“Back to School” – Rebates, Referrals, & the Exclusive Buyer-Broker Agreement
Given the time of the year, the IAR Legal Team thought it might be appropriate to review some common, and frequent, questions that are being received daily through the IAR Legal Hotline, and/or the IAR Transaction Helpline. Many of these questions relate to provisions found in Article 10 of the Illinois Real Estate License Act of 2000 (the Act). For purposes of the questions discussed, remember that compensation, as defined in the Act, can include anything of value, e.g. cash, commissions, referral fees, bonuses, prizes, coupons, gift cards, merchandise, rebates, etc.? Read more.
Seven legal case studies are covered in this issue. Read more.
Real Estate Disciplines. Among the recent disciplinary actions taken by the Real Estate Division of the Illinois Department of Financial and Professional Regulation (IDFPR): 1) A real estate managing broker license was indefinitely suspended and fined $1,000 and a real estate broker corporation license was indefinitely suspended for failing to provide the Department a completed Brokerage Verification Report. 2) A real estate managing broker license was fined $100 for his failure to comply with the terms and conditions of a disciplinary order issued by the Department. Read more.
Municipal Requirements Involving the Inspection of Residential Property. In Illinois, there are over 150 municipalities that have a real property inspection requirement. With owner-occupied single-family homes, the inspection is usually done at the “point of sale,” which means that the owner/seller must notify the municipality of the upcoming transfer. That notification is followed by an inspection done by the municipal staff. The inspection is usually done before the closing, and any required repairs are typically done by the seller. The inspector is looking for building code violations. Several municipalities inspect rental properties in one of two ways: at the change of occupancy or on a regular basis (e.g. once every two or three years). Here is a list compiled by the Illinois Association of REALTORS® which shows all the municipal requirements related to inspection requirements.
Professional Courtesies – a hot topic, says Member Outreach. Each week our IAR Member Outreach Team is in the field visiting with Managing Brokers and attending sales meetings to give an update on the latest advocacy issues, member benefits and Calls for Action. An important part of this program is listening to your issues and hearing the hot topics from the agent’s perspective. A common one lately has been professional courtesies, and it’s a perennial one. The National Association of REALTORS® and its Professional Standards Committee has developed a quick checklist for showing respect to the public, the property and peers. It’s called “Pathways to Professionalism” and it is a good reminder tool you can use with your agents.
REALTOR® Safety Matters. Managing safety is the goal of the brand new 3-hour elective CE course “Real Estate Safety Matters: Safe Business = Smart Business” (RD 900). This course was developed by the Center for Specialized REALTOR® education in partnership with NAR’s REALTOR® Safety program. Real Estate Safety Matters provides the most up-to-date strategies for dealing with dangerous or threatening situations and offers essential proactive tips and tools that all real estate professionals may implement to limit risk. Local associations are scheduling dates for this live course: check IAR’s continuing education Classroom Calendar periodically or ask your local association for available dates this course will be offered.
Why REALTORS® Focus Local. Illinois has more units of local government than any other state in the U.S. At 6,963 that's 5.4 units (municipal, township and county government) for every 10,000 residents. Add special districts (parks, library, mosquito abatement, etc.) and some Illinois residents have up to 16 government agencies covering the area where they live. Candidates elected at the local government level often move on to state and federal office. If we can build allies and stop issues affecting real estate at the LOCAL level, we are better prepared to defend our issues at the STATE and FEDERAL levels. Read more.
Schedule a Visit from the IAR Member Outreach Team. Looking for a topic for your next office meeting or regional meeting? The IAR Member Outreach team is available to cover the latest legislative issues in play - local, state and national - as well as new laws, forms, RVOICE resources and RPAC. Call 1-800-752-3274 or IARaccess@iar.org.
Legal Webinars - "Back to School"
Online Only! D.R. Legal News and is published online only in a downloadable PDF format that is e-mailed to all IAR members who are the Designated REALTOR® (or D.R.) for their real estate office. Be sure to watch and open all e-mail from “IAR Communications” or the "Illinois Association of REALTORS."
The D.R. Legal News is e-mailed six times per year (January, March, May, July, September, November) to the Designated REALTOR® member of the Illinois Association of REALTORS®. For reprint permission, contact firstname.lastname@example.org.
Copyright Illinois Association of REALTORS® 522 South Fifth Street | Springfield, IL 62701 | 217-529-2600
Copyright Illinois Association of REALTORS®. This content cannot be reprinted in parts or in its entirety without expressed written consent to the Illinois Association of REALTORS®.