NAR Listing Agent
YES
Is there a NAR Policy about seller concessions?
NO- Participant (MLS) must ensure that seller concessions are not limited to or conditioned upon the retention of a payment to a coop broker or buyer broker.
Should a BAC appear on a Lenders Loan Estimate?
YES! (lender has to calculate funds to close properly)
Are written buyer agreements required when listing agents talk with a buyer on behalf of a seller only or as subagents of the seller?
NO. An agreement is not required because the participant is performing work for the seller and not the buyer.
What timeline does a consumer have to apply for/transfer carry over exemption (CAP) for Portability Exemption?
As of Jan 1 of either the 3 immediately preceding years. (you may only go 2 full tax years without filing portability).
NO! Any information about compensation on MLS is prohibited.
NO. Not feasible under the current structure of the mortage finance system no short term legislative fix.
Under NAR Code of Ethics can you steer a buyer based on amount of Broker Compensation?
NO. This is prohibited. REALTORS MUST NOT exaggerate, misrepresent, or conceal pertinent facts relating to the transaction, including facts about broker commissions.
What does it mean to tour a home?
Written BA Agreements are required
Buyer/MLS participant enter the home, provide a live or virtual tour to a buyer (not physically present OK)
Home = residential property of not less or more than 1 -4 residential units.
What is the maximum amount of portability transfer allowed?
$500,000
Does the settlement determine or change listing broker compensation?
NO Change- Compensation can/will still be negotiated
What is an IPC?
Interested Party Contributions. Limits how much seller can contribute to the buyer to pay for services typically paid by the buyer.
Is the compensation paid by the seller to a buyer considered an Interested Party Compensation?
NO It is considered a fee that is "customarily" or "traditionally" paid by seller. Compensation paid by seller is excluded in IPC calculation.
Who will be responsible for enforcing written agreements and ensuring all parties to follow this new practice change?
MLS enforces the rule regarding written agreements.
Can portability be used more than once on future home purchases?
YES Unlimited
Does Standard of Practice 16-16 prohibit the negotiation of buyer broker compensation in a buyer’s purchase offer?
No. A buyer can always ask their buyer broker to make it a term of an offer to purchase that the seller pay certain compensation to the buyer broker.
Will seller concessions communicated on an MLS Participant be binding on the seller?
Seller Concessions usually are not binding until they are established in an executed contract such as listing agreement or purchase contract.
NO- The VA has temporarily lifted ban on buyers paying for Real Estate Agent representation.
Will MLSs be required to get a copy of buyer written agreements?
NO- an MLS is not required to receive a copy but can request it as a matter of their enforcement.
What two values located on the property tax bill make up the calculation for Portability exemption?
Market/Just Value
Less-
Assessed Value
=Portability carry over amount $$
Listing broker offers financial incentive/bonus in addition to paying Buyer Broker Compensation. Can Buyers agent accept this?
NO! Buyer broker may not receive compensation for brokerage services from any source that exceeds the amount or rate agreed to in the agreement with the buyer.
What's difference between seller credit and interested party contribution (IPC)?
IPC
Can a seller concession be a total sum OR the percentage of the purchase price?
It can be both with discretion. The MLS participant must ensure the seller credits are not limited to or conditioned upon the payment to a coop broker, buyer broker.
Which Pre-Closing disclosure forms must include a conspicuous disclosure about the negotiability of commissions?
In addition to Listing Agreement and Written Buyer Agreement- stating commissions are not set by law and are fully negotiable. Dual Agency, SubAgency, Designated Agency (or) to disclose negotiability of commission
Do you have to sell your prior residence in order to qualify for Portability Exemption on your new purchase?
NO You can abandon or give up your existing homestead exemption at any time.