STAY CONNECTED - GET THE FACTS: January 6, 2014

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1 Having trouble viewing this ? Click here STAY CONNECTED - GET THE FACTS: January 6, 2014 LEGAL HOTLINE QUESTION: Buyer makes offer and identifies, on line 17 of Form 21, that Form 35 is part of buyer's offer. But, when buyer's offer is forwarded to listing broker and then presented to seller, the Form 35 is not included. During the subsequent negotiations, with offers and counteroffers, Form 35 is never included. At the point of mutual acceptance, Form 35 is not attached. Ten days later, buyer is acting as though they have an inspection contingency and seller is acting as if there is no inspection contingency. What is the status? Was there ever a meeting of the minds? ANSWER: Yes. Based on the facts presented, these parties formed a binding agreement that did not include an inspection contingency. Reference to Form 35, on the face of Form 21, does not in and of itself create an inspection contingency. (Recall that Form 35 can be used to create an inspection contingency and to waive an inspection contingency. Reference to the 1 of 9 1/6/15, 2:54 PM

2 form does not specify buyer's intention.) Nor does the reference create an obstacle to mutual acceptance. Line 17 on Form 21 is a useful tool for brokers to use in keeping the transaction organized... and that is it. Failure to identify, on line 17, addenda agreed to by the parties, does not render those addenda any less a part of the purchase agreement. Similarly, reference to addenda that are not agreed to by the parties does not make those addenda part of the agreement. Finally, reference to addenda that are not included in the agreement does not make the agreement ambiguous or otherwise unenforceable. Buyer's offer includes only the written pages given to listing broker and seller. This buyer's offer did not include a Form 35 and thus, did not include an inspection contingency. The written agreement between the parties includes only the pages signed (acknowledged) by both parties. Since there was not a written inspection contingency included in the terms of this purchase agreement, there is no inspection contingency in this binding transaction. Hotline Attorney Annie Fitzsimmons writes the Legal Hotline Question and Answer of the Week. Please submit questions to or call (800) Please have your NRDS number ready when you call or the Hotline with your question. The Legal Hotline lawyer does not represent Washington Association of REALTORS members or their clients and customers. Research this topic and thousands of others online. CAREER HELP 2 of 9 1/6/15, 2:54 PM

3 6 things millennials need from a REALTOR (Inman) Millennials have grown up in a technology-fueled world, where personal computers are everywhere, smartphones are the norm and they've grown used to the ability to connect anywhere with their tablets. Facebook was originally created for them as college students. Reality television has shown them that anyone can make a million dollars. Millennials tend to have a tendency toward instant gratification; they believe life is full of unlimited opportunities and are more connected by technology than any previous generation. Right or Wrong: How are you sharing your listing on Facebook? (RISMedia) It is no secret that photos are the most engaging content type of Facebook. Posts with photos make up 75 percent of all content posted to Facebook and account for a staggering 93 percent of the most engaging posts...master the art of sharing listings on Facebook. Your Achievable New Years Resolution (Tech Helpline Blog) Start the year prepared. Set some time aside now to give your computer some basic maintenance, and start the year lean, agile, and in control. "Complete Computer Maintenance" is an important New Year's resolution, and we want to help you achieve it. For your convenience, we created an easy to follow checklist and broke it down to three general areas: Files, Hardware & Software, and Online Browsing. Tackle them one by one, and you'll be set sooner than you think. 5 Simple Life Hacks to Boost Experience (YPN Lounge - Sam DeBord ) Real estate rookies can really kick start their learning experience by picking up some simple shortcuts from those who've been selling for many years. These are just a few of the real estate "hacks" I've learned over the years from seasoned practitioners that improved my experience and knowledge in simple yet effective ways. 3 of 9 1/6/15, 2:54 PM

4 TOP STORIES Bailout highly profitable for taxpayers, when you look at the right numbers ( It's always nice to start a year by using the right numbers, especially if they are upbeat ones. So let's start 2015 with the good news that U.S. taxpayers are far more ahead on the financial bailout than almost anyone realizes. Let me explain. In mid-december, when the Treasury unloaded its final shares of Ally Financial, its last major Troubled Asset Relief Program (TARP) holding, and declared the books more or less closed, it said that U.S. taxpayers had made $15.6 billion. That touched off a debate about what that $15.6 billion bailout profit meant... FAA Issues Drone Warning Again to Real Estate (REALTORMag) The Federal Aviation Administration, joined by other industry and hobbyist groups, has launched a new safety public campaign on the use of drones. But in reminding recreational enthusiasts about the safe use of drones, FAA is also pointing out that drone use remains unauthorized for commercial reasons, and specifically mentions those using it in the real estate industry as still on the do-not-fly list. 4 of 9 1/6/15, 2:54 PM

