md realtor magazine august/september 2013

VOLUME XLVII Number 5 AUGUST | SEPTEMBER 2013

The Maryland Association of REALTORS® www.mdrealtor.orgThe Voice for Real Estate® in Maryland

13 2013 Commercial Symposium

18 REALTOR® Safety

September 9–112013

Consumer Website: www.marylandhomeownership.com

AnnuAl COnFEREnCE & ExpO

2013SEPTEMBER 9–11, 2013

OCEAn CiTy, MARyLAnd

6 Russ Boyce 2014 President, Maryland Association of REALTORS®

www.mdrealtor.org MARyLAnd REALTOR® AUGUST | SEPTEMBER 2013 1

President’s Perspective C A R L T O N J . B O U J A I , J R .

As you recall, I started the year with

three goals:

● Increase awareness and support

of RPAC and RPAC goals;

● Increase our response to

“Calls to Action”; and

● Raise the bar of REALTOR®

Professionalism.

I am extremely pleased to report

that we have seen tremendous

improvement in all three areas.

Together we made it happen, and

I am personally grateful for your

support, friendship and above all,

your professional demeanor.

As REALTORS®, we are sworn to abide by the NAR Code of Ethics. Beyond ethics, however, is acting professionally with all parties through a transaction. Good business practices are not only essential to a smooth process. They build good relationships with clients and with fellow REALTORS®, which can lead to more efficient future transactions and even future referrals, as well as more public respect for our profession. In short, professional behavior enhances your personal reputation and your business.

We’re preparing for

another year, and the

inevitable changing of

the guard. I want to thank each and

every member for your support and

actions taken over this past year to

help us make MAR even better.

But the job is not finished yet.

We still have a lot of room for

improvement. I ask that you join

me in giving our new President,

Russ Boyce, the same support

and encouragement you afforded

me. Together, we can continue to

improve and make this profession

second to none.

It has been a great honor to serve as

your President this year. Please know

that I will continue to serve and help

this wonderful organization in every

manner possible. Be all you can

be—GO MAR!

There is Still Work to be done

2 MARyLAnd REALTOR® AUGUST | SEPTEMBER 2013 www.mdrealtor.org

T A B L E O F C O n T E n T S

2013 COMMERCiAL SyMPOSiUM

FEATURES Russ Boyce 2014 PResident, MaRyland association of RealtoRs® 6

2013 annual confeRence & eXPo 9

2013 coMMeRcial syMPosiuM 13

HelP Positively iMPact tHe enviRonMent witH eneRgy Plus' gReen oPtion 14

weBinaR 16

RealtoR® safety: Put youR gut in youR safety toolBoX 18

Meet tHe staff 22

DEPARTMENTS PResident’s PeRsPective 1

Regulation news 30

Residential sales 31

coMMeRcial connection 34

MaRyland Real estate coMMission news 35

fRoM tHe Hotline 36

REALTOR® SAFETy: PUT yOUR GUT in yOUR SAFETy TOOLBOx

HELP POSiTivELy iMPACT THE EnviROnMEnT WiTH EnERGy PLUS' GREEn OPTiOn

14MEET THE STAFF 22

13

18

2013 Maryland Association of REALTORS® Leadership Team

Carlton J Boujai JrPresidentExiT Realty Prosperity Group5300 Westview DriveSuite 105Frederick, MD [email protected]

J Russell BoycePresident ElectRE/MAx 10010665 Stanhaven PlaceWhite Plains MD [email protected]

Mary C AntounChief Executive OfficerMaryland Association of REALTORS®

200 Harry S Truman Parkway Suite 200Annapolis, MD [email protected]

Janice R KirknerSecretaryLong & Foster Real Estate, inc.1208 Nottingham DriveWestminister, MD [email protected]

Patricia A TerrillImmediate Past PresidentPrudential PenFed Realty7501 Coastal HighwayOcean City, MD [email protected]

Maryland Association of REALTORS®200 Harry S Truman Parkway | Suite 200

Annapolis, MD 21401-7348800.638.6425 | www.mdrealtor.org

Executive Leadership TeamCarlton J Boujai Jr | President

J Russell Boyce | President ElectJanice R Kirkner | SecretaryCarole A Maclure | Treasurer

Patricia A Terrill | Immediate Past PresidentMary C Antoun | Chief Executive Officer

EditorMelissa Lutz | [email protected]

Advisory CommitteeYolanda R Muckle | Chair

Thomas P Levin | Vice Chair

AdvertisingArlene Braithwaite | 410.772.0820

Publication designHBP, Inc., 952 Frederick Street, Hagerstown, MD 21741

800.638.3508 | www.hbp.com

Mission StatementThe Maryland Association of REALTORS® exists to support all segments of its membership and their specialties. The Maryland Association of REALTORS®, through collective efforts with local boards/associations and the National Association of REALTORS®:■ Develops and delivers programs, services and related products

that maintain and elevate the high standards of the real estate business and the professional conduct of its practitioners;

■ Assists members in ethically and professionally serving the public;■ Promotes and preserves the right to own, transfer and use real

property; and■ Protects the right of members to conduct business within a

framework of fair and reasonable laws and government regulations.

