Q: I know I’m prohibited from being employed as a broker-associate for one brokerage while I’m a broker for my own brokerage. How can I be a broker for the brokerage corporation I work for if there’s already a broker of record?
A: A brokerage corporation may have more than one broker licensed with it as long as every broker is registered as an officer or director of the brokerage.
Q: I’m planning to send a mass mailing to all the homes in the subdivision I farm. Is there a legal requirement that says I must include a disclaimer informing recipients who have already listed their property to ignore the advertisement?
A: No. There is no legal requirement to include any such disclaimer in the advertisement.
Q: May a brokerage firm have more than one trade name?
A: No. Rule 61J2-10.034, FAC, provides that no individual, partnership or corporation may be registered under more than one trade name.
Q: I recently obtained a listing. The listing is a “Limited Service Listing Agreement” wherein the seller is agreeing to pay me a flat fee to list the property in the MLS. I indicated in the remarks section that cooperating brokers should contact the seller directly for showing instructions and contract negotiations. If a cooperating broker who participates in our MLS procures a buyer who enters into a purchase and sale contract with my seller, who is responsible for paying the commission offered in the MLS, me or the seller?
A: The MLS offer of compensation is a unilateral offer made by the listing broker, not the seller. Therefore, the listing broker is responsible for paying the cooperating broker the commission offered in the MLS.
Q: I represent an out-of-state buyer who is looking for property in a 55-and-older community. How can I find out where all the 55-and-older communities are in my area?
A: The Florida Commission on Human Relations has a registry of “55 and older” communities available on its Web site. Go to http://fchr.state.fl.us, select the “Directory of 55+ Housing Communities” link, then select “55+ Directory.” You can then search the directory by county, unit, name address, city.
Q: I’m a broker opening my own real estate office and setting up my escrow accounts. How much of my own money may I keep in my escrow accounts?
A: A broker may place and maintain up to $5,000 of personal or broker funds in the broker’s property management escrow account and up to $1,000 of personal or brokerage funds in the broker’s sales escrow account.
Q: Must I place my real estate license on the wall in my office?
A: No. There is no legal requirement to display your license on the wall or anywhere else in your office.
Q: I’m a real estate licensee, and I’d like to place a “For Sale by Owner” sign in my front yard to attract potential buyers and other real estate licensees. I’m not actually planning to sell my house; I just want to market my real estate services to anyone who sees my FSBO sign and calls me. Is this allowed?
A: No. From a licensing law perspective, Section 475.25(1)(c), Florida Statutes, warns that licensees must not “advertise any property or services in a manner which is fraudulent, false, deceptive, or misleading in form or content,” and Rule 61J2-10.025, Florida Administrative Code, echoes this point. The Florida Real Estate Commission may also be able to assert that this type of activity is dishonest dealing under Section 475.25(1)(b).
Enticing potential buyers and other real estate licensees to call about your house, which you have no intention of selling, in an attempt to market your services is a violation of Article 12 of the Realtor(r) Code of Ethics, promulgated by the National Association of Realtors(r) (NAR) and adopted by the Florida Association of Realtors (FAR). Article 12 advises, in part, “Realtors shall be careful at all times to present a true picture in their advertising and representations to the public.”
Q: I keep hearing that pursuant to the Homeowners’ Association Disclosure law, the seller must provide the buyer a current copy of the HOA documents. Is this true?
A: No. Section 720.401 does not require the seller to provide a copy of the HOA documents to the buyer. The buyer could, however, include a provision in his/her offer requiring the seller to provide the documents to the buyer.