Get the Facts - Member Updates

  • by Washington REALTORS®
  • May 22, 2024, 09:14 AM

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May 21, 2024Edition

Member Updates

What Happens When You Put 6Top RE Lawyers in a Room Full of REALTORS®?

You walk away with clarity on the latest real estate legal issues impacting your clients and your business! It doesn't matter if this is your first or fifth time taking this course, you'll walk away with topical and timely information! Join us on May 30th at the DoubleTree in SeaTac for one of the most anticipated WR events of the year. 7.0 CE hours, lunch, AND parking are included.

Watch here as Annie Fitzsimmons gives an EXCITING message about what to expect from the 2024 Legal Symposium! ▶️

 

Consumer Handout

"This is Why I'm a REALTOR®"

Washington REALTORS® members now have access to a handy flyer to share with clients, showcasing REALTOR® efforts to protect homeowners and buyers. The flyer details legislative successes, including preserving seller disclosure standards, promoting affordable housing, and stopping tax increases that would affect housing affordability. It highlights how REALTORS® have saved clients money, advocated for them during COVID, and worked on diversity, equity, and inclusion initiatives. This resource demonstrates the value of REALTOR® membership and the significant impact of their advocacy.

When talking to clients, explain this flyer and tell them, "THIS is why I am a REALTOR®."

Thumbnail image of the flyer available for download.

 

VOLUNTEER OPPORTUNITY!

REALTORS®, We Need Your Help!

Washington REALTORS® partnered with Junior Achievement (JA)to help support financial literacy among our youth and we need volunteers! The time commitment is very reasonable and your participation can make a significant impact helping Washington youth succeed in life!

SIGN UP HERE, select the date/location of your choice and follow the prompts. Please note that if you are new to the system, you must first create an account and then sign up for your volunteer experience.

 

Last Chance to Take These Surveys!

The Washington State Real Estate Commission Would Like to Hear From You!

The commission is collecting information to assess impacts related to Substitute Senate Bill (SSB) 5399Concerning future listing right purchase contracts (RCW – 61.38.901), formerly known as 40-year contracts.

A 'future listing right purchase contract' means a contract granting an exclusive right to list residential real estate for sale in the future and includes, but is not limited to, any document recorded in the county where the real estate is located relating to the contract including the contract itself, a memorandum concerning the contract, or a deed of trust to secure the terms of the contract.

The survey is anonymous. The information you give will be analyzed to provide recommendations for consumer protections and potential regulations, including potential licensing requirements. The findings will be reported to the state legislature at the end of the year.

Did You Know?

Your Safety is Our Priority!

WR has secured an exclusive discount for the SafeShowings™ App – the first real estate safety solution of its kind. SafeShowings™ captures a facial image in real-time of someone entering a property with you, automatically texting your emergency contacts with their details and your geolocation if needed.Feel more secure and give peace of mind to your loved ones for less than the cost of one cup of coffee per month. Available for both iOS and Android. Stay safe, stay connected!

Legal HotlineQ&A of the Week

Question

If a potential Seller reaches out to me and wants me to list their property for sale but not offer a Buyer Broker Compensation, are there any ramifications if I choose not to take the listing?

Answer

If broker is choosing not to take the listing because the seller is not offering buyer broker compensation, broker should re-think broker’s position. There are a lot of good reasons for a broker not to take a listing. Perhaps the seller is unrealistic with respect to the value of the home. Perhaps the seller wants the broker to conceal defects that listing broker cannot conceal. Perhaps seller wants to negotiate in a way that makes listing broker uncomfortable. Perhaps listing broker just doesn’t like seller and doesn’t want to work for seller. But if the reason broker refuses the listing rests solely on the fact that seller doesn’t want to offer buyer broker compensation, broker should re-think any decision not to take the listing.

Based on state and federal law as well as MLS and REALTOR® policies, no seller is required to offer compensation to a buyer broker. Forcing a seller to offer compensation to a buyer broker violates antitrust law. If the last five years have taught the industry anything, that is the lesson. Everyone in the industry may not agree with that conclusion but at least one federal district court judge reached that conclusion and it remains the foundation for changes in industry protocols. Thus, when broker tells a seller “you have to offer compensation to a buyer broker or I refuse to do business with you” broker incorporates and perpetuates policies and practices that violate anti-trust law, into the heart of broker’s individual business. Policies and practices that every REALTOR® MLS and association have chosen to shed because they are deemed unfair, are the policies and practices on which broker chooses to base business decisions. That is unwise.