In principle and in practice, the Maryland Association of REALTORS® values and seeks diversity and inclusive participation within the field of real estate and recognizes each member as a unique individual.Maryland REALTOR® (USPS 0016-017) is published bimonthly by the Maryland Association of REALTORS®, Suite 200, 200 Harry S Truman Parkway, Annapolis, MD 21401-7348. Periodical postage paid at Annapolis and additional mailing offices. Postmaster send address changes to: Maryland REALTOR®, Suite 200, 200 Harry S Truman Parkway, Annapolis, MD 21401-7348.Member subscriptions of $3.81 are paid with annual dues.This publication is designed to provide accurate and authoritative information regarding the subject matter covered. It is offered with the understanding that the publisher is not engaged in rendering professional advice. If legal advice or other expert assistance is required, the services of a competent professional should be sought. Articles that appear in Maryland REALTOR® are an informational service to members. Their contents are the opinions of the authors alone and do not necessarily represent those of the Maryland Association of REALTORS®.Permission to reprint articles appearing in Maryland REALTOR® magazine must be requested in writing. Also include purpose for request.While this magazine makes a reasonable effort to establish the integrity of its advertisers, it does not endorse advertised products or services unless specifically stated. ©2010 Maryland Association of REALTORS®, Inc.

Carole A MaclureTreasurerRE/MAx Advantage Realty17304 Evangeline LaneOlney, MD [email protected]



“Lead by Example

and Empower as

many people as

you can along the way” reads

the motto atop Russ Boyce’s

C.V. Those who know him,

know they are the words he

lives by and hopes to pay

forward during his time as

President with the Maryland

Association of REALTORS®.

Russ BOyCE2 0 14 P re s i d e n t , M a r yl a n d A s s o c i a t i o n o f R E A LTO R S ®


A resident of Maryland most of his

life, Russ Boyce grew up in a working

class family. Even as a youth, he

knew he wanted more from life. His

ambition might have been stifled

by responsibility (he was a father of

three sons by age 22,) but, instead,

Boyce maintained his dreams and

strove forward. Providing for his

family’s security proved to be the

key to his success in both realms.

In 1985, buying his first house,

Boyce found he loved the process.

Governed by his instinct, he took a

course, got his license, and started

selling real estate part-time. Within

a year, he was a top-producer in his

office. He left his stable government

job to devote his energies to a full-

time career in real estate, and has

never looked back.

Licensed in Maryland, Washington

D.C. and Virginia, Russ Boyce is now

widely respected as one of the

region’s top agents. His dedication

to his chosen field is evident

from the long list of committee

memberships and leadership

positions he has held within

REALTOR® associations at all levels,

including his 2008-09 Presidency at

the Southern Maryland Association

of REALTORS®. With quiet

determination, good humor, and the

kind of positive energy some might

call super-human, he maintained his

position as 2012 Secretary of MAR,

through the diagnosis, successful

treatment and remission of stage

IV non-Hodgkin lymphoma cancer.

He is a graduate of the 2008 MAR

Leadership Academy, and the 2012

NAR Leadership Academy.

Boyce modestly explains that

the Presidency of the Maryland

Association of REALTORS® was

never a goal, but “evolution.” His

leadership focus will remain, as

always, on achieving a greater

good for his fellow members. “I am

in the trenches right there with

them, making a living from listing

and selling real estate. I want to be

sure they have the best tools and

environment, not just to succeed,

but to flourish,” he says.

“I am in the trenches right there with them,

making a living from listing and selling real estate.”


One of his goals as President will

be to promote the importance

of the REALTOR® Political Action

Committee (RPAC), because, he

insists, “If you’re in real estate, you’re

in politics. If we don’t support the

politicians who support our issues,

we will lose more than just the

Mortgage Interest Deduction (MID);

we’ll lose our seat at the table.”

One of Boyce’s initiatives is to help

members increase their awareness,

reach higher goals and take more

educational classes. He notes with

characteristic optimism, “When

agents empower themselves with

these, they can’t help but achieve

personal success.”

Boyce brings his inspired leadership

to new heights when he is installed

as the 2014 President of the

Maryland Association of REALTORS®

in September. He finds his own

inspiration from his family, devoted

partner of 10 years, and fellow MAR

members he serves.

EQUAL HOUSINGOPPORTUNITY

Raymond Skinner, SecretaryClarence Snuggs, Deputy Secretary

MDHOUSING MARYLANDHOUSING

HOUSING IN MARYLAND PLAYLIST

• All Maryland Mortgage Program borrowers may receive $5,000 in downpayment assistance

• Mortgage Loans for First-time Homebuyers

• 30-year terms with fixed rates

MARYLAND MORTGAGE PROGRAM

Bringing Families Back Home

CALL 800-638-7781 VISIT www.mmprogram.org

“If you’re in real estate, you’re in politics.”