5 MORTGAGE RATES National Averages 30-Yr FRM 15-Yr FRM 5/1-Yr ARM 1-Yr ARM Average Rates 3.87% 3.15% 3.01% 2.40% Change (from prior week) +0.04% +0.05% ----% +0.01% Fees & Points Margin N/A N/A Regional Breakdown (West) 30-Yr FRM 15-Yr FRM 5/1-Yr ARM 1-Yr ARM Average Rates Change (from prior week) +0.04% ----% +0.06% ----% 5 of 9 1/6/15, 2:54 PM

6 Fees & Points Margin N/A N/A Source: Freddie Mac - Weekly mortgage rates released every Thursday GOVERNMENT AFFAIRS Don't forget to register for Hill Day! Take advantage of the early bird discount and register before January 14th! Join us January 21 and 22 for our annual event. Click to register or for more information. See you there! EDUCATION 6 of 9 1/6/15, 2:54 PM

7 Regional Professional Standards Jan CE Olympia Current Issues in WA Residential RE - CORE Jan CE Webinar NAR Code of Ethics Feb. 4th 3.0 CE Yakima More Info.. Current Issues in WA Residential RE - CORE Feb CE Yakima Current Issues in WA Residential RE - CORE Feb CE The Dalles, OR ipad Tips, Tricks & Must Have Apps Feb CE The Dalles, OR NAR Code of Ethics Feb CE Tri-City Professional Standards Express Feb CE Tri City Statewide Forms Full Day Feb CE Bothell Wow, What Just Happened? Mar CE Tri City Statewide Forms 1/2 Day May CE Tri City Best of the Legal Hotline May CE Tri City Current Issues in WA Residential RE Sept CE Clarkston Water Rights & Water Supply Issues Sept CE Yakima View all classes and register. BEST OF THE LEGAL HOTLINE Question Buyer is in contract on a Short Sale. The parties were waiting for lender consent on 2 liens. Buyer broker received both letters January 2, from the listing agent. Buyer broker informed listing broker that buyer broker needed to get a Form 90SS from the listing agent that officially gives ""Notice of Lender Consent"" even though listing broker already sent both letters. Per the 22SS, all timeframes are dependent on Lender Consent. Buyer broker received the 90SS on January 6. For the purpose of calculating buyer contingencies and obligations, is mutual acceptance January 2 or January 6? Answer Pursuant to the terms of Form 22SS, seller's short sale contingency is not waived until seller delivers to buyer a Form 90SS, signed by seller. It is not sufficient for listing broker to 7 of 9 1/6/15, 2:54 PM

8 forward copies of short sale lender's approval. Just because the short sale lender approves the sale does not mean that seller waives seller's short sale contingency. Seller could object to the terms of short sale lender's approval and refuse to close the transaction. For this reason, Form 22SS mandates that all notices under Form 22SS be given on Form 90SS. Form 90SS must be signed by seller. Paragraph 5 of Form 22SS says that all agreed timelines begin on the day that seller gives notice of lender's consent. Notice of lender's consent is given when seller delivers the signed Form 90SS to buyer's broker. In this transaction, that happened on January 6 and thus, all timelines agreed in paragraph 5 of Form 22SS are triggered by delivery of the notice of consent on January 6. Hotline Attorney Annie Fitzsimmons writes the Legal Hotline Question and Answer of the Week. Please submit questions to or call (800) Please have your NRDS number ready when you call or the Hotline with your question. The Legal Hotline lawyer does not represent Washington Association of REALTORS members or their clients and customers. Research this topic and thousands of others online. MEMBERSHIP RESOURCES HOME SIGN UP LEGAL HOTLINE CONTACT US Washington REALTORS advocates for REALTORS and their clients and provides services to help members prosper. 8 of 9 1/6/15, 2:54 PM

9 2015 Washington REALTORS. All Rights Reserved. Forward This was sent to by Update Profile/ Address Rapid removal with SafeUnsubscribe Privacy Policy. Washington REALTORS PO Box 719 Olympia WA of 9 1/6/15, 2:54 PM

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