I am aware of the legal concept that if an agent breaches his fiduciary duty to a client, the agent may forfeit his right to a commission, regardless of whether that breach of duty caused damage to the client. Does that same concept apply to transaction brokers? No. In the recent decision of Hoff … Continue Reading
I am aware that Colorado’s Designated Brokerage legislation requires all brokerage firms, even one person offices, to have a brokerage relationship policy. What are the issues which should be addressed in such a policy? General Theme The drafting of an agency policy requires the balancing of a variety of considerations. The policy should create predictability … Continue Reading
I am a broker helping buyers purchase their first home with FHA financing. The buyers knew that they needed to bring 3% of the purchase price to closing. They have had an unexpected setback and have asked me to loan them $500 to complete their 3% down payment. I know these kids are good for … Continue Reading
This article educates readers about how to avoid inadvertently committing loan fraud. Another article on our website, “How to Commit More Loan Fraud,” intends to further help real estate professionals and sellers from inadvertently becoming caught up in such a scheme. Question: I have brokered a transaction in which the seller is willing to give … Continue Reading
Buyer and seller are under contract. After the contract is formed and before the contract closes, the market value of the property increases dramatically. Before a due diligence contingency of the deal expires, the buyer seeks an extension of the contingency. Does a transaction-broker have a duty to disclose to the seller that the … Continue Reading
Reprinted from REALTOR® Magazine http://www.realtor.org/realtormag February, 2002 by permission of the NATIONAL ASSOCIATION OF REALTORS® Copyright 2002. All rights reserved. At her buyer clients’ request, Joan went to the inspection. “She was our agent, and we thought she should be there,” the buyers would later testify. Occasionally, just to make sure the inspection was … Continue Reading
Part II In Part I of this article, the differences between listing agreements and property management agreements were discussed. A primary difference is that listing agreements are short-term, while property management agreements contemplate a continuing relationship between manager and owner. There are no Real Estate Commission approved forms for property management. Owners and managers routinely … Continue Reading
Part I The nature of a listing agreement is different from a property management agreement. With a sale listing, the owner and the broker contemplate a relatively short term relationship which terminates upon the sale of the property. Unless the seller carries financing, neither the seller nor the broker expect to deal with the property, … Continue Reading
Reprinted from REALTOR® Magazine July, 2001 by permission of the NATIONAL ASSOCIATION OF REALTORS® Copyright 2001. All rights reserved. Sarah was excited about signing her first buyer agency contract. She told her buyers she’d look out for their best interests, and they smiled, signed, and said they understood. Sarah then searched the MLS for possible properties. … Continue Reading
My seller wants me to consider selling a property through an auction. What are some of the considerations? Last month’s article identified some of the major issues associated with an auction and defined some auction terminology. Among those issues are whether the auction is “absolute,” “subject to seller confirmation,” or “hybrid” with a minimum bid. … Continue Reading