Main Conference SponsorsMRISPen Fed Credit Union

Platinum Conference SponsorCentury 21 Real Estate

Overall Conference SponsorsCarroll County Association of REALTORS®Cecil County Board of REALTORS®EXIT Realty Mid-AtlanticFrederick County Association of REALTORS®Garrett County Board of REALTORS®Harford County Association of REALTORS®Maryland Hispanic Real Estate Industry Association (MHREIA)MidShore Board of REALTORS®Women’s Council Chapter of Maryland

REALTOR Business CenterColdwell Banker Residential Brokerage

NAR Directors BreakfastHoward County Association of REALTORS®Anne Arundel County Association of REALTORS®

Continental BreakfastsCoastal Association of REALTORS®

Wednesday’s Beverage BreakPrince George’s County Association of REALTORS®

Installation BanquetRE/MAX 100Lakeside TitleSunTrust BankLong & Foster Real Estate—

Cocktail Reception & Wine Tasting SponsorRE/MAX Central Atlantic Region — Décor sponsor

Bill Armstrong, 2000 MAR PresidentBill Neary, 2002 MAR PresidentBillie Landbeck, 1978 MAR PresidentCarlton Boujai, 2013 MAR PresidentCarole Maclure, 2013 MAR Treasurer,

2008 MAR PresidentCathy Werner, 2011 MAR PresidentIlene Kessler, 2007 MAR PresidentJoAnne Poole, 2005 MAR PresidentJohn Harrison, 1997 MAR PresidentJohn Steffey, Sr. 1956 MAR PresidentPat Terrill, 2012 MAR PresidentSteve Meszaros, 2010 MAR President

A Special THANK YOU to all of our Sponsors


& AnnuAl COnFEREnCE ExpO2013


you can take any of the Continuing Education (CE) Courses that have been approved for CE in Md, dC & or dE at the Annual Conference. you will need to include your real estate license number when you register.

Join us for even more value at the MAR Annual Conference and EXPO.

MONDAY, SEPTEMBER 98:30 am–10:00 am Be on the “Fair Housing”

Winning Team + (1.5 hours Fair Housing MD

#708-1604, Category “C”)

9:00 am–10:00 am RPR Basics

9:00 am–12:00 pm your Business Planning Handbook

9:00 am–12:00 pm Property Mgt: A Smart Addition To your Service Portfolio +++

(3 hours Professional Enhancement MD #712-1604, Category “F”; DC #12829, Elective; DE #06301378, Module #7)

9:00 am–12:00 pm MREC Agency–Commercial ++ (3 hours Agency MD #705-1604,

Category “H”; DC #12751, Elective)

9:00 am–12:00 pm negotiation: Keys to The deal

9:00 am–12:00 pm does your Rental Property Still Measure Up? +++

(3 hours Professional Enhancement MD #696-1604, Category “F”; DC #12815, Elective; DE #06301372, Module #7)

10:30 am–11:30 am MRiS—Let MRiS Coach you to victory

10:30 am–12:00 pm Can’t We All Get Along/Professional Courtesy and Ethics +

(1.5 hour Professional Enhancement MD #693-1604, Category F)

12:00 pm–1:00 pm Building a Winning Website—xACTSiTE/MRiS

1:30 pm–3:00 pm Federal Laws & Regulation Update ++

(1.5 hours Legal & Legislative MD #719-1604, Category “A”; DC #12831, Elective)

1:30 pm–5:00 pm Contracts—Formation & Termination—Al Monshower ++

(3 hours Professional Enhancement MD #695-1604, Category “F”; DC #12828, Elective; DE No credit)

1:30 pm–5:00 pm GPS for RE Success: your Proven Growth Profit System

1:30 pm–5:00 pm Tax Update & Planning 3 hour Professional Enhancement MD

CE not approved

1:30 pm–5:00 pm dissecting the Commercial Lease +++

(3 hours Professional Enhancement MD #718-1604, Category “F”; DC #12830, Elective; DE CE pending)

1:30 pm–5:00 pm MREC Agency–Residential ++ (3 hours Agency MD #672-1604,

Category “H”; DC #12742 CE Elective)

3:00 pm–4:00 pm MRiS– dominate your Listings with the new “Keystone”

3:30 pm–5:00 pm Md Real Estate Commission Update + (1.5 hours Professional Enhancement

MD #706-1604, Category “F”)

3:30 pm–5:00 pm How to Powerfully Connect with Today’s On–line Consumer

CONTINUING EDUCATION CREDIT

ClASSES FOR MD, DC, & DE+ All classes being submitted for MD CE

+ DC Credit – Classes being submitted for DC CE

+ Delaware Credit—note all 1.5 hour classes will only receive 1 hour of DE CE

Non-CE Classes


TUESDAY, SEPTEMBER 108:30 am–10:00 am Broker & Managers Tools Forum ++ (1.5 hours Professional Enhancement

MD #715-1604, Category “F”; DC #12822, Elective)

8:30 am–10:00 am The Good, The Bad, The Ugly—Useful & Useless information

8:30–11:30 am Ethics is the End Game ++ (3 hours Ethics MD #707-1604,

Category “D”; DC #12816, Elective CE; DE No credit)

9:00 am–10:00 am MRiS—Let MRiS Coach you to victory

9:00 am–12:00 pm Going Up for the Rebound (3 hour Professional Enhancement

MD #710-1604, Category “F” CE)

9:00 am–12:00 pm Lending’s Fine Line: Creative Financing or Predatory Pitfall +++

