NEW Counsel’s Roundtable: Managing Broker Risks

 JUNE 22ND

 Managing Broker Risks in Today’s Real Estate Environment

2

Exclusive to Brokers and Managers ONLY

Don’t Wait – Limited Seating Remains.

Managing Broker Risks in Today’s Real Estate Environment

  • Liability issues created by teams and assistants
  • Advertising and marketing compliance pitfalls
  • Poor use of form and contracts create bad transactions
  • “Managing” without “Controlling”

Testimonial from Previous Counsel Roundtables

CRT ENCORE VC

Brad BoydFEATURED INSTRUCTOR: BRAD BOYD | Brad has instructed courses for groups ranging from 7 to 700, and has taught more than 50 CE and training courses covering real estate and legal topics. He has practiced law for 15 years, with more than 10 years of experience focused specifically within the real estate brokerage industry. Brad has served as the outside general counsel to the Minnesota REALTORS® for 8 years and continue to serve in that role.

$99 | MN REALTOR® Headquarters, Edina | 9:30AM-Noon

Contact Katie Kuhn to register at 952-912-2673 or kkuhn@mnrealtor.com

The Minnesota REALTORS® is the largest professional trade association in the state with more than 17,000 members who are active in all aspects of the real estate industry.

 

 

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LEGISLATIVE PERSPECTIVE ON MATERIAL FACT DISCLOSURE

The theme of the RESOURCE this month is material fact disclosure. Since this is the Governmental Affairs article, we wanted to provide some of the legislative history regarding Minnesota’s material fact disclosure laws.

The legislation which established the duty for real estate licensees to disclose material facts to prospective homebuyers was passed by the 78th Minnesota Legislature during its 1993 Regular Session. In 2010, the Legislature reorganized Chapter 82 and moved the licensee material fact disclosure requirement into its current section of law – Minn. Stat. 82.68 OTHER DISCLOSURE REQUIREMENTS.

The legislation which established the duty for sellers to disclose material facts about their property to prospective buyers was not enacted until the 2002 Regular Session of the 82nd Legislature. The 2002 legislation created an entirely new section of law. The material fact disclosure law for sellers was expanded in 2004 by striking language in the law that only required homeowners to disclose material facts, “…pertaining to adverse physical conditions in the property.”

An interesting side-note is that Senator Ann Rest-DFL, New Hope, and Senator Warren Limmer-R, Maple Grove (and a REALTOR®), two of the Senate authors of the 2002 material fact disclosure bill, are the only bill authors in either the Senate or the House who are still members of the Legislature.

Taking an issue from the initial idea stage through the legislative process, and ultimately seeing that idea enacted into law, is typically a lengthy and difficult endeavor designed to produce law that stands the test of time. An argument could be made that the system was successful with respect to material fact disclosure.

However, proposals directed at changing material fact disclosure laws – particularly to highlight a specific issue – continue to be of interest to legislators, state agencies, and other groups at the State Capitol.

Over the past several legislative sessions, various interest groups have approached the Legislature wanting to create new disclosure laws for specific issues. When faced with these proposals, Minnesota REALTORS® attempt to educate interested parties and legislators regarding Minnesota’s existing comprehensive and robust material fact disclosure laws.

Instead of making a finite list of items that would be wrought with loopholes and require constant updating, the thoughtful 1993 and 2002/2004 Legislatures gave us timeless statutes that are based on a simple but sound principle – regardless of how big or small the issue, if it could affect the prospective buyer’s use and enjoyment of the property, it needs to be disclosed.

Paul

 

Paul Eger

Vice President, Governmental Affairs

peger@mnrealtor.com

 

Ryan

 

Ryan E. Hamilton, JD

Associate Legal Counsel

rhamilton@mnrealtor.com

 

The Minnesota REALTORS® is the largest professional trade association in the state with more than 17,000 members who are active in all aspects of the real estate industry.

R.E.Sources for a Busy Broker

BBC1

RPR for Brokers with Speaker: Ray Gronowski, VP of Broker Services *

  • How your agents use RPR to search, price and valuate, to create CMA’s and a number of available reports to impress and educate clients
  • Benefit your associates with acquiring listings and servicing sellers and buyers
  • How you can run analytic reports by using Market data tool

*This course has been approved by the Minnesota Commissioner of Commerce for 1 hour of real estate continuing education.

D.A.N.G.E.R Report for Brokers with Judd Sampson & Todd Shipman **

Definitive Analysis of Negative Game changers Emerging in Real Estate

  • Identify the most significant threats, risks, and black swans that could possibly impact YOU as a Broker. (Business Models, Technology, Team v. Individual Agent, Market Share, Brokers Going Broke, MLS’s and more)

**This course has been approved by the Minnesota Commissioner of Commerce for 2 hours of real estate continuing education.

MAY 18th | Brackett’s Crossing Country Club

Registration Fee $39 | 8 AM Registration & Breakfast | 9AM-Noon Program

FULL DETAILS AND REGISTRATION HERE

The Minnesota REALTORS® is the largest professional trade association in the state with more than 17,000 members who are active in all aspects of the real estate industry.

THE PLATINUM RULE

Recruiting Secret

Treat others the way they want to be treated.

