TOMORROW
Howlin’ for Habitat. This is our second ever “Howlin’” karaoke party benefiting Habitat for Humanity—don’t miss it! It’s tomorrow, Thursday, May 9, 5 – 8 p.m. at Krewe de Gras. Have fun with your friends and “karaoke for a cause”—you’ll have plenty of chances to sing (and to avoid singing, if you’re shy…). 

THIS WEEKEND
Parade of Homes. The Tallahassee Builders Association’s annual Parade of Homes is coming this weekend and next, May 11 – 12 and 18 – 19. Jane Bixler Conn, chairman of our REALTOR®/Builder Committee, will announce the winners of the REALTORS® Choice awards at the Tallahassee Builders Association awards ceremony on May 15^th. Winners will also be posted in eBoard Briefs the Friday after the ceremony, and again in that Sunday’s “Real Estate Corner” in the Tallahassee Democrat.

NEXT WEEK
NAR Midyear Meetings. I’m looking forward to NAR’s Midyear meetings in Washington, D.C. along with Jeff Doxsee, TBR President-Elect; Steven Louchheim, TBR Executive Director; and Paul Galloway, TBR Manager of Association Technology. We have a full schedule: updates on Federal priority issues, professional standards, and member policy. We’ll meet with Rep. Southerland and Senators Nelson and Rubio. Paul will meet with our membership software vendor, Rapattoni and attend CMLS training—a designation for MLS executives. Steven will attend an update from Supra, our lockbox and key provider. I’ll report the details in June’s President Message.

DON’T MISS
CATRS Technology Forum & District 8 Summit. We’re wrapping up this month at TBR with an amazing technology program on May 30—with panelists, tech roundtables, and technology vendors; plus prizes, lunch, a social, Florida REALTORS® candidates and leadership… It’s almost too much to mention! This event, organized by TBR’s own Paul Galloway, is a great resource for TBR members—and we’re welcoming Florida REALTORS® District 8 and the public to attend, as well. Even though this technology forum is three weeks away, very few seats remain…so register now; you won’t want to miss this.

RECAP
Great American REALTOR® Days. April’s Great American REALTOR® Days at the Capitol was a rousing success with the Rally in Tally. Over 80 TBR members attended the rally, joining nearly 1,300 REALTORS® from across the state. Congratulations to Jack Davidson and Dorrece Lisenby, our iPad winners! And thanks to Kristina Petrandis, Governmental Affairs Chairman, and her committee for their hard work. When you see Tiffany Hamilton, YPN Chairman, and the members of the Capital Area Young Professionals Network, congratulate them on a job well done—they raised $1,200 for Habitat and RPAC with their GARD After Party, which was a huge success and a model of teamwork and creativity.

Frank A. McClean
2013 TBR President
Community Property Management, Inc.

Leon County has a new ordinance related to homes that are about to be foreclosed. It will be interesting to see how it works. Hopefully, the abandoned home with the trash and overgrowth that threatens property values will now have some accountability, or at least the mortgagee will.

The Registration Form for Abandoned/ Distressed Property—that is its title—is now available on the www.leonpermits.org website, maintained by the county Development Support and Environmental Management office. The ordinance is on the website, also.

The ordinance requires the mortgagee to pay a $150 registration fee and complete the form within ten days of determining that the property is in default. There may be a lot of argument about when and what constitutes a default, and how that determination is made, but there is no doubt that many of the homes we see daily qualify for the definition of being abandoned, and most likely in default of the mortgage on the home.

The registration is good for a year, and it must be registered again annually, and the fee again paid.

The lender is also required to identify a local representative to secure and maintain the property. A sign must be posted on the property with the contact information of the representative. Enforcement starts July12, 2013.

As a REALTOR®, you have a vested interest in helping property owners know about their property obligations. A homeowner faced with default should be aware that the lender will have no choice but to post the notice and register the property, if the circumstances fit the law. You can share this information without giving legal advice, and the homeowner can just look it up. Or if you work with mortgagees, you should let them know of this requirement.

Already you have seen the white papers taped to windows on homes that are obviously abandoned. Many of those homes are in disrepair and there was no way to contact anyone in authority. The homeowner may be gone and avoiding being served with foreclosure papers. They do not want to talk to anyone. And servicing companies for many lenders have no idea what property you are talking about, unless you have a loan number. And even then, a mortgagee has limited rights to go on the premises or to do anything with regard to the premises, at least until a foreclosure starts and a court enters an order.

