Browsing Category Public Perception

Should you disclose a disruptive neighbor?

What he got was a neighbor who launches into obscene tirades at any hour.So Melton sued the man who sold him the house.At issue is whether the neighbor’s behavior constitutes a nuisance that should have been noted on the “residential seller’s property-disclosure statement” that every home seller has to fill out….Melton eventually asked the former owner to take the house back.  When he refused, Melton sued.Nathan Thinnes, the former owner, said that he wrestled with whether to disclose the neighbor’s problems but was told not to by his Realtor….  And the neighbor and her mother, who lives with her.Local and national real-estate attorneys are hesitant to comment about the case, partly because Melton and Thinnes are both executives in the real-estate business….  The owner makes no representations with respect to any matters that may pertain to parcels adjacent to the subject parcel and that purchasers are advised to exercise whatever due diligence a particular purchaser deems necessary with respect to adjacent parcels in accordance with terms and conditions as may be contained in the real estate purchase contract, but in any event, prior to settlement on a parcel of residential real property; I have been trained my entire career that the seller (and Realtor) are responsible for disclosing problems within the four corners of the property; this is a very wide-ranging case and article – read the whole thing.

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The Single-agent Dual Agency debate is revitalized at VARBuzz

I know some members of the Virginia Real Estate Board have opinions; why don’t they share them now?A sampling:As a listing agent, how can I promise to do the best job possible for the seller, who hired me to protect his interest and sell his home for the best price and terms, then turn around under dual agency where I cannot give him any advice that would harm the buyer?…  As the seller’s agent, if I think that the buyer is in love with the house and would come up $20,000 to avoid losing it, I am in a much stronger position to negotiate.  As a dual agent, my hands are tied and I become a mediocre agent for both parties and truly feel I have been stripped of all my skills and have to keep tape over my mouth.  I have to walk a fine line that serves no one except filling the agent and brokers pockets….Sellers see right through greed and self serving agents.

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Lawrence Yun, thank you for speaking the truth about too many Realtors

How many understand the importance of repeat and referral business and not just a single transaction?Given that about ½ million REALTORS® have less than 5 years of experience, sloppiness in some transactions no doubt exists….  Every attempt by state and local REALTOR® associations to further raise professional standards gets knocked down by government regulators as hindering competition.  NAR has made efforts to strengthen professional standards and the code of ethics but has been careful, knowing that the Department of Justice and Federal Trade Commission will be breathing down our neck….  Which is worse for the consumer (and the profession) – lots of unprepared Realtors waving their state licenses about pretending to be “professionals” or a higher barrier of entry to the profession, so that it might actually be regarded as a profession and not a hobby?Locally, over the past twelve months, in the Charlottesville area, 374 Realtors have had more than five transactions.

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Notes on this morning’s presentation to Charlottesville Realtors

Matthew expressed great thoughts about AR last month.- A near majority of the audience read blogs.- This is a post I wrote last year that explains blogging- I was criticized for my opinion that having an “about page” is sufficient disclosure….  I respectfully disagree and am of the opinion that the Commonwealth is behind the times and that readers are generally intelligent enough to figure out who’s a Realtor and who’s not.  As Realtors, we operate under at least two sets of rules – the NAR Code of Ethics which states:Standard of Practice 12-9REALTOR® firm websites shall disclose the firm’s name and state(s) of licensure in a reasonable and readily apparent manner.Websites of REALTORS® and non-member licensees affiliated with a REALTOR® firm shall disclose the firm’s name and that REALTOR®’s or non-member licensee’s state(s) of licensure in a reasonable and readily apparent manner.  (Adopted 1/07) (bolding mine)The Commonwealth of Virginia says:For a web site, either the firm or the licensee must include disclosure of their status as a real estate licensee in a prominent place, or have an easily identified link to such a disclosure if the firm or licensee owns the webpage or controls its content.For emails, blogs, and bulletin boards, disclosure should be provided at the beginning or the end of the email.

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Even more candor from the National Association of Realtors

I thought I’d never see the day when the NAR economist wrote something like this – Based on the latest available information, my outlook is for new single-family home construction to decline for another year-and-a-half through the second quarter of 2009.  …However, lower home construction activity is just what is needed to help stabilize the housing market….  A high number of vacant new homes will pressure home prices on existing homes to fall and that could result in a sizable loss in housing equity for a vast portion of 75 million homeowners in the U.S. Consumer spending can spiral downward fast from loss in equity and push the economy into a deep recession….  It’s not a pretty forecast, it’s not overtly sunshine-y, but it appears to be an honest assessment, and that’s just what we all need.One question – how many consumers are even aware of the NAR’s history of ahem – BS – analyses?

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Stupid is as stupid does

Recounting a tale from the trenches in the Charlottesville Realtor/real estate world …Another Realtor was showing buyers a development in Charlottesville and an agent was onsite holding an open house.  As the buyers looked around, the Buyer’s Agent (BA) and the sellers’ agent (SA) got to talking.BA: This road in front of the development: It goes into a neighborhood, correct?SA: Yes, but you don’t want to take them that way.  It looks much better the way you came in.BA: I understand, but I want them to see what’s around this property, going both ways.SA: If you go back the way you came, you can show them how close the grocery store is.BA: Thanks, but I can do both.SA: You should really go out this way – it’s much better.When the Buyers and the Buyers’ Agent got in the car – the wife asked, “Which way are we leaving?”…  Then, I’ll show you how close this is to grocery store, restaurant, etc.” Turns out, the wife had heard the Realtors’ conversation.1 – Your Buyer Agent is supposed to look out for your best interests.2 – Had this been a Dual Agency situation, do you think the buyers would have been more or less likely to see the “other” areas?3 – Realtors don’t have an obligation to assess an area’s safety level, but they do have an obligation to be the “source of the source” – provide references by which the clients can determine for themselves.4 – Recognize two things – not all Realtors are focused solely on “making the sale”; but some are.

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