(3 hours Professional Enhancement MD #701-1604, Category “F”; DC #12819, Elective; DE #06301373, Module #7 CE)

9:00 am–12:00 pm Legal Update ++ (3 hours Legal/Legislative MD

#709-1604, Category “A”; DC #12831, Elective CE)

10:30 am–12:00 pm RESPA Update ++ (1.5 hours Professional Enhancement

MD #714-1604, Category “F”; DC #12826, Elective CE)

10:30 am–11:30 am RPR for the Advanced

12:00 pm–1:00 pm Building a Winning Website—xACTSiTE/MRiS

1:30 pm–3:00 pm Sustainable Social Media Tool Set

1:30 pm–5:00 pm MREC Supervision ++ (3 hours Supervision MD #689-1604,

Category “I”; DC #12743, Elective CE)

1:30 pm–5:00 pm disclosure—the ins and Outs of Maryland Law ++

(3 hours Disclosure MD #716-1604, Category “E”; DC #12824, Elective CE)

1:30 pm–5:00 pm iPad Applications—Work Smarter, not Harder

1:30 pm–5:00 pm Cracking the Credit Code: The Key to More Closings +++

(3 hours Professional Enhancement MD #702-1604, Category “F”; DC #12818, Elective; DE #06301375, Module #7 CE)

1:30 pm–5:00 pm Lead Paint & the EPA: 37,500 Reasons to Care+++

(3 hours Legal/Legislative MD #711-1604, Category “A”; DC#12821, Elective, DE#06301377, Module #5 CE)

3:00 pm–4:00 pm MRiS—dominate your Listings with the new “Keystone” (Repeat)

3:30 pm–5:00 pm Effective & Efficient Social Media Engagement

WEDNESDAY, SEPTEMBER 118:30 am–11:30 am RPR—valuation Models: Real

Time date, Market Knowledge and More

8:30 am–11:30 am The Many Risks in Real Estate +++ (3 hours Professional Enhancement

MD #717-1604, Category “F”; DC #12823, Elective; DE #06301379, Module #7 CE)

8:30 am–11:30 am Ethics in Today’s Marketplace ++ (3 hours Ethics MD #713-1603,

Category “D”; DC #12825, Elective CE)

8:30 am–11:30 am Are you the Go-To Agent?

8:30 am–11:30 am Critical Rules, Reforms & new Realities +++

3 hours Professional Enhancement MD #703-1604, Category “F”; DC #12817, Elective; DE #06301374, Module #7 CE

9:30 am–11:00 am Fair Housing (Repeat) + (1.5 hours Fair Housing MD #708-

1604, Category “C” CE)

10:00 am–11:00 am MRiS—Let MRiS Coach you to victory (Repeat)

When you join us, the sky’s the limit.

Not surprising, since we are now second among real estate franchises

as ranked by Entrepreneur Magazine*.

With a growing presence in more than 230 markets and 35 states, the independently owned and operated Weichert® franchised offices of Weichert Real Estate Affiliates, Inc. are always looking to add knowledgeable sales associates. Today, in the words of our president, Martin J. Rueter, “Our systems and the strength of the Weichert brand represent an unusually promising opportunity for real estate professionals to represent our company around the nation.” The Weichert commitment to our innovative Internet strategy and our unparalleled agent training have all helped to build Weichert’s reputation as an industry leader in the support of sales associates.

Our offices continue to look for ways to grow, so call your local Weichert office today or 800-301-3000. We’d be glad to explain all we can do to send your own fortunes skyward.

#22013 FRANCHISE

500

ENTREPRENEURMAGAZINE

Information about Weichert franchises is available on www.weichertfranchise.com or by calling 800-533-9007.

www.weichert.com/careers

*2013 Franchise 500®, Entrepreneur Magazine, January 2013©2013 Weichert, Realtors®. Weichert® is a federally registered trademark owned by Weichert Co. All other trademarks are the property of their respective owners. REALTOR® is a federally registered collective membership mark which identifies a real estate professional who is a Member of the NATIONAL ASSOCIATION OF REALTORS® and subscribes to its strict Code of Ethics. Each WEICHERT® franchised office is independently owned and operated. This advertisement is not an offering. An offering can only be made through a Uniform Franchise Offering Circular and in states where authorized. In New York State, an offering can only be made by a prospectus filed first with the Department of Law of the State of New York. Such filing does not constitute approval by the Department of Law. If you are presently under contract with a real estate franchise, please disregard this solicitation.OUR ADVERTISEMENT HAS NOT BEEN REVIEWED OR APPROVED BY THE CALIFORNIA DEPARTMENT OF CORPORATIONS. ANY COMPLAINTS CONCERNING THE CONTENT OF THIS ADVERTISEMENT MAY BE DIRECTED TO THE CALIFORNIA DEPARTMENT OF CORPORATIONS at www.corp.ca.gov.

