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For the latest in statewide news, member services, professional development, legislative updates, Legal & Ethics Hotline Q&As, and more

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10-16-17   •   Vol. 2017 Issue 37    •   Brian Copeland, 2017 President   •  Phil Newman, Editor

TAKEAWAYS:
✔  Transit in Tennessee: big developments coming this week
✔  Which two TN zip codes are among America’s hippest?
✔  Learn how Evernote can boost your business
✔  Hotline: how to get along with other REALTORS® ——->
✔ 
Time’s almost up to get in on 10/23 Brokers CE + Lunch

Two TN Zip Codes Are Hot U.S. Hipster Markets
Thanks to the hipster movement, America is dotted with beard-boots-and-flannel hot spots—and two of the hippest zip codes are right here in Tennessee. In a newly released realtor.com® / Yelp Top 50 list, Memphis–38104 (#41) and Nashville–37204 (#49) made the cut. In a mild surprise, Seattle–98122 came in #2, behind…wait for it: #1 Columbus, Ohio–43202. The next-nearest hip hangout to TN is Louisville–40217 at #8. See the full rankings HERE.

Transit it TN: What Can Ease the Gridlock?

Transportation is in the news. As more new residents arrive in Tennessee each day, discussion and debate on transit-related issues has intensified: how to alleviate interstate congestion, ways to expand surface roads, ideas for mass transit such as express-bus lanes and light rail, and more.

As part of our commitment to advocate on behalf of our 26,000+ members and property owners throughout the state, Tennessee REALTORS® is keeping a close eye on developments in Gov. Haslam’s administration and in the General Assembly that would improve transit options for all of our communities.

Among the groups focused on the issue is the Tennessee Transit Coalition, a partnership through the Tennessee Public Transportation Association (TPTA), whose 26 member agencies span every corner of the state. Learn more HERE or get involved HERE.

At the TPTA’s annual conference tomorrow (Tuesday, Oct. 17), Nashville Mayor Megan Barry is expected to outline a “bold, comprehensive transportation solution” that will help solve growing traffic problems and meet the city’s transit needs. The Transit for Nashville Coalition includes 64+ members, including Greater Nashville REALTORS®. *A petition is available to sign HERE or by texting LESSGRIDLOCK to 615-930-3313.*

Stay tuned for more developments as they (e)merge.

The Next 10 Years in Real Estate
“The next decade is difficult to predict in real estate,” asserts THIS ARTICLE in Born2Invest, “Nonetheless, if we could paint a picture…based on today, what will it tell us?” Future trends are likely to include:

— Steady construction         — Interest-rate increases
— Demographic shifts          — Rental decrease
— Warming temperatures    — Fix-and-flip craze fizzles

Read the whole story HERE.

Evernote Secrets — Free Webinar Wed., 10/18
Evernote is a powerful, but also confusing, real estate tool because it can do so much. Get the scoop with Evernote expert Amy Smythe-Harris and Craig Grant in a free webinar from the Real Estate Technology Institute (RETI), a Tennessee REALTORS® partner, 3 p.m. EDT/2 p.m. CDT this Wed. 10/18. Register HERE.

Reminder — Mark Your Calendar!
REALTOR® Day on the Hill — Tues., Jan. 30, 2018
The New Year will be here before we know it, and soon after the Tennessee General Assembly will reconvene on the Hill to discuss and debate legislation with huge implications for real estate. Mark your calendar and plan to join us for a power-packed day in Nashville.

At REALTOR® Day on the Hill Tues., Jan. 30 —we will gather at the Capitol to meet with Senate and House members, discussing issues vital to property owners and REALTORS® in your local community.

Stay tuned for more details on this opportunity to make your voice heard in the halls of leadership. Visit our website HERE for Vote. Act. Invest. information. 

*Next Week!* BROKER Session/Lunch = 2 hrs. CE
If you’re a broker, join us at Tennessee REALTORS® or live online for a 2-hour CE** Broker Involvement Meeting Monday, Oct. 23, 9:00 to 11:00 a.m. (lunch to follow). The meeting will focus on involvement with the REALTORS® Political Action Committee (RPAC), keys to increasing participation among agents, and a law/rules update from the Tennessee Real Estate Commission (TREC). There is NO charge but seats are limited; go HERE for more details and to register. Lunch sponsored by the Bradley law firm. **To earn 2 hrs CE, you must attend at our office OR watch online at a participating Local Association office.


Source: Tennessee REALTORS® Legal & Ethics Hotline Counsel

Interacting with Other REALTORS®
Not only is treating others professionally and ethically a good way to maintain healthy relationships—and avoid Kevin Hart’s famous “oh I see how it is” look—but it’s also a core part of your commitment as a REALTOR®. NAR’s REALTOR®Code of Ethics provides Standards of Practice that mandate ethical behavior. Some of those standards pertain to how a REALTOR® should interact with peers. This edition’s questions and answers apply those standards to help you navigate real-life situations.

Recruiting Agents from Another Firm?

Q: Can you please advise on how to ethically recruit agents from other firms to join our firm?

A: There is nothing within the Code of Ethics prohibiting firms from recruiting other firms’ agents. The only rule within the Code of Ethics that could apply is Article 15, which states:

Realtors® shall not knowingly or recklessly make false or misleading statements about other real estate professionals, their businesses, or their business practices.

You may want to check with your local board to determine if they have any rules that would apply.

There also is a provision of TREC Rules regarding recruiting. Firms are not permitted to solicit agents in conjunction with education and/or schools, pursuant to Rule 1260-5-.06:

 (1)    No course in real estate which is designated to satisfy educational requirements established in T.C.A. § 62-13-303 may be:

(a)     conducted in a facility which is also utilized for conducting business of a broker or brokerage firm; or

(b)     advertised in conjunction with any advertisement for the business of a broker or brokerage firm.

(2)     No broker or brokerage firm shall use or cause to be used any facility in which a course in real estate designated to satisfy educational requirements established in T.C.A. § 62-13-303 is conducted for the purpose of discussing, inducing, or promoting affiliation with such broker or brokerage firm.


Taking Listings Before Other Agreement Ends?

Q: I am inquiring about the legal process of acquiring a property from an owner who has their rental with another Property Management company. What boundaries could be crossed, if any?

A: It is recommended to wait until the agreement has been properly released by the previous REALTOR®. The seller is not legally able to enter into a new agreement until the first one has been terminated pursuant to that agreement.

Further, pursuant to Tenn. Code Ann. § 62-13-312(b)(10), an agent can be punished for “Inducing any party to a contract, sale or lease to break such contract for the purpose of substitution in lieu thereof a new contract, where such substitution is malicious or is motivated by the personal gain of the licensee.”

Article 16 of the NAR Code of Ethics states, “Realtors® shall not engage in any practice or take any action inconsistent with exclusive representation agreements that other Realtors® have with clients.”


Communicating with the Seller Directly?

Q: Can I legally present an offer on behalf of my buyer to a seller, with notice to the listing agent?

A: No, you may not present an offer on behalf of your buyer to a seller with only notice to the listing agent, under Article 16 of the NAR Code of Ethics. Standard of Practice 16-13 says, “All dealings concerning property exclusively listed shall be carried on with the client’s representative or broker, and not with the client, except with the consent of the client’s representative or broker or except where such dealings are initiated by the client.”

Notice to the other agent is not enough; you must have their permission to communicate with the seller directly. If you receive their consent, then you are able to do so.


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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LinkedIn
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