Talk about a moving target. Last week in Prescott for the AAR meetings there was quite a bit of discussion regarding short sales and MARS Disclosure requirements. A couple of the questions/comments stood out and I want to give the options to John Hall agents and others reading this post.

The MARS Form #2-“Consumer Specific Commercial Communication” is only necessary up to the point of getting the listing signed. Since the phrase ‘prospective short sale seller’ is included in the guide, once the listing is signed, they become a client and you’re done with the disclosures until the bank/servicer provides the Agreement Notice. Then you use Forms 3a and 3b as ‘cover sheets’ for the Notice from the bank.

The other common question was “What goes in the blank for what the real estate agent is going to get paid on forms 2 and 3a?” The most common answer was ‘0’, with reasons like “the seller isn’t paying me the bank is; or I’m not getting paid for Short Sale Negotiator services”. I think the safest answer is your total listing commission. You do expect to get paid for the transaction and putting ‘0’ may obligate you to work for free or maybe even come out of pocket for the co-broke commission. I did have conversations with a few brokers who were going to eliminate the blank and fill in something like ‘per listing agreement (with no additional fee for Short Sale services)’. I think that works also.

We heard that NAR was scheduled to meet with the FTC attorneys this week to clarify some questions that have come up since the MARS rules have been more widely circulated. We should hear the results of those meeting by the end of the month.

MARS Disclosure Classes and Discussions

Since I’m aware that agents want the opportunity to have the rules explained and ask questions concerning the requirements, I have scheduled some times for discussion. The Tuesday John Hall meeting at Paradise Valley 3/22 will contain a MARS presentation. Additionally I’ve been asked to conduct some open to the industry discussions and I have a few scheduled this month. They are:

1) 3/23 from 2 – 3:30 (RSVP and Class Flyer)
2) 3/29 from 9-11 (RSVP and Class Flyer)

***SOLD OUT Also on 3/28 at the Phoenix Association of REALTORS®, I’ll be speaking with Michelle Lind AAR’s Legal Counsel and Martha Appel Coldwell Banker’s Designated Broker from 9-12 and 1-4 on MARS Disclosures with a Question and Answer segment to get all issues addressed with current information. These sessions will not be for continuing education, but will contain valuable information open to the industry, both agents and brokers, as we discuss the latest developments regarding this topic. There is limited seating for all these sessions and you will need to RSVP to dleadford@paronline.com Cost = $FREE.99! (Class Flyer) SOLD OUT***

Contract Revision Classes

Also if you’d like to attend a contract class on the revisions this month, I have 2 more scheduled:

3/25 Arizona School of Real Estate and Business 9am – 1pm on a panel with Michelle Lind and Amy Swaney from the Forms Work group – for hours with a fee. (ASREB.com RSVP: 480.946.5388)

3/29 12:30-3:30 Repeat of 3/8 Sold Out class-for hours with a fee. (RSVP and Class Flyer)