The County has taken a first step in trying to establish some lines of authority and accountability related to abandoned homes. Some will think it is just another tax, but let’s hope that it helps bring an end to these eyesores as we recover from this terrible economic nightmare.

Joe R. Boyd
TBR Legal Counsel
Board Certified Real Estate Attorney
Boyd & DuRant, P.L.

What is “Assume Identity?”  Assume Identity is a way for you as an agent or broker to allow a licensed or unlicensed assistant to log into the MLS under their own unique login and then “Assume the Identity” of the agent or broker they are working for. Why is that a benefit to you?  The easy answer is that you will no longer have to share your username and password with anyone else, thus creating a more secure and reliable MLS!

A more complete answer might be that as a result, you can be certain that under your login, only you can manipulate your listings. When the assistant that is working for you logs into Paragon and assumes your identity, there will now be a “paper trail” that shows the assistant is logged in under their unique username and password but, and with your permission only, has assumed your identity and made any change to your listings.

This should be especially beneficial to real estate teams as well as the assistant that needs to access an agent’s or broker’s account to expedite workflow in the most efficient manner possible. As for the CATRS MLS management and support staff, it allows us to assume your identity as well and potentially isolate any issue that might be account-specific without requiring you to divulge your personal username and password. This is a huge timesaver!

Of course there will be some minimal paperwork that will need to be completed and a nominal fee for new user IDs, but once implemented Assume Identity has the potential to not only help to protect the overall accuracy and integrity of the CATRS MLS but to also transform your daily real estate business in a positive and mutually beneficial manner.

If you have any further questions or need more details please feel free to call the CATRS/TBR Technology Desk at (850) 224-7713.

Will Shepherd
Technology Support Specialist
Capital Area Technology & REALTOR® Services
Tallahassee Board of REALTORS®

Coming May 30: CATRS Technology Forum and District 8 Summit. I sure hope you’ve already registered and have this event on your list of “gotta do’s,” because if you live in Florida REALTORS®’ District 8 (this includes Tallahassee), you have a great opportunity coming your way! But, signing up is the key—seats are selling fast; you can buy your tickets online or by calling the TBR office, (850) 224-7713. If you’re a District 8 REALTOR® but not a member of the Tallahassee Board of REALTORS®, call us directly to register at the member rate. Again, seating is limited—this event is also open to the public—so you will want to sign up right away.

The CATRS Technology Forum starts at 11:30 a.m. on May 30, with a boxed lunch followed by an afternoon of fun, cutting-edge technology information, and even opportunities to win some really cool tech prizes and the chance to meet your Florida REALTORS® leadership as well as those wishing to serve as future state association leaders. All in all, it is going to be a great day followed by a social at 5:30.

The future of our associations depends on its members. As a member of the local, state, and National Associations of REALTORS®, your interest and participation is invaluable. Leadership wants to know the membership, and this is a wonderful opportunity for us to meet and listen to our state leadership team. This is especially true if you are not currently attending the state association meetings or are not involved at the state level. The candidates for Florida REALTORS®’ 2014 leadership team will speak for five minutes each beginning at noon; they’re traveling a long way to see and meet you, so let’s show them a warm District 8 welcome!

The afternoon will be filled with many technology tips and tricks. Our own Paul Galloway, TBR’s Manager of Association Technology, will be heading up the afternoon tech forum with a team he has assembled to bring you all the latest and best technology information available. This will be a sellout. Paul and his team of “techies” have arranged a dynamite program, and you’re going to kick yourself if you miss it! NOT to mention the many opportunities you’ll have to win some great prizes (including a Windows 8 laptop).

While this isn’t designed to be a Q&A session, bring your questions (and even solutions)—if time permits, Paul and his team will help you out. Do take advantage of the opportunity to compare various products at the event’s Vendor Alley, and ask the representatives on hand your questions about their products or technology solutions.

Don’t ignore my advice that time is of the essence—sign up now! Help me make this one of the most successful District 8 meetings Tallahassee has hosted in a while!

Lucretia Thomas
District 8 Vice President
Thomas Acquisition & Property Specialists

In 2007, I was showing university area condos to some FSU parents who also happened to be very successful actively practicing REALTORS® from Miami.  Since we’d all been in the car together for several hours, they didn’t mind my taking a quick phone call on speaker phone in my car. It was Sunday, about 4 p.m., at the close of open house time for most local REALTORS®. Steve Lastowski of Lastowski Realty popped up on my speaker phone. He asked how I was, how my father, Chip Perkins (a veteran Tally REALTOR®), was, waited for an answer to those questions, then proceeded to tell me that some buyers I was working with came by his open house and seemed to like it a lot. He went into detail about how long they spent there and that he had given them some take-home material on the house, but that I should really send them a comparable sales analysis because they seemed really excited.