RDL 394 WEI GA 8x10.875.indd 1 3/6/13 9:07 AM

The first hour and a half session, “Maryland Entertainment Expansion and Its Direct Impact on Commercial Real Estate”, was moderated by MAR's consulting economist Anirban Basu of the Sage Policy Group. The panel of experts included David S. Cordish, Chairman of The Cordish Company and owner of Maryland Live!, Tom Sadowski, President and CEO of the Economic Alliance of Greater Baltimore, and Anne Arundel County Executive Laura Neuman. Panel members offered various insights into the expansion of gambling in Maryland and its resulting economic effects on commercial real estate transactions at Maryland Live!, throughout the state, and from the perspective of Anne Arundel County.

Bill Castelli, MARs Vice President of Government Affairs, taught the second session, a commercial legislative update. Castelli reviewed recent legislation involving Maryland growth challenges and other issues affecting commercial real property, including:

◗ Watershed Implementation Plan—Maryland Phase II

◗ Bay Restoration Fund— Fees and Uses

◗ Storm water Management—Watershed Protection Program

◗ Sustainable Growth Act and Impact on Development

◗ Fire Sprinkler Systems New Construction

◗ Taxation of Indemnity Deeds of Trusts (IDOTS)

◗ Workplace Fraud Act and Implications for Property Management

◗ Apartment Building and Condo Recycling

◗ Lead Paint Renovation Rule

Castelli’s slide show, as well as a summary of legislation affecting commercial real estate, is online at: http://www.mdrealtor.org/Commercial/articleType/ArticleView/articleId/702/2013-Commercial-Real-Estate-Legislation.aspx

2013CommerCialSymposium


On May 10, 2013, a record140 Commercial REALTORS® attended the Annual Commercial symposium at the Ram’s Head Center Stage located at Maryland Live!®. Attendees were offered two courses for continuing education requirements.


Help positively impact tHe environment witH

Energy PlusGreen Option

Like you, Energy Plus® is committed to contributing to a cleaner environment. By choosing the Energy Plus Green Option for your electricity supply, you will be choosing to receive a Green-e Energy certified product that helps cut pollution, helps reduce your carbon footprint, and helps support renewable electricity. As a member of MAR, you’ll also receive a $25 Enrollment Bonus after two months of active service and earn 3% Cash Back after twelve months of active service on the supply portion of your home’s electric bill. Additionally, you can sign up your business account to receive a $50 Enrollment Bonus after two months of active service and an automatic 5% Cash Back reward after twelve months of active service on the supply portion of your electric bill.*

Here’s how it works: You select the Green Option when enrolling your electric account with Energy

Plus, which will cost approximately $0.01 additional per kWh over Energy Plus’ supply

rate. Energy Plus will then purchase Green-e Energy certified Renewable

Energy Certificates (RECs) to offset your electricity usage. RECs represent the use of 1,000 kilowatt-hours (or 1 megawatt-hour) that has been placed

into the power grid by a certified wind electricity producer. Once this green

electricity reaches the power grid, it disperses to homes and businesses in the region. As a

result, your choice to fund the use of wind generated power will help offset conventional electricity

generation in the region where the renewable electricity generator is located. For more information about RECs, please visit www.green-e.org.

Enrolling with Energy Plus is easy. There are no monthly service fees, cancellation fees, or long-term commitments. In fact, nothing about the way your service is delivered will change. Your utility company will continue to deliver your electricity, mail your bill, read your meter and handle any service emergencies. To be eligible, you need a service address in Maryland that is within our service area.

Select the Green Option today!*Terms and Conditions apply. See important disclosures and our Terms of Service for full details, which can be found online via our enrollment website. Our Maryland Electric License # is IR-1805.

RevolutionizingReal Estate!

© 2013 BRER Affiliates, LLC. An independently owned and operated broker member of BRER Affiliates, LLC. Prudential,the Prudential logo and the Rock symbol are registered service marks of Prudential Financial, Inc. and its related entities, registered in many jurisdictions worldwide. Used under license with no other affiliation with Prudential. Equal Housing Opportunity. Prudential-PenFed Realty is an independently owned and operated member of BRER Affiliates, LLC. PenFed Membership is not required to conduct business with Prudential-PenFed Realty.

PenFedRealty.com/[email protected]

PenFed RealtyCommission PlanHigh earning potential commission plan with a company dollar cap includes unparalleled services and support. Award Winning Business Development Team Over 20% of our agents closings are company generated on agent friendly splits. & Ancillary income opportunities for our agents that are not contingent on company performance.

& Agent Advantage


FREE Webinar Thursday SeriesUSABLE STRATEGIES that will increase your confidence and immediately help you. Join us for our FREE Webinar Series designed for REALTORS® in every stage of the profession.

We will send a sequence of reminders to register. If you’re not receiving them and don’t want to miss these valuable FREE Webinars, let us know at [email protected].

DisclosuresChuck Kasky October 17, 2013, 10 a.m.Do you know how the seller’s disclosure requirements differ from yours? What’s the difference between a defect and a material fact? Want to know the truth about the Lead Paint Disclosure?

Tech Tools

Beth Ziesenis November 14, 2013, 10 a.m.Author of blog, “Your Nerdy Best Friend”, Beth will take the mystery out of online tools and smart searching to increase productivity and make working with others easier.

How to Take More Time Off and Sell More Homes SimultaneouslyPat Hiban December 12, 2013, 10 a.m.Learn how Pat found a way to work less while his income increased and what to do to make it happen for you.

