accessing the approved County website at www.montgomerycountymd.gov/estimatedtax.
Revenue Code (“Exchange”) are advised to consult an exchange professional.
QUESTION: My clients had their family lawyer friend
Buyer may elect to treat this purchase as part of an Exchange. Seller agrees to cooperate with Buyer in the execution of documents necessary to facilitate the Exchange provided Seller incurs no additional liability, cost or expense. Seller grants permission to assign this Contract to an exchange intermediary.
prepare a power of attorney (POA) for them selling their home in DC, and I want to make sure it will work.
ANSWER: While many POAs may be sufficient to allow parties to contract for the sale of real estate, District of Columbia Code is specific about the requirements of a POA for the transfer of real estate and recordability of documents incident thereto. DC CODE § 42–101. No acknowledgment of deed by attorney. (a) A general or specific power of attorney executed by a person authorizing an attorney-in-fact to sell, grant, or release any interest in real property shall be executed in the same manner as a deed and shall be recorded with or prior to the deed executed pursuant to the power of attorney. If the power of attorney is recorded prior to the deed executed pursuant to the power of attorney, the deed being executed pursuant to the power of attorney shall include a recording date and instrument number reference of where the original recorded power of attorney is located in the Office of the Recorder of Deeds for the District of Columbia. All powers of attorney executed in accordance with this section shall contain on the top of the front page, in bold and capital letters, the following words: “THIS POWER OF ATTORNEY AUTHORIZES THE PERSON NAMED BELOW AS MY ATTORNEY-INFACT TO DO ONE OR MORE OF THE FOLLOWING: TO SELL, LEASE, GRANT, ENCUMBER, RELEASE, OR OTHERWISE CONVEY ANY INTEREST IN MY REAL PROPERTY AND TO EXECUTE DEEDS AND ALL OTHER INSTRUMENTS ON MY BEHALF, UNLESS THIS POWER OF ATTORNEY IS OTHERWISE LIMITED HEREIN TO SPECIFIC REAL PROPERTY.”
Seller may elect to treat this sale as part of an Exchange. Buyer agrees to cooperate with Seller in the execution of documents necessary to facilitate the Exchange provided Buyer incurs no additional liability, cost or expense. Buyer grants permission to assign this Contract to an exchange intermediary.
QUESTION: Hi, I’m a GCAAR member looking for updated information for the Tenant Opportunity to Purchase Act (TOPA) requirements in a multifamily transaction. I’m working on a multifamily transaction (three units) and can’t find the TOPA forms I was using up until last year. I represent the buyer. Have forms, requirements, and procedures for the waiver forms changed since a couple of years ago?
ANSWER: The law and the forms have not changed recently in the two- or more-unit arena. The 2018 amendments apply to single-family rental units, single-family rental units with an accessory dwelling unit, and single rental accommodations in a condominium, cooperative, or homeowners’ association. GCAAR provides reference to the DC forms, which can be found at https://dhcd.dc.gov/page/rental-conversion-andsale-forms. We recommend contacting your settlement attorney so that you can review the specific insurer requirements that will be required in order to provide for TOPA compliance.
QUESTION: Do we have standard language for the sale
of a home in Montgomery County in which the Seller’s proceeds will go toward a 1031? Can you provide?
ANSWER: Paragraph 11 of Addendum of Clause B provides
Disclaimer: The answers provided here are the opinions of the authors, are for informational purposes, and are only for GCAAR members. Neither Counselors
the language necessary language to include in the contract for a tax-deferred exchange.
Title, LLC, nor Pardo & Drazin, LLC is providing legal advice, but rather providing
11. 1031 EXCHANGE: Parties wishing to participate in a tax deferred exchange under Section 1031 of the Internal
own counsel for their specific questions. Answers may have been edited for
a general statement of law. No lawyer/client relationship is – or will be – established as a result of this material. Readers are encouraged to retain their formatting purposes.
CAPITAL AREA REALTOR ® — Spring 2019 35
This issue features women in real estate and highlights from the GCAAR Recognition Awards.