After Steve and I finished conversing, I looked in my rear view mirror to the back seat and saw a look on these REALTORS®’/parents’ faces as though I had just planned a bank robbery on the phone. “Um, Christie?” they asked, “Is that guy nuts?” “Definitely not. He’s an excellent REALTOR® that’s been in the business for years; why do you ask?” I replied. When I told my Miamians that those buyers knew about the open house because I suggested they stop by and say hello to Steve as well, I thought they were going to pass out.

Here in Tally, we do things a lil’ differently. We may have nearly a third of a million people here, but in the local business industry and especially the local real estate industry, ethics and reputation are very, very important. The vast majority of Tally REALTORS® respect each other and realize that what goes around, comes around. We will ask open house attendees and buyers requesting showings with whom are they working, and will most likely tell them what a great agent they have.

This kind of communal ethic works for home sellers, too.  If sellers don’t know any REALTORS® well enough to hire them outright, they will interview a few. I’ve often been asked by sellers what I think of other REALTORS®. My answers are always neutral and complimentary.  In fact, a fellow agent at my office was recently hired, in part, because she answered the competitor question with ethics and respect.

Sometimes, when I’ve been called upon to act as a second or third agent for a buyer or seller and I am sure that the previous agent did a great job and just didn’t get to the finish line, I will give that agent a referral fee. My thought is, if I am positive that they did all of the banging and heavy lifting to get the pickle jar open, I should at least give them a pickle.

At the end of our Sunday showing session, the Miamian REALTORS®/parents were still talking about how “strange” our REALTOR® culture up here is. I smiled, turned up the Southern accent and said, “Y’all ain’t from roun’ here, are ya?”

Christie Orros
Coldwell Banker Hartung & Noblin

Great American REALTOR® Days. Today (April 10) is our second day at the Capitol. We kicked off GARD with a visit from the Florida REALTORS® leadership team at our marketing meeting on Tuesday.

TBR President Frank McClean with the Florida REALTORS® Leadership Team at the April 9 marketing meeting. From left to right: Sherri Meadows, President-Elect; Dean Asher, President; Frank McClean; Andrew Barbar, Vice President; Maria Wells, Secretary; John Fridlington, CEO; Matey Veissi, Treasurer.

Today, we’ve scheduled visits with Rep. Alan Williams, Rep. Michelle Rehwinkel-Vasilinda, and Senator Bill Montford to lobby on pending real estate legislation, and at 1 p.m. we’ll gather in the Capitol Courtyard to join a sea of REALTOR® blue at the Rally in Tally! The first ever Rally for Homeownership (April 10, 1 p.m.), hosted by Florida REALTORS®, is an opportunity to promote REALTOR® issues in a very visual way—a convergence of REALTORS® wearing blue shirts emblazoned with the REALTOR® logo.

Yesterday, the Taste of Florida block party was a great opportunity to network with REALTORS® from across Florida. Following the block party, our very own Capital Area Young Professionals Network hosted a fun “after-party with a purpose”—to raise funds for Habitat for Humanity and RPAC. It was a huge success—kudos to CAYPN Chairman Tiffany Hamilton, YPN volunteers, and Sonia Jewell at TBR for putting together an amazing event.

Nationwide Open House Weekend, April 20 – 21. NOW is the time to enter your open house listings in MLS so they appear on our specially branded public search. Next week, stop by the TBR office to pick up your free blue REALTOR® balloons to help market your open houses. Don’t miss this opportunity to take advantage of this nationwide showcase of homes and REALTOR® professionalism and expertise!

Fair Housing Month. April is the 45^th anniversary of the Fair Housing Act, which prohibits discrimination in housing. We’re pleased to be able to bring NAR’s “At Home with Diversity” course on April 25, which teaches how REALTORS® can increase their sensitivity and adaptability to future market trends, and how to thrive as an effective service provider and community leader. Additionally, the course offers 7 hours of CE, and can be credited towards the following designations or certifications: ABR, CIPS, CRS, PMN, AHWD, and RSPS.

Parade of Homes. The Tallahassee Builders Association’s annual Parade of Homes is coming on May 11 – 12 and 18 – 19. Jane Bixler Conn, chairman of our REALTOR®/Builder Committee, is gathering REALTORS® to judge the REALTORS®’ Choice Awards. If you’re interested in judging, contact Susan Ray, Susan@TBRnet.org for more information. Orientation will be May 1, with judging on Friday, May 3.

