Special Town Hall Meeting

June 13, 2017 9-11 am

Orange Beach Community Center
Orange Beach, Al. 36561

What do we really know?

Knowing the letter of the law is not anyone’s favorite part of selling real estate, but it is arguably one of the most important parts of our job. Though we all work and act in ways that we believe to be appropriate and within the legal guidelines, too often agents are unknowingly breaking laws.

Creatures of habit

We are creatures of habit. We do things a certain way because that’s the way we have always done it. We may not even know why we do things a certain way but we certainly don’t want to change. To change would get us out of our comfort zone.

A Town Hall style meeting

Alabama Real Estate Institute is always trying to provide the best quality information available. We strive to stay abreast of the most current laws affecting the real estate industry and then we pass that knowledge on to our students. This is the reason we decided to have this “town hall” style meeting. Politicians use this type venue to get their message out and to gain support. So I decided to try it.

Attorney General speaks out

The main speaker for our meeting is Mr. Chris Booth. He is an Attorney General, appointed by the Governor of Alabama. He is also the senior counsel for the Alabama Real Estate Commission. I view him as the person that will prosecute us if we violate the state licensing law, and he is the one that will defend us when we’re in the right. Therefore, when he speaks, we should listen. During this meeting we will learn things that are not printed in articles.

Some of the topics discussed

Topics that will be covered in this town hall meeting are listed below; plus questions that you may want answers to.

  • Complaints received by the legal department of the real estate commission
  • What cost should be included in an estimated closing statement
  • Recovery fund verses E & O Insurance
  • Disclosure of caveat emptor and agency at initial contact
  • Power of Code of Ethics compared to the law
  • Property management issues and agent rentals
  • Disclosure of earnest money not collected
  • Real estate signs on non-listed property
  • RECAD and estimated closing statements as they relate to commercial property
  • Receipt of commissions bypassing the broker
  • Concessions and compensation as an inducement to purchase

It cost nothing for you to attend with the exception of your time. Breakfast type food will be provided at not cost to you. We do, however, ask that you RSVP me so I can save you a seat and make sure we have something for you to eat.

Please make sure you thank these sponsors for helping make this meeting possible.

Anchor Title and Excrow

Gold Star Realty

ACOPIA Home Loans

 

 

 

 

                       

 

 

First Step to Success is Focus

How's Your Focus?

How’s Your Focus?

I suppose everyone has dreams and aspirations of having a very successful career. Personally I have earned many times more income in my dreams than I have in reality. I have always been one to build air castles. I happen to believe that everything is initiated in a dream. I also believe that when you stop dreaming, you cease to aspire for a better life and begin descending to normalcy. Building air castles is positive stimuli which are a requirement for increasing one’s mental capacity. I’ve always heard when you stop dreaming, you begin dying. Focus on that for a moment and you’ll probably agree.

One of the problems many people have is they don’t know how to capitalize on their dreams by making it a primary goal for them to accomplish in the near future. Back in the 70’s I was an avid deer hunter and spent much of my leisure time in the woods. The only way of getting my tree-stand up in a tree was to bear-hug  a tree, plant my feet so that the teeth on my stand would cut into the tree bark, stand up and grab another bear-hug. By repeating this process I could slowly reach twenty feet high in a tree. That was hard enough but getting down proved to be very damaging to my body on several occasions. I kept dreaming of how to make this process easier and safer. A friend of mine and I finally mastered a type of scissor jack tree stand, hand climber apparatus that we made from old metal bed frames. It actually looked good and worked very well. Everyone that saw it wanted one. We made a few for close friends but never attempted to market them. It wasn’t too long afterwards that a major hunting supply company began selling a tree climber using the same method as we had used. Did we actually invent the tree climber? I don’t know and it really doesn’t matter. We didn’t do anything with the idea and someone else put it into action. A dream is only a mental thought until it is converted into a tangible thing. [Read more…]

Holiday Season

ChristmasMerry Christmas and Happy New Year!

I would like to take this opportunity to wish everyone that reads this message a very Merry Christmas and a Happy and most prosperous New Year. Enjoy all the blessings life has bestowed upon you and remember those that will go hungry and be sleeping in cold during this Holiday Season. Remember the reason for the season always. May your family be safe in that all they do!

Cheerfully,

James Anderson

Pros & Cons of Seller Disclosures

Which Way Are You Leaning?

Buying a new house is probably the largest investment most people make during their lifetime. Naturally they want to make sure they do everything correctly to ensure a quality and profitable, financial investment. Questions begin dancing around in their head.  How can I do that? Who can I trust to help me? I can contact a Realtor® but how can they help me? What do they know about this house? I’ve got it. I need to talk to the owner because he knows more about this property than anyone. Hum mm, I wonder if the owner will tell me the truth or will they lie to me? If the shoe was on my foot, would I be totally honest and tell a prospective buyer every little thing that’s wrong with my house? I’m a good person and I’m honest but I want to sell this house and if I tell them every little bad thing I know, they might not buy it. Common sense tells me that I need to get some advice from someone who has the proper training; who has been educated in handling such matters. I need a professional I need to call a Realtor®.