Understand the many benefits that flow to seller from a buyer having competent representation. For example, a competently represented buyer is a buyer whose financial qualification to purchase seller’s home is confirmed before an offer is made, who understands the operation of the forms and timelines and the importance of taking necessary actions in a timely manner to move the transaction along, who has the ability to inspect seller’s home without exposing seller or listing broker to unwanted information and who has the industry connections to get all of the many tasks required of a buyer accomplished in time for closing. Broker should help seller to understand that incentivizing a buyer to come to the transaction with competent representation could actually help seller market and sell the property. However, if seller ultimately chooses not to offer compensation to buyer broker then listing broker should consider whether seller’s property is nevertheless marketable.

If seller lists the property at the given price but doesn’t offer buyer broker compensation, is it nevertheless likely that the property will sell? If so, why wouldn’t broker list the property? Broker should counsel seller to consider that any offer may include a request for seller to pay compensation to the buyer’s broker and broker should encourage seller to keep an open mind about how that transaction would work. If a viable buyer requires seller’s assistance to compensate buyer’s broker, then seller should understand that seller may need to incorporate compensation to buyer broker into the transaction terms even if no offer is made to buyer broker at the time of listing.

There may be good reasons, in addition to seller’s refusal to offer compensation to buyer broker, justifying broker’s preference not to list seller’s property. If those reasons are compelling, then broker should not list seller’s property. However, if the only reason that broker chooses not to list seller’s property is because seller chooses not to offer buyer broker compensation as part of seller’s listing, then broker should reconsider broker’s position. It was that very reasoning, at an industry wide level, that resulted in litigation and ultimately a settlement costing members of the real estate industry millions of dollars.

The Legal Hotline Lawyer does not represent Washington REALTORS® or its members. The advice contained herein does not constitute legal counsel. To browse through our database of past Q & A’s, visit warealtor.org/legal-hotline. Attorney Annie Fitzsimmons writes the Legal Hotline Question and Answer of the Week. This is a WR members-only benefit so you will be prompted to log in with your M1 number and password. Your Designated Broker is cc’d on Legal Hotline inquiries.

MARK YOUR CALENDAR

AE Training

June 6th-7th, 2024

Seattle, WA.

Fall Business Conference

September 18th-20th, 2024

Kennewick, WA.

WR 2024 Leadership Conference

October 23-25, 2024
Vancouver, WA

NAR Annual Convention

November 6-11, 2024
Boston, MA

 

MORTGAGE RATES

Source: Mortgage News Daily

 

Graph showing Current Mortgage Rates

 

EDUCATION OPPORTUNITIES

 

Operation Evolve 2.0: Adapting to New Legal Requirements and Consumer Expectations
Wednesday,May 22nd, 2024(8:30am-12:00pm) 3.5 CE Hours

Greenbank Progressive Club, Greenbank, WA.
Learn More & Register

 

NAR Code of Ethics - 3.0
Wednesday, May 22nd, 2024 (9:00am-12:00pm)3CE Hours

Live Webinar

Learn More & Register

 

At the Intersection of NAR's Settlement, Escrow Closings and Residential Lending
Wednesday, May 22nd, 2024(1:00pm-4:30pm) 3.5 CE Hours

Greenbank Progressive Club, Greenbank, WA.
Learn More & Register

 

Operation Evolve 2.0: Adapting to New Legal Requirements and Consumer Expectations
Thursday, May 23rd, 2024(8:30am-11:30pm) 3.5 CE Hours

Hotel Bellwether Ballroom, Bellingham, WA.

Learn More & Register

 

Current Issues in WA Residential 24-25 Real Estate

Thursday, May 23rd, 2024(9:00am-12:00pm) 3CE Hours

Live Webinar

Learn More & Register

 

Death, Divorce and Disgruntled Clients
Tuesday, May 14th, 2024(1:00pm-4:30pm) 3.5 CE Hours

Hotel Bellwether Ballroom, Bellingham, WA.
Learn More & Register

 

Washington Real Estate Fair Housing
Thursday, May 23rd, 2024(1:30pm-4:30pm) 3.0 CE Hours

Live Webinar

Learn More & Register

 

View All Upcoming Classes...

 

THANK YOU FOR BEING A
WASHINGTON REALTORS® MEMBER!

 

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