Affiliates. First, thank you to the sponsors who so generously supported our 2012 Awards Ceremony: Advantage Title Group; BB&T; Browning Moving & Storage; Capital City Bank; Centennial Bank; Esposito Garden Center; First American Home Warranty; First Commerce Credit Union; Hancock Bank; Keller Williams Town & Country Realty; Party, Party, Party; Premier Construction & Development; Smith, Thompson, Shaw, Minacci & Colon, P.A.; SunTrust Mortgage; Tallahassee Democrat; Tallahassee Title Group, LLC; Timberlane Appraisal; University Lending Group; and Wells Fargo Home Mortgage.

Our Affiliates support large events like our awards ceremony, golf tournament, and gala—and are with us every week sponsoring marketing/business meeting breakfasts and classes. If you ever need to locate a service or find a vendor for yourself or your customers, look first to the Affiliate Services Directory and support your fellow members.

REALTOR® Enrichment Program. Improve your REPutation! It’s not too late to purchase your REP pass—just one low price and you can attend several great CE and technology classes for the rest of the year.

Frank A. McClean
2013 TBR President
Community Property Management, Inc.

One of the largest providers of force-placed homeowners insurance, Assurant, recently settled for $14 million in New York following allegations by the state for improper activities. And now such activities are drawing the attention of regulators in other states, and some federal authorities. It has been the subject of litigation in Florida before.

Force-placed insurance is usually where a lender demands that the homeowner provide proof of coverage, and the homeowner fails. The lender then places the insurance through its own sources, and adds the costs to the debt. The cost is frequently two or three times what the insurance would cost in the open market.

Now, Fannie Mae and Freddie Mac care about this issue.

It seems that lender-placed insurance is occurring more frequently now because of the financial crisis in the last few years. Lenders place the insurance, the cost is added to the debt, and then the homeowner fails to pay the mortgage. When the bill ultimately falls to Freddie Mac or Fannie Mae, people care. But when it was just falling on the homeowner for many years, there were few people who cared.

This was especially true where homes had little value, but sat on valuable beachfront property. You cannot buy insurance for land, only for improvements on the land. So some lenders would threaten force-placed insurance for the full amount of the loan, although most of the collateral for the loan was the land, not the inexpensive home on the land. Very little could be done by a homeowner to argue his or her case.

But now the Federal Housing Finance Agency, which oversees Freddie and Fannie, is getting involved. In a proposed rule, it would prohibit insurance companies from paying sales commissions to lenders or mortgage servicers for force-placed insurance. Basically, those entities would not be able to make a profit on force-placed insurance.

The National Association of Insurance Commissioners, the Consumer Financial  Protection Bureau and some state attorneys general have found the practices have resulted in excessive rates and costs passed on to homeowners. In New York, the investigation found that the insurers and certain banks had a network that drove premiums sky-high, according to the state’s top financial regulator.

Force-placed insurance is a contractual right of the lender. It usually only triggers if the homeowner first fails to acquire reasonable casualty insurance, and fails to pay for it. But the abusive practices related to force-placed insurance have been around since at least 2005.

But whatever the motive, finally this process is being watchdogged at the highest level. Fines today will lead to class action suits tomorrow, and then maybe the abuses, where they exist, will stop. Meanwhile, homeowners who believe they are being abused with exorbitant costs for force-place insurance should look for help from newly-concerned regulators.

Joe R. Boyd
TBR Legal Counsel
Board Certified Real Estate Attorney
Boyd, DuRant & Sliger, P.L.

I have heard many times recently, “No one can get a loan unless they have 20% to put down.” This is not accurate. There are still many very lucrative loan programs available today for both buyers and those folks wanting to refinance.

The big differences between the programs offered in the ’00’s and today are that borrowers need to be able to document income and assets, have a credit score acceptable to the loan program—and the property will be scrutinized, as well. In Florida, property type is very important. Condominiums will need to be Agency approved. Manufactured housing requires additional documentation and inspections. Site-built homes are the most desirable. Here is a chart that I hope will help dispel the misunderstanding (click image below to enlarge):

Footnotes:
1 Minimum down payment for primary residence is 3%. Second home and investment may have higher down payment requirements.

2 Maximum seller contributions, primary and second home: 3% if down payment is less than 10%; 6% if down payment is 10% – 25%; and if greater than 25% down, the seller can contribute 9% (of purchase price). If purchase is investment, the maximum seller contributions are limited to 2% of the sales price.