Tax Tips

Linda DeMarlor January 9, 2014, 10 a.m.Tax tips for REALTORS® is a simple, concise tax class that provides Real Estate professionals with essential knowledge that will help a small business continue to grow.

Economic Forecast and What to ExpectAnirban Basu February 6, 2014, 10 a.m.This presentation will focus on the economy’s nascent economic expansion and its sustainability. An economic outlook provided for the year to come on both a national and local level.

Unlocking the Secrets of Real Estate’s New Market Reality Steve Harney March 6, 2014, 10 a.m.How are you preparing for real estate’s new market reality? What the consumer expects from you as their real estate professional has changed. Steve will provide you with the 3 keys to succeed.

Practical Tech and Social Media for REALTORS®Nobu Hata April 3, 2014, 10 a.m.We have seen unprecedented infringement of Social Media and technology into the Real Estate industry. Cut through the hype, learn practical tips and tricks of Social Media marketing and technology.

Using Tech Lead Generation Conversation to Grow Your Bottom Line Gee Dunsten May 1, 2014, 10 a.m.A proven formula of lead generation from a team of experts that will lead to immediate success.

We’d like to put the power of “&” to work for you. Visit LongandFoster.com/Careers today.

Year after year, top real estate agents choose

Long & Foster as their real estate partner.

Our unwavering commitment to agents has

helped us become the place where more and

more of the most innovative, successful, and

talented agents call home.

There’s a lot of power in this one little character. It can do much more than join two things.

It can create magic... &

You & Long & Foster — A Winning Combination!Join the company that puts their agents fi rst. Call us today!

800-635-2913 | LongandFoster.com/Careers

EOE®

While some companies off er you

this or that, we give you this “&” that —

& education & training & cutting-edge

technology & competitive commission

plans & the #1 real estate brand in the

Mid-Atlantic & more.

11489-REC MD Realtor Aug-Sept.indd 4 6/20/13 9:02 AM

FREE Webinar Thursday SeriesUSABLE STRATEGIES that will increase your confidence and immediately help you. Join us for our FREE Webinar Series designed for REALTORS® in every stage of the profession.

We will send a sequence of reminders to register. If you’re not receiving them and don’t want to miss these valuable FREE Webinars, let us know at [email protected].

DisclosuresChuck Kasky October 17, 2013, 10 a.m.Do you know how the seller’s disclosure requirements differ from yours? What’s the difference between a defect and a material fact? Want to know the truth about the Lead Paint Disclosure?

Tech Tools

Beth Ziesenis November 14, 2013, 10 a.m.Author of blog, “Your Nerdy Best Friend”, Beth will take the mystery out of online tools and smart searching to increase productivity and make working with others easier.

How to Take More Time Off and Sell More Homes SimultaneouslyPat Hiban December 12, 2013, 10 a.m.Learn how Pat found a way to work less while his income increased and what to do to make it happen for you.

Tax Tips

Linda DeMarlor January 9, 2014, 10 a.m.Tax tips for REALTORS® is a simple, concise tax class that provides Real Estate professionals with essential knowledge that will help a small business continue to grow.

Economic Forecast and What to ExpectAnirban Basu February 6, 2014, 10 a.m.This presentation will focus on the economy’s nascent economic expansion and its sustainability. An economic outlook provided for the year to come on both a national and local level.

Unlocking the Secrets of Real Estate’s New Market Reality Steve Harney March 6, 2014, 10 a.m.How are you preparing for real estate’s new market reality? What the consumer expects from you as their real estate professional has changed. Steve will provide you with the 3 keys to succeed.

Practical Tech and Social Media for REALTORS®Nobu Hata April 3, 2014, 10 a.m.We have seen unprecedented infringement of Social Media and technology into the Real Estate industry. Cut through the hype, learn practical tips and tricks of Social Media marketing and technology.

Using Tech Lead Generation Conversation to Grow Your Bottom Line Gee Dunsten May 1, 2014, 10 a.m.A proven formula of lead generation from a team of experts that will lead to immediate success.


What if i told you that there is a tool that could prevent you from being victimized?

What if i told you that you already possess such a tool?

As a former agent who now works in close contact with agents, I know how important tools of the trade. I know that you love the latest and greatest technology tools, an important component to operating your business. They can even help protect you. But you have one not high tech

REALTOR®

Safety:Put Your Gut in Your Safety Toolbox

By Tracey Hawkins, Safety and Security Source


tool, that should always be in your “toolbox.” Especially when you are working in what the Department of Labor classifies as a high-risk occupation.

It issues a warning that tells you when you are about to make a dangerous mistake. It requires no batteries and is always “on.” What if I told you that this tool is free? You would be interested, right?

Gut. Intuition. Instinct. 6th sense. That funny feeling. A small voice.

No matter what you call it. It can save your life. Police officers and rape crises counselors state that when interviewing victims, over 99% of the time the victim will say, “I knew something was wrong,” “I knew better,” “I had a bad feelings,” and so on.

