If you deal with foreign national clients, then you are most likely familiar with FIRPTA.Does the Seller HAVE TO accept my full price cash offer?Times must be pretty darn crazy if we’re thinking about this question. Does the Seller have an obligation to accept my full price cash offer? Two items come into play. What are the MLS rules and what does the listing agreement say. This is the language from the standard FAR listing agreement… Broker’s fee is due in the following circumstances: (1) If any interest in the Property is transferred, whether by sale, lease, exchange, governmental action, bankruptcy, or any other means of transfer, regardless of whether the buyer is secured by Seller, Broker, or any other person. (2) If Seller refuses or fails to sign an offer at the price and terms stated in this Agreement, defaults on an executed sales contract, or agrees with a buyer to cancel an executed sales contract. (3) If, within ______ days after Termination Date (“Protection Period”), Seller transfers or contracts to transfer the Property or any interest in the Property to any prospects with whom Seller, Broker, or any real estate licensee communicated regarding the Property before Termination Date. However, no fee will be due Broker if the Property is relisted after Termination Date and sold through another broker. In my listings I typically strike the line “If Seller refuses or fails to sign an offer at the price and terms stated in this Agreement”. Why? because in this way the Seller may take the ‘highest and best bid”. This may be a cash full price close in 14 days offer, or it could be one with a long close or a post occupancy or some other of the 100 variations. There’s a risk to me but I do not want my Seller to be obligated to pay a fee based upon just a few criteria. Ok, so what does the MLS have to say about this? TYPICALLY the offer of compensation placed in the MLS is ‘unconditional’. This comes from NAR thru FAR policy and is reflected in the rules of the local Realtors Association Broward, Palm Beach and St. Lucie. Unconditional means that the listing agent can NOT require say that the cooperating be there at first showing or all appointments or anything else BUT These are the local MLS rules… Section 4.12 Citizens 2021 RatesBoy, what rabbit hole this one is. I looked at the FAR web site and could not find the article I mentioned but I did find this one… So I went to my FB page as I posted it there and FAR has removed the article that talked about that the burocrats had asked for a 3.7% rate increase but that the Board basically directed them to figure out a way to get that rate up. FAR removed that article. CRAZY! But I did find what I mentioned. “Citizens staff members initially proposed an average 3.7 percent increase in residential rates, but the board last month requested that staff work with regulators on potential ways to boost the rates.” “That led to changes in the proposal to bump up the proposed average increase to 7.2 percent. As an example, the revised proposal would lead to Citizens setting aside additional premium dollars to avoid the possibility of what are known as Who pays expenses for a homesteaded property that has a life estate tenancy for a surviving spouse?
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