3 Cannot own other habitable properties in the commuting area at the time of closing.

4 If purchase price is over $417,000, down payment will be required.

5 Dependent upon loan program, see footnote 2.

6 Dependent on loan program, but maximum sales price is $250,200 (non-targeted) or $305,800 (targeted).

7 Must not have owned real estate within the past 3 years, unless “displaced spouse.”

8 Dependent upon obtaining mortgage insurance.

Elizabeth Ralstin
Hancock Bank

April is Fair Housing Month—a reminder of the rights of home buyers and tenants, that no matter their race, color, religion, national origin, sex, disability, familial status, or sexual orientation they have the right to buy and rent without discrimination. One of the most important aspects of fair housing that we as REALTORS ® should take away from this month is the importance for real estate agents to help enforce the rights of our customers, inform sellers and landlords that they have to abide by those same requirements, and protect the citizens at large throughout the year and in every transaction.

If you see someone violating those rights—speak up, let them know—they may not be aware. Tell a seller that is against the law to tell them the race of the buyer in order for them to accept a contact, or a landlord that a single mom with two children has to be evaluated on the same basis as a male with no kids. The federal Fair Housing Act prevents us from refusing to sell or rent housing; refusing to negotiate for housing; falsely denying a property is available for inspection, sale or lease; or denying anyone access or membership in a facility or service.

Violation of fair housing laws comes with a steep penalty that pertains to all, not just licensed real estate agents. Violators may be suite for punitive and/or actual damages; the Attorney General may file suit in federal District Court and, if they believe there is a pattern of discrimination, $16,000 to $65,000 in civil penalties may be charged.

Be mindful of the rights of others. To commemorate Fair Housing Month, the Tallahassee Board of REALTORS® is hosting NAR’s popular “At Home with Diversity” course on Thursday, April 25, 9 a.m. to 5 p.m. The course is designed to provide practical skills and tools to increase the REALTOR®’s effectiveness in working with all social groups, by helping participants to develop cross-cultural communication skills and apply and practice fair housing laws.

Tiffany Hamilton
Armor Realty of Tallahassee
Chairman, Equal Opportunity Committee

1963 TBA Parade Model House, State Archives of Florida, Florida Memory,
http://floridamemory.com/items/show/47527

The Tallahassee Builders Association (TBA) Parade of Homes™ entries have come a long way in the past 50 years! The 1963 model home pictured above is representative of the Mid-Century modern style so often built by the combination of Carl Ferrell, Sr. and Pearce “Bouchie” Barrett. This home was built with ALL the latest amenities, including 3 bedrooms, 2 baths, 2-car carport, and a den. Two baths were considered a luxury at this time, and having a 2-car carport was only for the very prosperous who had two cars!

The 2012 Best of Show winner by Doug Barton, Barton Construction, is more of a Craftsman style, which is very popular now. We will see another of his fine homes in the 2013 Parade, along with 28 other new construction entries. That’s right—an increase of almost 50% over the 2012 Parade. It does seem like the Tallahassee real estate market is returning to health.

As it has for many years, the Parade opens Mother’s Day weekend, May 11 and 12, and continues the following weekend, May 18 and 19. The homes are open 10 a.m. to 6 p.m. on each Saturday, and noon to 6 p.m. on each Sunday.

Judging will take place on May 3. The TBA judges are from out of town, and will be working in teams of three per category. The REALTORS®’ Choice judging will also take place on May 3. In addition, the Florida Green Building Coalition (FGBC) will be presenting awards to the highest scoring Green house in two categories—under 1850 square feet and over 1851 square feet.

Best Feature Ribbons will adorn each Parade home by the first weekend of the Parade. Parade winners will be honored at a Parade of Homes dinner and TBA general membership meeting on May 15, 2013 at the Hotel Duval.

Once again, Second Harvest will be the Parade of Homes charity and barrels for food donations will be located at area Publix stores, where the official Parade of Homes magazine will also be available.

This year’s lineup of Parade builders includes a blend of long-established builders as well as a host of new builders who are anxious to make their marks on the local housing market. In addition to Barton Construction, the 2013 Parade of Homes hosts widely-honored builders Persica Homes, Powerhouse Construction, Foundation Homes, Alexander Dinkelman, Adams Quality Homes, Tricon Builders, Hartsfield Construction, Premier Fine Homes, Panhandle Building Services, and Ertl Homes.

So, come out and have a great time looking at some of the finest homes Tallahassee has to offer.

Jane Bixler Conn
Summit Group Commercial Properties
E S Green & Company, LLC
Chairman, REALTOR®/Builder Committee