Ethics

Becky Carraher, Director of Ethics and Professional Standards For the first six months of 2020, there were 129 complaints filed through the Illinois REALTORS® Ethics Citation Program. Forty-four citations were issued.

Eighteen complaints were sent to the association’s Grievance Committee because the allegations contained in the complaint were outside the Articles covered by the Ethics Citation Program.

What topped the list of most common ethics complaints? The same perennial problem areas: REALTORS® violating advertising rules or providing access to a listing without the proper authority.

Article 12 of the Code of Ethics covers advertising and marketing and is the most commonly cited Article for complaints.

Article 12 - REALTORS® shall be honest and truthful in their real estate communications and shall present a true picture in their advertising, marketing, and other representations. REALTORS® shall ensure that their status as real estate professionals is readily apparent in their advertising, marketing, and other representations, and that the recipients of all real estate communications are, or have been, notified that those communications are from a real estate professional.” ($250 fine)

12-5: “REALTORS® shall not advertise nor permit any person employed by or affiliated with them to advertise real estate services or listed property in any medium (e.g., electronically, print, radio, television, etc.) without disclosing the name of that REALTOR®’s firm in a reasonable and readily apparent manner either in the advertisement or in electronic advertising via a link to a display with all required disclosures.” ($250 fine)

These two Facebook posts show an example of the wrong way to advertise (slide one) and the correct way (slide two) that clearly identifies the REALTORS®’ real estate firm.

Golf course view – 123 Golf Course Road, Taylorville. Beautiful, custom-designed home with wonderful views from every window. High-end chef’s kitchen, wonderful outdoor space, 3 custom bathrooms and 4 bedrooms. For sale $500,000.

Golf course view – 123 Golf Course Road, Taylorville. Beautiful, custom-designed home with wonderful views from every window. High-end chef’s kitchen, wonderful outdoor space, 3 custom bathrooms and 4 bedrooms. For sale $500,000.

REALTORS® have also been cited for

3-9: “REALTORS® shall not provide access to listed property on terms other than those established by the owner or the listing broker.” ($2,500 fine) Please keep in mind that entering an owner’s property without proper consent can also be punishable in criminal and/or civil court.

Members should keep all documentation granting them permission to access any listed property. If a complaint is filed, you will have documentation that were you given permission to access the property.

Remember, if you are filing an anonymous complaint through the Illinois REALTORS® Ethics Citation Program, please include sufficient information that would prove a violation of the Code of Ethics on the face of the information provided. The panel must make a decision based only on the information and evidence provided in the citation complaint if there is no way to contact you due to your desire to remain anonymous.

Illinois REALTORS ® is here to help you comply with Code of Ethics. You’ll find a variety of resources including an advertising checklist in the Professional Standards and Advertising Toolkit.

MRED is working to consider the unique nature of local markets when writing rules By Rebecca Jensen President and CEO of Midwest Real Estate Data (MRED)

If you are a broker in downtown Chicago entering a property into the MLS, you face a lot of choices when it comes to parking.

Is the parking space owned, deeded or rented? Is it in an alley, in a garage, valet or by permit? Is it located on the property, or a block away on a side street?

If you are a broker in other parts of the state, these questions are largely irrelevant. Deeded parking spaces are almost unheard-of in rural or suburban areas. As a result, entering on detailed parking information makes sense when a transaction is for a Gold Coast condo, but it makes no sense for an area where grain bins outnumber homes.

MRED’s MLS rules are currently vetted by what is called the Compliance User Team. This group, which is made up of brokers, handles all rule-change requests for the MLS’ many markets. Under the proposal, MRED would create three compliance teams one each for rural, suburban and urban areas.

Here’s how the new structure would work. A local REALTOR ® association or brokerage could suggest rules to a team that it thought worked best for its market. If the rules team agrees and the change is sanctioned by the MRED Board of Managers, the association would have the ability to adopt the local rules.

MRED has always tried to work with associations, and in special cases has made allowances for locally specific needs in rulemaking. This new policy would better refine the process and provide the flexibility that local associations desire.

Using the parking example, an association in Southern Illinois might opt out of having agents submit information about deeded parking where clearly none exists. Likewise, an urban association might want to make sure the rules remain in place.

Of course, there are rules which run common across many markets for good reasons. Consistency in some areas is essential to making sure buyers and sellers are on the same page. But, it’s important to note the new process could allow changes even to long-held rules if the user teams and the MLS’s board agree they make sense.

The change to a local rulemaking structure is part of MRED’s commitment to prove that just because the MLS is growing, it does not lose touch with the brokers who rely on it.

One size truly does not fit all, even when it comes to rules.