Reprinted from REALTOR® Magazine March, 2001 by permission of the NATIONAL ASSOCIATION OF REALTORS® Copyright 2001. All rights reserved. Structure bonuses clearly and in writing to avoid confusion. Alex’s listing wasn’t selling. To encourage activity, Alex and his broker decided to offer a bonus to the cooperating salesperson. Alex cleared the concept and the amount that … Continue Reading
Oh yes, you can say “it was the Builder; it was not my job!” But if you had a “duty” to the buyer, maybe some legal minds might disagree. When you read this, please note the words “developer or builder or their representatives shall”. It is not your job to: prepare the report, review … Continue Reading
My seller wants me to consider selling a property through an auction. What are some of the considerations? Auctions used to be associated with the sale of distressed property, yet there is a growing sense among the Colorado real estate community that auctions are a means to sell property in any market circumstances. Among the … Continue Reading
Owner purchased Black Acre in 1987 for $60,000 from Seller. Seller conveyed Black Acre to Owner through a general warranty deed. Seller paid for a title policy. The title company which issued Owner’s policy did not find a recorded mineral reservation against Black Acre and therefore failed to show the mineral reservation as an exception … Continue Reading
Why is it so risky for Sellers to allow a buyer to rent the subject property prior to closing? What are the general risks for listing brokers when sellers carry financing in residential transactions? QUESTION #1 Why is it so risky for Sellers to allow a buyer to rent the subject property prior to closing? … Continue Reading
I would like to buy a property I have listed for a seller/client for my own use, or for future resale. I do not want to buy the property to facilitate the seller’s purchase of another property. I want to own the property and do not wish to continue to market it after I … Continue Reading
Pickle in the Middle or Gladiator on One Side? Brokers may sell their own listings while remaining a seller’s agent. This is a specific example of the general phenomenon that brokers may work on a transaction as an agent of one party and assist the other unrepresented party with the ministerial tasks identified in Real … Continue Reading
Question: Did I have a responsibility to ask the buyer about a home sale contingency? I listed a property as a Seller’s agent. During an open house, a buyer, who is not working with any broker, fell in love with the property. Prior to any serious discussion with the buyer, I disclosed to the … Continue Reading
I. Affirmative Obligations vs. Contingencies. Many contract issues which could be addressed by affirmative obligations could also be addressed by contingencies. The first step in writing contingencies is deciding whether you wish to create an “affirmative obligation” or a “contingency.” An affirmative obligation is a provision which requires one of the parties to do … Continue Reading
Co-Author: Brad M. Lund, Esq. Who has the responsibility for making the FHA inspection disclosure notice to buyers: listing brokers, selling brokers or lenders? What are the consequences if the buyer does not execute such a disclosure? Technically, the lenders have the obligation to make the disclosure. However, real estate brokers should monitor timely execution … Continue Reading
