legallines
6.
Is the answer to question #1 consistent with the VREB guidance document?
A: According to the VREB guidance document, it all depends on the intent of the person making the request. If he
requests a Realtor to provide MLS search information with the intent to engage the Realtor to buy a home, then a written buyer brokerage agreement is necessary. Conversely, if he requests a Realtor to provide MLS search information without the intent to engage the Realtor to buy a home, then no written buyer brokerage agreement is necessary. On the latter, caution should be used as to not violate MLS rules when disseminating MLS information to unrepresented third-parties.
When you are the listing agent
Listing agreements
7.
9.
by an agent. In this scenario, you represent the seller as a client and can treat the buyer as a customer. You are allowed to perform ministerial acts (basic administrative functions) for the customer. However, if the buyer does want to be represented by an agent, a written buyer brokerage agreement must be executed. Remember to provide a Disclosure of Brokerage Relationship when appropriate. You must disclose any brokerage relationship you have with a party to the transaction as soon as you have a substantive discussion about a specific property with an actual or prospective buyer, seller, landlord, or tenant who isn’t your client and who is not represented by another licensee. Two common categories of substantive discussions: Pricing — e.g., if a prospective purchaser asks you if the seller is willing to reduce the sale price; Repairs — e.g., if a prospective purchaser asks you if the seller is willing to paint the house as part of the contract.
keting materials to a prospective seller who is interviewing for the purpose of retaining a licensee to sell property without a written brokerage agreement. Of course, if you’re selected as that listing agent, you must execute a listing agreement.
What if I represent a seller and an interested buyer wants me to write the offer but does not want representation? Do I need a written buyer broker agreement with the buyer? A: No. The law does not force buyers to be represented
8.
Can you give examples of ministerial acts I can perform for a customer?
A: Filling in the blanks of a contract at the exact
direction of a customer or providing a list of property inspectors or lenders are ministerial acts. Advising a customer on what terms to put in the blanks or on what repairs to request are not ministerial. Advice involves judgment and discretion and is therefore reserved for your client. 12 DECEMBER 2012/JANUARy 2013
An owner is interviewing agents to select a listing agent to sell their property. Do I need a listing agreement signed before providing my CMA during the interview? A: No. You may provide the CMA and other mar-
Broker price opinions
10.
Do I need a written brokerage agreement to prepare a BPO for a lender if I am not being engaged by the lender to procure a buyer or seller? A: No.
11.
What if I represent the buyer or seller in a transaction and a lender requests a BPO for the transaction, do you suggest a written agreement with the lender? A: No. An agreement between you and the lender is
unnecessary if you represent a buyer or seller in a transaction and the lender is requesting the BPO to approve the transaction, such as in a short sale request. ● Blake Hegeman is legal counsel for the Virginia Association of Realtors. Michael Lafayette is general counsel for the Richmond, Lynchburg, and New River Valley associations of Realtors. Sarah Petcher is general counsel for the Northern Virginia Association of Realtors. Consult your own counsel for legal advice. WWW.VAREALTOR.COM