Friday, September 1, 2017

OPEN HOUSE 1 Bay Bush Ct Sept 2 1 to 3:30 p.m.

BY GENE ALLEN

Real Estate Agent with Fathom Realty

September 01, 2017 02:41 PM

REPORT

Sunday, August 27, 2017

1 Bay Bush Ct Open House 8.27.17

Open House 1 Bay Bush Ct 8.27.17

BY GENE ALLEN

Real Estate Agent with Fathom Realty

August 27, 2017 06:19 AM

REPORT

Saturday, August 5, 2017

Open House 1 Bay Bush Ct Durham NC

Open House Sunday Aug 6, 3-3:30 p.m.
1 Bay Bush Ct
Durham, NC

http://viewlisting.info/65298

Friday, July 28, 2017

1 Bay Bush Ct Open House Sunday July 30 1-3 pm

OPEN HOUSE SUNDAY JULY 30 1-3 pm 1 Bay Bush Ct

Saturday, July 15, 2017

1 Bay Bush Ct Open House Sunday July 16 from 1 to 3 p.m.

1 Bay Bush Ct Open House July 16, from 1 to 3 p.m.

Friday, May 19, 2017

Who Pays For VA Loan Costs When Settlement Doesn't Happen?

We don't see a lot of VA loans in Durham, NC but a few. Once in a while for various reasons after a contract is written they do not go to closing. Now we all know there are expenses that happen in the transaction.

Some are ordered and paid for by the seller and some by the buyer. Recently we had one not close and the buyer had ordered the pest inspection. The seller is obligated to pay that fee because the buyer can not. In this case the buyer wanted his money back for the pest inspection because the seller is obligated to pay. The only problem is the buyer forgot that there was no closing and the seller was no longer oblgated to pay. Non Closings have a habit of being ugly but if you are familiar with your contracts they become less so.

There is a form called the FHA/VA Financing Addendum. It says that a seller must pay well/water, septic/sewer and/or wood destroying insect inspections at the sellers expense. It also says Seller shall pay AT SETTLEMENT buyers closing costs up to a certain amount. The seller was off the hook on this one.

Wednesday, February 8, 2017

Raleigh-Durham 7th Best Place To Live In the U.S.

U.S. News has picked Raleigh-Durham as the 7th best place to live in the U.S. Personally I think it should be number one. Here is the link.

7th Best Place To Live

Sunday, January 29, 2017

Allen's 3 PACK for Your Home Needs

I have always worked for a brokerage and started noticing some companies were actually a company working under another company. In fact my company, Fathom Realty, has a few themselves. I didn't think too much about it until I saw this article from NCAR. I have an LLC but have not really done anything with it yet but maybe I should start.

It would be kind of neat to sell homes with my own brand but then I would have to start the branding process all over. Something to think about.

Let me know how you use yours.

Do I need to be the BIC of an LLC set up to receive sales commissions?

Release Date: 10/11/2016

John Wait, Martin & Gifford, PLLC

QUESTION: My accountant recommended that I create a limited liability company (“LLC”) for the purpose of receiving my sales commissions. He said that I could save some money on taxes and save for retirement with a Simplified Employee Pension Plan. If I set up an LLC, do I need to be licensed by the NC Real Estate Commission? Do I need to designate myself as the broker-in-charge (“BIC”) of the LLC?

ANSWER: Under section A.0110 of the license law, your LLC will need to be licensed, but you do not need to designate a BIC as long as your LLC: “(1) has been organized for the sole purpose of receiving compensation for brokerage services furnished by its qualifying broker through another firm or broker; (2) is treated for tax purposes as a Subchapter S corporation by the United States Internal Revenue Service; (3) has no principal or branch office; and (4) has no licensed or unlicensed person associated with it other than its qualifying broker.” Under section A.0502(b), the qualifying broker of such an LLC (1) cannot be a provisional broker and (2) must be the manager of the limited liability company. The rules effectively prohibit a provisional broker from establishing a business entity to receive compensation.

Be sure to consult with both your accountant and your attorney to make sure that you are setting up your LLC, or other business entity, correctly. There are benefits to receiving your commissions through an LLC, but the risks may outweigh the benefits if you do not create and operate your company in compliance with the license and tax laws. For example, an LLC must be licensed before any commissions can be received by it.

NC REALTORS® provides articles on legal topics as a member service. They are general statements of applicable legal and ethical principles for member education only. They do not constitute legal advice. The services of a private attorney should be sought for legal advice.

© Copyright 2016. North Carolina Association of REALTORS®, Inc. This article is intended solely for the benefit of NC REALTORS® members, who may reproduce and distribute it to other NC REALTORS® members and their clients, provided it is reproduced in its entirety without any change to its format or content, including disclaimer and copyright notice, and provided that any such reproduction is not intended for monetary gain. Any unauthorized reproduction, use or distribution is prohibited.

