Welcome to Friday! The best part of this week – the sun came out and I’m seeing + feeling signs of Spring! The other best part for me is that the NCAA March Madness has begun – for many reasons, one of my favorite weeks of the year. We are indeed a basketball family – all of us. What should be noted however, after day #1 of NCAA brackets I’m tied for 10th place. If you know me, you know that this doesn’t sit well with me at all. That said, what has come to mind on day #2 of bracketology is this…”It’s not how you start, it’s how you finish.” And with you all being the audience I’m speaking too – focus on that mantra with real estate + 2017. “It’s not how you start, it’s how you finish.” Solid mindset in our March madness, tipping on mayhem real estate market…
Ok, let’s get to a quick sweep of this week – at a glance > (new) NWMLS Form 22AD vs. Revised WRE Form 43 (know the key differences) + advisory + next week we battle (barristers!) + we shred + a thank you + a little luck + our nwmls homespotter app is gaining rave reviews – both brokers and clients to boot!
New Form Alert (NWMLS 22AD) and Revised WRE Form 43
On February 23, 2017 NWMLS released new and revised forms. Included in the new forms is NWMLS Form 22AD, Increased Down Payment for Low Appraisal Addendum. This form creates the potential for a surprising and unfair result that all brokers should be made aware of.
Paragraph 2 of Form 22AD requires that the buyer send notice to the seller if the sum of the additional down payment funds and the appraised value is less than the purchase price. Once the seller receives this notice the seller has the choice to either reduce the purchase price or terminate the purchase and sale agreement. Form 22AD does not make a distinction between a buyer who is unable to obtain financing due to low appraisal and a buyer who could still qualify for financing even with the low appraisal. This means a buyer could lose the right to purchase even if they qualify to obtain financing.
Windermere has had its own increased down payment form in WRE Form 43 for several years. It was hoped that Form 22AD would replace WRE Form 43 so everyone would be using an NWMLS form for additional down payment. However, because 22AD provides a seller right to terminate even when a buyer might still be able to obtain a loan we have decided to continue to keep WRE Form 43 available.
WRE Form 43 has been updated and simplified in two significant ways. First, the form can now be used in conjunction with either NWMLS Form 22A, Financing Contingency Addendum or NWMLS Form 22AA, Appraisal Contingency Addendum. Of course, a broker would only use WRE Form 43 with NWMLS Form 22AA when the buyer is obtaining a loan. Second, the revised WRE Form 43 directs buyer and seller into the Appraisal Less than Sale Price procedure within NWMLS Form 22A or NWMLS Form 22AA (whichever is applicable) if the buyer is unable to obtain a loan after application of the additional down payment funds. This change was made because brokers are generally more familiar with the Appraisal Less than Sale Price procedure within NWMLS Form 22A and NWMLS Form 22AA than the procedure within the old WRE Form 43 which was basically designed to do the same thing.
***As a Company we have put a hold on final revision of our WRE Form 43 to be posted to the WORC in hopes that we are able to persuade NWMLS to revise 22AD – which would allow us to get rid of WRE 43. This is where our current focus is. Until then, important we at least know the difference in function between with two forms. Your managers do have the most recent 43 revision and will be coaching through the differences. I’m not concerned about if we are using 22AD – only a matter of knowing the difference.***
Thank you to the following brokers who joined OB + Jill + I for lunch and a conversation this week. We kicked off our 2017 advisory roadshow with two chairpersons representing each office.
Ann O’Neil (WW) Blake Budden (WW) Nat Hopper (SP) Kim O. Dales (SP) Stefan Hoerschelmann (NG) Charlie Cowan (NG) Brent Sanders (BD) Jonathan Jacobs (BD) Michele Layton (MP) Shavic Jones (MP) Sol Villarreal (EL) Eva Conner
Key topics were conversations regarding what would you like to see more of + less of…specifically in supporting you win more business. Our agenda included wre tour, a data project we are working on, feedback specific to windermere.com, feedback button on WORC (use it, be specific!), why photo gallery will be important in the coming months, marketing & the messaging in articulating our full service model, social media strategy, (new) homespotter app from nwmls and a natural discussion of the navigating this market. Your chairpersons will use these discussions as banter in your office meetings. Additionally, we will be coming around each office in April to take an even deeper dive on all with your branch advisory board for 2017. We appreciated all the candor, caring, transparency and engagement. Helps us with our roadmap.
Looks like there are a few more seats left at next week’s Battle of the Barristers. In past years I’ve missed out based on this being full. I’ll be there next Friday – click here to register + join me?
Our Sand Point office is thinking + acting green this weekend! If this is convenient for any of your sphere in the NE Seattle hood, a special fyi! Hosted at The Metropolitan Market.
As super duper special thanks to our Eastlake office who has loaned Lindy Oden to our Wedgwood office over the next couple of weeks. Wedgwood was down in staffing for a period of time and our super six offices came together to figure it out. The power + flexibility of us. Thank you!
Here is to hoping my 10th place looks very different when I blog this time next week. And for each of you, my hope is for you to find a win between now and then in our market. They are there, look for them. Mindset will be a crucial part to our success in 2017. And yes, a little luck can go a long ways too – Happy St Patrick’s Day…sporting the only green I could find this morning!
Laura Smith, General Manager | Windermere Real Estate Co.
Ballard + Eastlake + Madison Park + Northgate + Sand Point + Wedgwood
And oh, I’m hearing of fantastic feedback on THIS…
HomeSpotter NWMLS Mobile App Now Available
On the Go? Take NWMLS With You!
Overview of Main Features:
- A variety of search options, or use your GPS to find homes around you
- Quick access to comprehensive property information and broker-only remarks
- Robust neighborhood information, including Google street view, WalkScore® rating, INRIX™ commute times from any address, and school information
- Integration with ShowingTime to quickly schedule showings
- Access to TransactionDesk to create a transaction