Realtors Are Best Qualified To Represent You

That is a very smart buyer, isn’t it? Real estate agents have to go to school to learn their trade. It is required by state law. They must learn state and federal laws governing the sale of real estate nationally. They also learn state and federal laws protecting consumer rights, environmental issues, prohibition of Americans with disabilities, and discrimination of all peoples rights. They have been schooled in establishing market values, material and labor cost, insurance related issues, obtaining financing from lenders, as well as learning basic knowledge in all fields of the real estate industry. After they have completed the required levels of education, they are tested and licensed by the state in which they live and work. [Read more…]

Meaningful Conversation for Alabama Realtors

Alabama Realtors--Warn Your Buyers

2012 is license renewal year for Realtors® in Alabama and each agent must complete 15 hours of Continuing Education which is required by the Alabama Real Estate Commission. I have been holding CE classes all across the state and have noticed so many agents experiencing difficulties with the delicate balance between our RECAD requirements and having a meaningful conversation when contacting a prospective buyer for the first time. Since I encourage classroom participation, I have heard some of the most experienced, most successful real estate role play their RECAD process. I am shocked at their omission of the most important information we can share. Omitting this type information could affect the financial wellbeing for someone buying real estate in Alabama. Sharing this type information would definitely qualify as having a meaningful conversation. I’m sure you have already figured out that I am referring to the fact that Alabama is a Caveat Emptor state. For those outside the boundaries of Alabama, I will explain the importance of this statutory law.

[Read more…]

Steps between Survival and Success

HOW DO YOU CLIMB STEPS?

During my 42 year career in real estate I have seen and attended numerous seminars, online classes, read many  books, taken  correspondence courses, listened to  tapes, CD’s, watched  video’s and every other delivery method of a guaranteed programs that will help an agent become successful. Most of these programs have certain techniques that are productive and easily adaptable. However, courses are designed to sell; Right? Have you noticed that some of the 10 step program is sold in 10 different lessons? This helps generate more income. Smart, huh?

One thing I have noticed about the providers of these programs is most are written and sold by someone that sells real estate. To be totally honest, I’ve done it too. I have been training sales people in various industries for years. I would only share certain information with my students because I didn’t want my competition to have the same advantage I had. Doesn’t that make sense to you? Another thing I’ve noticed is the people selling these programs usually close an unbelievable number of transactions each year. [Read more…]

This Is CE Year—What’s That?

This Is CE Year—What’s That?

CE is an acronym for Continuing Education. You choose the term you want to use for it but don’t forget about it. To a Realtor® CE is of most importance. In Alabama, every licensee that has an active license is required to take a minimum of 15-hour CE during a two year period prior to renewing their real estate license. I’ll explain it for it. In Alabama, real estate agents renew their license every even year; 2010, 2012, 2014, etc. The deadline for license renewal is September 30 every even year. For example; all agents must renew their license by midnight September 30, 2012. If they aren’t renewed, license will automatically be placed inactive by the Alabama Real Estate Commission. Therefore, every active licensee has to complete 15-hours of CE beginning October 1, 2010 and ending midnight September 30, 2012. If this deadline is not met, their license will automatically be placed inactive and can no longer participate in normal real estate practices until certain requirements are met. Do you now see how important CE is?

To confuse the issue just a little more, [Read more…]

“Caveat Emptor” Buyer Beware

Don't be afraid--Be aware

If you understand the title of this blog, chances are you are in a real estate related business. When buying real estate in Alabama the words “Caveat Emptor” is of utmost importance.  Let’s take a look at the meaning of the term and how it affects Alabama real estate buyers.

Caveat emptor (ˌkæviːɑːt ˈɛmptɔr) is Latin for “Let the buyer beware.”Generally, caveat emptor is the property law doctrine that controls the sale of real property after the date of closing. Under the doctrine of caveat emptor, the buyer could not recover from the seller for defects on the property that rendered the property unfit for ordinary purposes. The only exception was if the seller actively concealed latent defects or otherwise made material misrepresentations amounting to fraud.

Before statutory law, the buyer had no warranty of the quality of goods. In many jurisdictions now, the law requires that goods must be of “merchantable quality.” However, this implied warranty can be difficult to enforce and may not apply to all products. Hence, buyers are still advised to be cautious.

Not all states are Caveat Emptor states. [Read more…]

Creating A Business Plan (Part Three)

How's Your Business Plan Progressing

Today we will continue building our business plan by honestly evaluating our past work habits, personalities, and job performance during the last year so we can realize the things we need to improve upon in the coming year. For those reading this article that reside outside Alabama, please keep in mind that Alabama law differs from surrounding states because Alabama is a “Caveat Emptor” state which places responsibilities on the purchaser to research all aspects of a property before purchasing.  This article is written specific to Alabama even though most parts of the business plan will apply to anyone, regardless where you live and work.

When working with buyers or sellers in Alabama, it is mandated by Alabama License Law, and regulated by the Alabama Real Estate Commission , that upon initial contact with a prospective buyer or seller, the agent must disclose and explain the various possible agency relationships available through their agency. This is referred to as RECAD which is an acronym for Real Estate Consumers Agency and Disclosure Act. The law states this disclosure is to take place upon initial contact, as soon as reasonably possible, and before any confidential information is exchanged. [Read more…]

Online Real Estate Courses by Alabama Real Estate Institute

Sign up for these Online Real Estate Classes now! Just click a box!

 For more information or help with the online registration, contact:
James Anderson
251-979-2530
E-mail James Anderson
Alabama Real Estate Institute, LLC
PO Box 2115
416 E. Laurel Ave.
Foley, Al. 36535
School #88010

[Read more…]