Just a couple issues that have arisen over the past week that I'd like
to
remind everyone about:
1. We can never release a key until either A). The property has closed
escrow;
B). The rental term has begun, you have fully executed rental agreement
and
all rent and deposits have been paid in full.
2). As much as we don't want to, we are being forced in some cases to
submit
to the turning on of utilities by our buyers. I am revising the
Pre-Foreclosure/Foreclosure Disclosure to include REO properties and I
will
Include a disclosure about the turning-on of the utilities and what
risks
might be involved for the buyer.
In the event that your buyer decides to move forward with the utility
turn-on, PLEASE be sure that ALL the breakers on the electrical panel
are in
the OFF POSITION so that A). We don't blow the panel and B). We don't
blow
the
microwave, dishwasher, etc.... due to a power surge. The buyer assumes
the
risk of loss for anything that ocurrs as a result of their inspection
process.
3). Before the buyer enters into a contract agreeing to turn-on
utilities,
call the providers to make sure there aren't past due bills that will
have
to be cleared beforehand. We have run into situations where we are
contractually bound to turn-on the utilities for inspection to find
there is
$1,000.00 worth of outstanding utility bills that have to be paid before
turn-on.
4). We are encountering more and more situations where REO/Foreclosure
and
even short-sale properties are missing a variety fixtures/finishes, i.e.
countertops, built-in appliances, bath fixtures, etc... Properties are
even
being stripped of the A/C units!
In order to secure financing a property must be inhabitable at the time
of
appraisal. It gets really complicated when the buyer has signed an
"AS-IS"
addendum and then can't secure financing as a result of that "AS-IS"
agreement. The buyer could potentially lose their earnest money as the
buyer
has already agreed that the "AS-IS" condition cannot be a reason to
cancel
OR a condition of closing once the due diligence period has passed. In
other
words, the buyer would have to have the appraisal within the due
diligence
period. That would be a waste of money if the property is obviously not
inhabitable.
5). If you have a short-sale contract that has been signed by the
seller,
ARMLS requires that you change the status to "AWC." There is no way
around
it-otherwise you could lose your MLS privledges.....
Lastly for today :)
6). If you are writing an FHA contract the "FOR YOUR PROTECTION GET A
HOME
INSPECTION" notice signed by the buyer is mandatory at the time the
contract
is
written.
This weeks short-sale mastermind was really worthwhile- the next
short-sale
mastermind is Thursday, April 10th from 3:30-5pm at the Gilbert office.
Hope
to see you there!
Next Wednesday, April 9 from 9am-12pm I am teaching the continuing
education
course in Contract Law at SEVRAR. I'd love to have you there- this could
be
a good recruiting opportunity for you.
Have a terrific day!
Blessings,
Heidi :)
Heidi G. Quigley
Designated Broker/Team Leader
Keller Williams Realty East Valley
The MOST Productive Real Estate Company in the Southeast Valley!
480-839-6600
P.S. Helping people realize their dreams is what I do... You may be
someone
who could benefit from Keller Williams Realty-I'd like to be YOUR
Broker!
Call me for a free and private consultation about taking your career to
the
highest level. Check out our website at http://www.kwevcareerlaunch.com/
Learn more about becoming a Millionaire Real Estate Agent or Investor at
Millionaire Systems
Become a productivity warrior! productivitywarriors.com
Learn how to build your passive income with Keller Williams!
http://www.wealthbuildingwednesdays.com/
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