October 24th, 2022 at 2:41 pm
Multiple Choice Question: Another agent in our company has a listing for a property offered for sale. You and the listing agent agree that you will handle the listing while the listing agent goes away on vacation for a week. The listing agent will be doing an Agent Visual Inspection Disclosure (AVID). Are you, as the substitute agent, legally required to do your own AVID? Pick the best answer:
A. Yes.
B. Yes, if you are added as another “Listing Agent” to the listing agreement.
C. Yes, if you help the seller respond to a submitted offer.
D. No. (more…)
October 17th, 2022 at 3:32 pm
Multiple Choice Question: You are a buyer’s agent for a pending condo purchase. Your 2 buyer-clients have 2 emotional support animals (ESAs). You’ve just discovered that the homeowners’ association (HOA) only allows one pet per unit. What should you tell your clients? Pick the best answer:
A. Just have one ESA, or cancel the purchase under their HOA Disclosures contingency.
B. Don’t worry because the HOA may never discover the second ESA.
C. Don’t worry because an ESA is not a pet.
D. Don’t worry because the 2 ESAs are protected by law.
E. Ask the seller to get a letter from the HOA agreeing to the buyers’ ESAs. (more…)
October 11th, 2022 at 9:43 am
Last Week’s Fact Pattern: Last week’s Legal Tip involved what a buyer’s agent should do upon receiving a Seller Counter Offer (SCO) that fails to address the fact that the buyer’s underlying offer had already expired. In summary, the buyer’s agent should point that fact out to the buyer, and let the buyer decide whether to just counter-sign the SCO, issue a Buyer Counter Offer (BCO), or otherwise try to clarify that the parties have a valid contract despite the fact that the buyer’s underlying offer had already expired. If the buyer does not address this issue with the seller’s side, it’s possible that the seller will try to later argue that there’s no valid contract. But what if the tables are turned? (more…)
October 3rd, 2022 at 2:10 pm
Multiple Choice Question: A buyer submits an offer to the seller’s side. After the buyer’s offer has already expired, the seller issues a Seller Counter Offer (SCO). The SCO does not address the expiration of the buyer’s offer. Other than that, the buyer wants to accept the seller’s terms. What should the buyer’s agent do under these circumstances? Pick the best answer:
A. Just have the buyer counter-sign the SCO and hope for the best.
B. Insert right above the buyer’s signature on the SCO that the parties agree that they have a valid contract even though the buyer’s offer had already expired.
C. Issue a new Buyer Counter Offer (BCO) stating that the parties agree that they have a valid contract even though the buyer’s offer had already expired.
D. Let the buyer decide how to proceed. (more…)
September 26th, 2022 at 7:35 pm
Multiple Choice Question: The safe harbor clause in the C.A.R. Residential Listing Agreement (RLA) generally protects a listing agent’s commission if certain buyers buy the property after the listing expires (as discussed in last week’s Legal Tip). But what if you’re the next listing agent? Let’s say that you’re about to take a new listing, and the sellers tell you that they previously listed the property with Agent Ada from another brokerage. As the new listing agent, how should you handle Ada’s list of prospective buyers? Pick the best answer:
A. You can ignore it.
B. You must exclude those names from your listing agreement.
C. You must discuss the matter with the sellers, as according to the NAR Code of Ethics.
D. You must discuss the matter with the sellers, as according to both the NAR Code of Ethics and the law. (more…)