Wednesday, January 25, 2017

VA Aid and Attendance

I participate in Fathom Realties HomeTown Heros program which brings much needed monetary benefits to HomeTown Heros. Veterans are a big part of the HomeTown Heros program and I just found a benefit that I as a Veteran did not know about. This benefit has nothing to to with HomeTown Heros but I feel it is a way of passing information along that many Veterans and their families may not know about.

The program is called the VA Aid and Attendance Benefit. It is administered by the VA and will help with medical cost for a veterean that has served during a war time and the spouse even if the spouse is deceased. What a great benefit. I know because by wife is disabled and her monthly draw is $800 a month. Even though she is on Medicaid for now and Medicare in the future it does not pay for all of your medical costs and certaninly not if you have to go to an extended care facility.

Here is a link to share with Veterans and their families.

VA Aid and Attendance Benefit

Let us make sure our Veterans know we care by sharing.

Thursday, January 19, 2017

Reduced Commissions For In-House Sales

I live in Brightwood Trails in Durham, NC and work for Fathom Realty. Our company is growing like a field of weeds and with all that growth it becomes invitiable that our agents will bring buyers to my listings. The companies I have worked for in Virginia have always offered something in the way of in house bonus for sales between agents. Usually this was in the form of the company giving an 5% of commission or something like that. I don't ever remember reducing commissions to make a deal work and it sounds complicated. Here is what our state Realtor® Association has to say about it.

Can a listing firm reduce its commission to promote an "in-house" sale?

Release Date: 10/04/2016

Bill Gifford, Martin & Gifford, PLLC

QUESTION: I am the Broker-in-Charge at my firm. An agent at our firm has a listing and has received two offers, one of which was presented by a broker with our firm. Can our firm offer to reduce our commission if the property is sold to the buyer represented by our buyer agent? If so, do I need to disclose the commission reduction to the agent who is affiliated with a different firm?

ANSWER: There is no prohibition on your firm agreeing to reduce its commission at any time. However, on the issue of disclosure, the requirements of the REALTOR® Code of Ethics and the Real Estate License Law may be different. Specifically, while the Code of Ethics may not require disclosure of the commission reduction to other buyers, it appears that the Real Estate Commission might discipline a broker that agrees to reduce its commission on an in-house sale without timely disclosing that reduction to all competing buyers, and giving those buyers an opportunity to submit revised offers.

The Code of Ethics provision that touches on this issue is Standard of Practice ("SOP") 3-4. It states: "REALTORS® acting as listing brokers have an affirmative obligation to disclose the existence of dual or variable rate commission arrangements." A listing broker's agreement to reduce his or her commission if a listed property is sold to an "in-house" buyer would appear to create a "dual or variable rate commission arrangement". However, an attorney with the National Association of REALTORS® has advised us that SOP 3-4 does not bar a listing broker from renegotiating his or her commission at any time. NAR's attorney also opined that the Code of Ethics does not obligate a listing agent to put the acceptance of an offer produced by that agent's firm on hold until the listing agent informs all other MLS participants of his or her agreement with the seller.

The Real Estate Commission's legal staff has a different view. The Commission's overriding rule in the multiple offer context is that there must be a level playing field for all buyers. Listing brokers must treat all buyers fairly and honestly. In the opinion of one Commission attorney, these principles obligate a listing firm that agrees to reduce its commission on an in-house sale to inform all other buyers of this agreement, and give them an opportunity to present a revised offer.

Ultimately, it would be up to an ethics hearing panel, or the Real Estate Commission itself, to decide each particular case based on the facts presented. However, brokers who elect to reduce their commission without informing the agents for other buyers should do so with knowledge that there are risks involved.

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Monday, January 9, 2017

Can I sell my own listing in Brightwood Trails?

This is an article from NCAR. It could be useful for when I list a home in my area of Brightwood Trails because homes sell fast here. I think I would want to invest as homes are increasing in value quickly.

Can a broker make an offer on her own listing?

Release Date: 09/27/2016

Will Martin, Martin & Gifford, PLLC

QUESTION: One of my brokers has a listing that she personally wants to make an offer on. She has also received an inquiry from an individual with no representation and it's likely he will want to make an offer too. Please let me know how we should handle this situation so we don't get in trouble.

ANSWER: First of all, Real Estate Commission Rule 58A.0104(p) applies to this situation. According to the Rule, your agent cannot enter into a contract to purchase her seller’s property unless she does the following: (i) discloses in writing to the seller that she has a conflict of interest and that the seller may want to seek independent counsel of an attorney or another licensed broker, and (ii) the listing agreement is terminated or transferred to another broker affiliated with your firm. She should also tell the seller about the inquiry that’s been made about the property if she hasn’t done so already.

