Dates on Agreements

Happy Friday Red Rock Agents,

March has arrived and even if it didn’t come in like a Lion, the market so far has been nothing less than vicious. Just when I think it can’t get any crazier it sure does. Interesting things are happening right now, but I want to remind everyone to stick to the basics. Do your job and the need for being creative will be less. So, let's go over some of the basics and see if you feel good about it.

I have mentioned this before but let’s go over it with a reason. Dates and amounts on listing agreements and buyer broker agreements. The dates are becoming more critical than ever. In section 1 on both agreements are the termination dates, not the beginning dates of the agreements. We have had clients feel like they can sign with other agents without any recourse. Some of the times we can’t do anything about it because the Buyer Broker Agreement expired the moment it was signed because of the dates in section 1. Let’s say that the dates are good and we’re still under contract with the client. They have shopped around behind your back and went under contract for a property with another agent. Now we can fight with the other company, and we do, but the real meat of a conversation will be with the client. In the buyer broker agreement, it states the buyer will pay X amount of the purchase price to the brokerage for any property they purchase if the seller fails to pay commission. Here’s the key. If you have put in section 1 that the buyer will pay 0 that is just what you can expect. Nothing, that is what they owe us.  Now we are working with smart people most of the time and they understand what they have signed and what the consequences are if they walk out on you, because you have explained it to them. As Real Estate professionals it is our duty to take control and show our clients that we do the business right for their protection. It also shows value, because you do things right, and don’t cave to objections. Even from them. Remember it’s business, not personal. Remind the client of that, and you should gain favor for doing business right.

I have seen agents write in section “1.2 other included items” (All items on the MLS Sheet #xxxxx). I need to let all agents know that you have just bound the seller and yourself to every item on the MLS sheet if it's accepted as it is written. That would include the exact square footage of the home, the exact square footage of the lot, the exact tax amount, and so on. So, in St. George the property tax is 45% higher if it’s a second home. Who would be held responsible for the mistake? The point is don’t let agents for the buyer toss a blanket over the inclusions to include everything. Most of the time it’s really for the inclusions of personal property items and we have an addendum for that.  Remember this is a very word specific business, like the difference between shall and may. Follow the old rule, when in doubt write it out.

The new (Clear Competition) rule sent down from NAR states that agents cannot market any property unless it’s on the MLS. That would include Facebook, Twitter, or even placing a sign on the property. I didn’t make the rules, I just get the calls when we break them. Please keep this newer rule in mind when you take a listing, I don’t think it will be long before we all see ramifications for ignoring this rule. Please follow the rules.

Red Rock is growing. We now have two branch offices, one in Richfield and the other in Lehi. That means we have great agents in other parts of the State we can refer people to, and they can to us as well. I find it interesting but not surprising that good agents are attracted to Red Rock. It’s not because of the low fees, it’s mostly because of the quality of agents we have, and the reputation Red Rock agents carry. Our reputation is earned by the agents we have, and we have great agents. I know this because I see the results we produce and I hear and the comments from our clients. I also want all of you to know that Allen, Michelle, and myself are behind you and have your back when issues come up. Call us anytime we’re here to help.

Please have a great weekend and be safe out there,

‍