Tennessee REALTORS® forms? Can it be typed in?

A: The REALTOR® (or other authorized user) must have his name tattooed on the bottom of the form. REALTOR® names are automatically inputted onto the Tennessee REALTORS® forms for the purposes of authenticating that the person originating any Tennessee REALTORS® form is an authorized member. It also tells all parties in the transaction that the named person is involved in the transaction.

Tampering with this field by hand-writing the name in the field (pen and ink) OR a leaving the field blank is a RED FLAG that indicates to our membership that possible copyright infringement may be taking place. Team leaders, brokers, and/or other agents should not input their names to forms created by someone else.

All members are encouraged to call Tennessee REALTORS® if a copyright infringement is suspected. The association will investigate all issues that are reported and will enforce its copyright under the Federal Copyright Law if action is needed.

Use the Forms for a FSBO?

Q: Can I provide Tennessee REALTORS® forms to my neighbor if they are selling their home as a for sale by owner (FSBO)?

A: No, you may not. All Tennessee REALTORS® forms are copyrighted, and only Tennessee REALTORS® members may have access to those forms. It would be unlawful for a licensee who is not a Tennessee REALTORS® member or an unauthorized member of the public to use any Tennessee REALTORS® form to complete the transaction. The association’s forms are a membership benefit. Any non-member using a Tennessee REALTORS® form may be reported to the association, which will determine what actions are needed. As long as one of the parties is working with a REALTOR®, then the Tennessee REALTORS® forms can be used.


Adapt a Form for Commercial Transaction?

Q: We are preparing a referral on a commercial property; however, the commercial form doesn’t provide for how we would like to get paid a referral fee. What are our options?

A: It is advisable to have an attorney assist you in altering the form to meet your specific needs. You will need to change the font of the document to sans serif so it will be distinguishable from a Tennessee REALTORS® form. You will also need to remove the Tennessee REALTORS® logo and copyright information at the bottom of the document. Note that by altering the form, Tennessee REALTORS® will no longer accept legal responsibility from any claim arising out of the use of the form.

LINKS:

Past issues of The Digest
Check your CE hours
Find CE and other courses in TN
Find online CE courses
Contact our Legal and Ethics Hotline
Tennessee Real Estate Commission (TREC)
Our website
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