Regardless whether the listing is terminated or transferred to another agent, we would advise against your agent working with the individual who has made inquiry about the property, given your agent’s interest in making an offer on the property herself. If the listing is transferred to another agent with your firm, the individual who made inquiry should be advised to communicate directly with the agent to whom the listing has been transferred, and the new agent handling the listing should of course not disclose the terms of any offer that the individual may make to the former listing agent since she would be considered a competing party. See Commission Rule 58A.0115.

Saturday, January 7, 2017

Durham County Tax Assessments and Pictures

I live in the Brightwood Trails area of Durham County. Recently I have seen a tan Ford vehicle with Minnesota plates and a sign that says it is part of the county imaging project. I did some checking and the vehicle is a part a mandate from the state that requires counties to to consider the potential impact of physcal changes to properties on their tax values. I am not sure how many images he takes but for one vehicle to do the entire county could take a while.

The physical changes to a property often require a permit but oftentimes not. Even non permitted changes are supposed to be reported. Even after reporting property owners are responsible for ensuring the information is accurate. They can do this by visiting

www.dconc.gov/taxhelp and entering the properties parcel number. If the physical change affects the value of the property the property is mailed a notice of the value change. I wonder how often a physical change results in a negative value. I have seen some pretty awful remodels and sunrooms.

If you don't like your tax value or feel it is wrong you can appeal it with the Board of Equalization and Review prior to April 14. Lots of luck with that.

You will probably see a lot of activity from the appraisers also as the next reappraisal is in 2019. Field appraisers can take measurements of the outside of your house but not go inside so beaware of that. If you have questions you can call The Durham Couty Tax Administrator's Office at 919-560-0300 or email

tax-reveal@dconc.gov

Monday, December 5, 2016

Give Me That Lease!!!

I own property in Brightwood Trails in Durham, NC and although it is not leased at the moment we are considering renting it out. When we go to sell the property we will make sure the buyer can look at all the paperwork. It doesn't make sense for an agent or seller of a property to fight about this. I think that probably there is something being hidden and hence the fightback on something already agreed to.

May a buyer inspect existing tenant leases when purchasing a rental or investment property?

Release Date: 09/20/2016

John Wait, Martin & Gifford, PLLC

QUESTION: My client entered into a contract to purchase a townhome that was advertised as an investment or rental property. The Standard Form 2A11-T was filled out and made part of the contract, but the listing agent is now refusing to provide us with the current lease because of privacy laws. Is my client allowed to inspect the lease of the existing tenant? Is there some privacy law that would bar the seller from allowing us to see the lease pursuant to the contract?

ANSWER: If the seller collected personal information as part of the rental application process, then he or she has a duty under both federal and North Carolinaprivacy laws to not disclose such information to unauthorized third parties. “Personal information” includes, but is not limited to, social security numbers, driver’s license numbers, banking information, credit card numbers, and credit reports.

When the seller agreed to the terms of Standard Form 2A11-T, he or she agreed to provide your client with “true and complete copies of all existing leases, rental agreements, outstanding tenant notices, written statements of all oral tenant agreements, statement of all tenant’s deposits, uncured defaults by Seller or tenants, and claims made by or to tenants.” Some of these items may have a tenant’s personal information on them, but most of them likely would not. As long as there is no personal information on the lease agreement in question, then current privacy laws would not prevent the seller from allowing your client to inspect the existing lease in conformance with the contract.

If there is personal information on the lease, the seller can simply redact the personal information before turning it over for inspection. It should also be noted that if the seller used the Standard Form 410-T lease agreement, then the tenant has already agreed to the disclosure your client is seeking. Paragraph 30 of the 410-T allows a landlord to provide information about a tenant to third parties “in accordance with applicable laws.” If your client wants to inspect the tenant’s entire file, including the tenant’s personal information, then he or she should consult with an attorney to make sure they are authorized.

Monday, November 7, 2016

No Representation In Brightwood Trails

Release Date: 09/13/2016

Bill Gifford, Martin & Gifford, PLLC

QUESTION: I am a licensed broker. I am about to list a residential property for sale that I have owned for several years. Am I allowed to check any of the "No Representation" boxes on the Residential Property Disclosure Statement?

ANSWER: Our view is that a property owner who has an active real estate license may lawfully choose to check the "No Representation" boxes on the Disclosure Statement. However, that broker retains an obligation to disclose all material facts about the property being sold, including facts that the broker knows about, and facts that the broker reasonably should know about.

Essentially, we see a technical distinction between a property owner's obligations under the Residential Property Disclosure Act and a broker/owner's obligations under the Real Estate License Law.

The Residential Property Disclosure Act (the "RPDA") requires most owners of residential property to deliver a disclosure statement to a purchaser no later than the time the purchaser makes an offer for the property. However, the RPDA allows those owners to either make disclosures concerning specified "characteristics and conditions" of the property, or state that the owner makes no representations as to those "characteristics and conditions". There is no exemption in the RPDA for real estate broker-sellers. Therefore, the RPDA gives brokers the same right to check the "No Representation" boxes as any other seller.