By Larry Kendall, chairman of The Group, Inc. and author of Ninja Selling

Top sales people come in all shapes, sizes, and personalities. A one size fits all recruiting strategy is doomed. For many managers, their strategy is to recruit the way they want to be recruited. In essence, they are practicing the Golden Rule: treat others they way you want to be treated. We find the most successful recruiting managers practice the Platinum Rule: treat others the way they want want to be treated.

You can discover a recruit’s personality, motivation, and decision strategy by asking questions and observing his or her behavior and body language. Notice whether he seems to be outgoing or more reserved. Is she more people (relationship) oriented or task (bottom line) oriented? These two dynamics form the four basic personality types as show below.

Real Trend

Power People are task (goal) driven. They want to know if you have a system to help them achieve their goals. They like staff support and systems. They are bottom-line, result-oriented sales people. They are focused on their future and impatient to get there. They do not like a long, drawn-out, multi-interview process. When they are ready to go, you better be ready to hire them.

Party People are all about the relationship. Do they like you? Do they have friends in your company? Their key driver is fun. Will your company be a fun place to work? They often comment that their old company is no fun anymore. Meet with them at a bar, restaurant, or golf course. Have fun with them. Perhaps bring along their friends who work in the office. Focus on your culture, people, parties and activities. Party people are not detail oriented and will appreciate your staff systems, so focus on your support for them. The love attention. They are impulsive. If it feels right, they do it.

Peace People are risk avoiders who don’t like change. As a result, they are the most difficult to recruit. In your office, they are also your most loyal team members. They want everyone to get along and are a stabilizing influence as they work to keep the peace. They want stability and a manager/owner they can trust. They are very slow decision makers and move away from their existing company rather than moving toward a new company. They leave their current company because of instability or their loss of trust. Be their choice (stability and trust) when they are ready to move.

Perfection People are seeking the perfect company. The space where you interview them needs to be neat and perfect. Any printed material needs to be perfect. Your emails with them need to be perfect. They will ask a lot of questions about your numbers and systems. They are slow decision makers and may build a spreadsheet comparing various companies. They love data and want to be the source of real estate knowledge for their clients. If you can help them do this, they will want to join you.

As you can see, one strategy does not fit all the personality types. Practice the Platinum Rule, and you will experience greater success in your recruiting and managing of your team members. ^

This article originally appeared in the May 2016 issue of the REAL Trends Newsletter and is reprinted with permission of REAL Trends Inc. Copyright 2016.

The Minnesota REALTORS® is the largest professional trade association in the state with more than 17,000 members who are active in all aspects of the real estate industry.

Encore Presentation Counsel’s Roundtable

May 20th

Independent Contractors vs. Employees

Seats are limited to 24 for Managers & Brokers ONLY.

Testimonial from previous Counsel Roundtables

CRT ENCORE VC

INDEPENDENT CONTRACTORS VS. EMPLOYEES:

No one is immune: Uber, FedEx, and even real estate brokerages are finding that individuals they deemed independent contractors may actually be re-classified as employees. There are ways for brokerages to mitigate the risk of a re-classification lawsuit. Are you doing it right? Brokers/managers, come find out more about the importance of independent contractor agreements, what you can and can’t do in policy and control issues, and risks created by teams, assistants, and the use of non-licensees.

Brad Boyd

 

FEATURED INSTRUCTOR: BRAD BOYD

Brad has instructed courses for groups ranging from 7 to 700, and has taught more than 50 CE and training courses covering real estate and legal topics. He has practiced law for 15 years, with more than 10 years of experience focused specially within the real estate brokerage industry. Brad has served as the outside general counsel to the Minnesota REALTORS® for 8 years and continues to serve in that role.

 

 

$99 | 9:30AM-Noon | MN REALTOR® Headquarters, 5750 Lincoln Drive, Edina, MN

Contact Katie Kuhn at kkuhn@mnrealtor.com or directly 952.912.2673 to Register.

The Minnesota REALTORS® is the largest professional trade association in the state with more than 17,000 members who are active in all aspects of the real estate industry.

Counsel Roundtable April 27th

2 Seat Remain for the Counsel Roundtable on Independent Contractors vs. Employees

BROKERS & MANAGERS ONLY

Testimonial from previous Counsel Roundtable

CRT - Testimonil 2

Independent Contractors vs. Employees

No one is immune: Uber, FedEx, and even real estate brokerages are finding that individuals they deemed independent contractors may actually be re-classified as employees. There are ways for brokerages to mitigate the risk of a re-classification lawsuit. Are you doing it right? Brokers/managers, come find out more about the importance of independent contractor agreements, what you can and can’t do in policy and control issues, and risks created by teams, assistants, and the use of non-licensees.

Brad Social post

Featured Instructor: Brad Boyd – Brad has instructed courses for groups ranging from 7 to 700, and has taught more than 50 CE training courses covering real estate and legal topics. He has practiced law for 15 years, with more than 10 years of experience focused specially within the real estate brokerage industry. Brad has served as the outside general counsel to the Minnesota REALTORS® for 8 years and continues to serve in that role.

$99 | 9:30AM – Noon at the MN REALTOR® Headquarters, Edina

Contact Katie Kuhn at kkuhn@mnrealtor.com or directly at 952.912.2673 to register.

The Minnesota REALTORS® is the largest professional trade association in the state with more than 17,000 members who are active in all aspects of the real estate industry.