Gavin de Becker, author of The Gift of Fear, wrote an entire book about trusting our gut instinct and believing in intuition. There were plenty of times as a real estate agent when I felt fear and wondered why I was in an empty house with a complete stranger or why I was driving strangers around in my car. Like you, I hushed that warning voice and focused on earning a commission.

Ignoring your gut can get you hurt, killed, assaulted or robbed while working.

As a safety expert, I often get questions about the right or wrong way to do the job. To show and host open houses, specific safety techniques, etc. But in situations where there are variables and no clear right or wrong answers, listen to your gut. One of the most popular questions is: which is correct, locking the door or not locking the door when showing? The answer is listening to your gut, trust your instinct. It will tell you what the right answer is for that situation (and actually any situation that you will find yourself in as agents).

Stacey Johnson-Cosby, a Reece and Nichols sales agent who works in Kansas and Missouri, says her gut comes into play when she enters a house. She typically locks the door behind her. “I don’t know if it is from an earlier situation of walking into a house and finding evidence of a squatter and being terrified of what could have happened, or a voice telling me that a criminal may

The Ritz-Carlton Residences, Inner Harbor, Baltimore are not owned, developed or sold by The Ritz-Carlton Hotel Company, L.L.C. An affiliate of RXR Realty LLC uses The Ritz-Carlton marks under license from The Ritz-Carlton Hotel Company L.L.C. This is neither an offer to sell nor a solicitation to buy to residents in states where registration requirements have not been fulfilled. MHBR No. 4096. An RXR Realty development. †Services provided by third-party companies are paid a la carte by the resident who requests the service.

SELL THE LUXE LIFE

1 to 3 Bedroom Luxury, Resort-Style Condominiums in Baltimore’s Inner Harbor. Priced from $499,000 to over $3 Million.

Immediate Occupancy | 866.922.1831 801 Key Highway, Baltimore, Maryland 21230

RCR-Baltimore.com


Gut. Intuition. Instinct.

6th sense. That funny

feeling. A small voice.

follow me inside as easily as being waiting for me inside.” Johnson-Cosby, a 25-year veteran, says that sometimes the voice is more overwhelming, demanding that she lock the door. Other times, she doesn’t feel the serious need, but has made it a habit.

Agents often assure me that they work in a “safe” part of town, or never show after dark. Your gut, not the address, nor time of day, will dictate when you need to be extra careful. Criminals have cars, (often very nice cars), they can go anywhere you may be, even upscale neighborhoods (especially upscale neighborhoods). Don’t let your preconceived notions get in the way of seeing criminals or potential criminal opportunities. Let your instinct guide you, not what you see or other prejudices you have.

Oftentimes, you will not understand why your gut is sending you fear signals. You can’t determine what is wrong. Don’t try. Instinct sees something before you realize it. Don’t worry about being polite when your body tells you to flee and get out of a dangerous situation. Just go. Your safety is more important that hurting someone’s feelings. Prioritize.

Chantay Bridges, an agent with Clear-Choice Realty and Associates in Los Angeles, California, had an experience where her gut prompted her to do something logic would advise against. When preparing for an open house in a noted gang- and graffiti-infested neighborhood, she noticed a group of unruly teenagers on the porch next door. She knew it wouldn’t be good for potential buyers to see them there. Instead of being scared, intimidated and leaving, her instinct told her that there was no danger. She approached them and recognized one of the youth. She was able to diffuse the situation successfully. “I wouldn’t recommend that to everyone. I happen to have experience working with youth.” She advised that agents

take proper precautions, including having a partner host with you, carrying pepper spray, and using safety apps.

Here are 3 things you should start doing today to respect that inner voice and to ensure that you are not victimized when you can avoid it:

1. Acknowledge that like all animals in nature, we all possess a gift that allows us to sense danger. However, we are the only ones who routinely ignore it in the interest of being polite. We all have a built-in survival mechanism that is hardly ever wrong. Think about situations where you had a “bad feeling” or were uncomfortable. That was your gut warning you. Once you are aware of what that feels like, be in tune with it and learn to recognize it. Don’t try to figure it out or to use logic. Just listen and escape the situation.

2. Respect that inner voice and act on it without hesitation and without questioning the validity. Once you get a bad feeling about a potential client, a showing situation, or even strange behavior in an open house, believe that feeling. Do some research on potential clients, find out who they are and if they are legitimate clients. If you are unable to verify who they say they are, whether they really own the property, where they work or anything about them, be ready to let them go.

3. yes. Be willing to let a potential client go. You can’t put a price on working safely and just taking your chances and hoping that the bad feeling you get about these potential clients is wrong. Nothing is worth jeopardizing your safety.


Visit us at rosedalefederal.com or call 410-668-4400.

Buying a home? There’s never been a better time to check out Rosedale Federal. We’re offering some of our lowest mortgage rates in years. And you can rest assured, your loan will stay right here, because we’ll never sell your loan

to out-of-town lenders. So call or visit us today, and let us be the fi rst to say, “Welcome home.”

you relax regular safety practices out of convenience or embarrassment. Just that one time, is often the time something goes wrong.

Visit NAR’s REALTOR® Safety website at REALTOR.org/Safety for more tips, articles, videos, and webinars.