That fact does not excuse brokers from their obligations under the License Law (and Article 2 of the REALTOR® Code of Ethics). Section 93A-6(a)(1) of the License Law obligates brokers to disclose material facts about a transaction in which they are engaged. Section 93A-6(b)(3) makes it clear that this obligation extends to transactions in which the broker is a party (and not necessarily acting as a broker). It states that brokers may be disciplined when: "[t]he licensee has violated any of the provisions of G.S. 93A-6(a) when selling, leasing, or buying the licensee's own property".

Practically speaking, a broker-seller whose license is active has a duty to disclose material facts about his or her property, whether it is accomplished by completing the Disclosure Statement or otherwise.

Saturday, October 1, 2016

Who Pays Transfer Fees in Brightwood Trails?

Release Date: 09/06/2016

Will Martin, Martin & Gifford, PLLC

QUESTION: I’m representing a buyer who is closing on a property that has an owner’s association. I am trying to figure out who is responsible for the payment of a “transfer fee” that’s being charged by the association’s management company. I’ve reviewed the Offer to Purchase and Contract (form 2-T) and I don’t see any reference to transfer fees on the Contract anymore. Who is supposed to pay it, my buyer or the seller?

ANSWER: Assuming that what is meant by the term “transfer fee” is a fee for updating the association’s records to reflect the transfer of the property from the seller to the buyer, the fee is the seller’s responsibility in our opinion.

To understand the basis for our answer to your question, it is important to understand the way in which the latest version of the Contract (released July 2016) assigns responsibility for the payment of the various fees imposed by owner associations and their management companies when a property regulated by the association is bought and sold.

According to the Contract, the buyer is responsible for the fees that are listed in paragraph 6(b). These include fees for providing information required by the buyer’s lender and fees charged for the buyer’s future use and enjoyment of the property.

The seller’s responsibility for association fees is addressed in paragraph 8(j). In addition to being responsible for fees required to confirm the status of seller’s account regarding dues or assessments, and fees for completing the Disclosure Statement and resale or other certificates relating to a sale of the property, the seller is responsible for fees “…other than those fees required to be paid by Buyer under paragraph 6(b) above.” In other words, any fee not allocated to the buyer in paragraph 6(b) is the seller’s responsibility under the “catch-all” provision in paragraph 8(j)(ii).

Applying this framework to your question, in our view a fee for updating the association’s records to reflect the change in ownership is not covered under paragraph 6(b) and therefore is the responsibility of the seller.

You are correct that the term “transfer fee” has been taken out of the Contract. This was done primarily to avoid potential confusion with the term “transfer fee” as defined in a statute that prohibits the practice of including in an association’s governing documents fees that are payable in perpetuity to the association’s developer on all transfers of property in the development.

Monday, September 19, 2016

Due Diligence and Contract Termination

I recently sold a home in Brightwood Trails and the builder didn't ask for a Due Diligence fee. I feel lucky for that as both buyers and sellers seem to think that Due Diligence fees are negotiating tools to hit each over the head with.

Release Date: 08/30/2016

John Wait, Martin & Gifford, PLLC

QUESTION: During the due diligence period, my seller received a Form 390-T signed by the buyer stating that the buyer would receive both the earnest money deposit and the due diligence fee on termination. My client disagreed with the due diligence fee portion of the buyer’s 390-T, and responded by sending the buyer a revised 390-T signed by the seller stating that the buyer would only receive the earnest money deposit on termination.

It seems like the parties both agree as to termination and who gets the earnest money, and I just received another offer. Is the contract terminated? Do I need to advise my client to seek legal counsel before he signs the new offer?

ANSWER: We don’t believe the contract is terminated yet based on your facts. Paragraph 6 of Form 390-T states: “This Termination of Contract and Release shall be effective on the date that it has been signed by all of the Parties.” Even though both parties have signed the same form, they disagree about the terms on which they will agree to terminate the contract. This means that both forms are merely an offer from each side to terminate, and unless one of them signs the other’s form, then the offer remains unaccepted.

Although paragraph 5 of Form 390-T only addresses disbursement of the EMD, the buyer has modified it to provide for a refund of the due diligence fee as well. That’s okay, but unless and until the parties are on the same page regarding all terms of their agreement to terminate, their contract hasn’t been effectively terminated in our view.

You might want to inform the buyer’s agent that the buyer has no right to a refund of the due diligence fee absent a breach of the contract by your client; and if they continue to delay termination, they will risk losing their earnest money deposit as well. As for your client, Standard of Practice 1-7 requires you to advise them to seek legal advice before accepting the second offer, unless the acceptance of the second offer is contingent on the termination of the existing contract.