This article is part of the NATIONAL ASSOCIATION OF REALTORS® 2013 REALTOR® Safety article series.

Defend your right to put safety before politeness. Do not apologize to anyone who questions your safety practices. Do not waiver from those practices just because someone else thinks they are silly. Johnson-Cosby says buyers often laugh when they are leaving a house and find the doors locked. “I don’t mind. At least they know I take their safety seriously.” Crimes often happen when


AdministrationChief Executive Officer Mary Antoun has been MARs top staffer since 1993. In addition to overseeing the Association’s operations, she works closely with volunteer leadership to develop and implement policies and initiatives to promote the real estate industry and private property rights. An attorney and economist, Mary believes the Association’s primary responsibilities are representing member interests before the legislature and advocating REALTOR® professionalism with members and the public.

Prior to joining MAR, Mary was Vice-President of Real Estate Finance for the National Association of REALTORS® in its Washington Office. She also was Vice President of Barrentine Lott, an asset/liability consulting firm, and served in the General Counsel’s office at HUD and as Economist for Freddie Mac.

Director Arlene Robertson has been with MAR since 1986. She is responsible for the administrative functions of

Meet

Th

E

Staff

Rebecca Baker, Arlene Robertson,

& Angela Leeper

Mary Antoun

the Association. Arlene keeps the organization operating smoothly, from building operations to the Association’s management functions. Prior to joining MAR, Arlene was with the Maryland General Assembly as Committee Secretary/Office Manager of the Senate Economic Affairs Committee, and with the Maryland Bankers Association.

Arlene and Executive Assistant Angela Leeper staff the “governance” committees—Executive, Bylaws, Nominating, and

Strategic Planning. They also support the Board of Directors and General Membership meetings as well as the Presidents’ Council, made up of local association Presidents who meet to exchange information, develop ideas and share experiences. They organize the MAR Former Presidents meetings, the MAR Reception at the National Association (NAR) Annual Convention, and other events during the year. They also oversee the prestigious Life Achievement Award.

Arlene and Angela assist members at Registration during the MAR Annual Conference.

Receptionist Rebecca Baker greets and talks to more members as the first point of contact at the Association offices than any other staffer. She answers hundreds of questions every week from members and the public, referring them to the appropriate staff person or other resource. Rebecca assists with meeting logistics, mailings, and other tasks requested by other departments.


Communications & Public AffairsDepartment Director Melissa Lutz (pronounced Loots) spearheads the MAR public and media relations efforts, which includes promoting Maryland REALTORS® and the real estate profession. She is the key contact for the Annual Conference held in Ocean City each September and manages a large tradeshow and oversees all of the onsite logistics. Melissa also assists other departments with event planning.

Jermaine Hawkins is the Communications Manager, supporting all department activities for its committees and events. He is also the first point of contact for the Fair Housing Poster Contest and Recognition Ceremony, held every April, and oversees the coordination of the MAR industry awards given at the MAR Annual Conference.

The Communications and Public Affairs Department is the public voice of MAR, charged with overseeing our communication with members and the public.

Together, Melissa & Jermaine staff the Annual Conference, Communications/PR, Community Action and REALTOR® Excellence (CARE), and REALTOR® of the Year committees, manage and coordinate with the Equal Opportunity/Cultural Diversity Committee on all aspects of the Fair Housing Poster Contest. They produce the bi-monthly Maryland REALTOR® magazine, publish the HotSheet, and develop brochures and pamphlets, as well as the popular Fair Housing Calendar. Communications manages non-dues affinity partnerships as a membership benefit. [The Thursday Webinar series will continue including topics of interest to all members. The 2014 Webinar schedule can be found on page 16.] The Department oversees much of the content and enhancements to the MAR website www.mdrealtor.org

Melissa Lutz & Jermaine Hawkins

Lisa Kinsman & Lisa Haynes

and manages the MAR presence in the social media arena, including Facebook, Twitter and YouTube Video production.

EducationDirector Lisa Kinsman has been an MAR staff member since 1981. She supervises the activities and staffing for the REALTOR® Institute (GRI), Leadership Academy and Mediation Oversight committees and programs. The department coordinates the education programs for the Annual Conference, provides administrative services for professional

standards training; and, oversees the recording of all continuing education credits earned for all CE programs provided by MAR and contracted providers.

Education Assistant Lisa Haynes provides all Department administrative support, and is the “point person” responsible for CE monitoring, CE recording at the Maryland Real Estate Commission, handling replacement certificate requests for any MAR program; and any other general education question members may have.

MAR maintains an extensive educational database whereby attendee records (member and non-member) are updated for every CE or non-CE program MAR offers. This system verifies attendance and confirms classes taken to track designation courses, mandatory state licensing renewal courses and any association training required sessions.


This is noT a lion Tamer.iT’s acTually a cenTury 21® agenT taking away all of the ferocity and fright from the menacing home-buying process. With just the crack of a whip, the king of the jungle is purring like a house cat, would-be homebuyers are no longer shaking in their boots, and the whole family is having the time of their lives. Heeere, kitty kitty.

c 2 1 . c o m©2013 Century 21 Real Estate LLC, A Realogy Company. CENTURY 21® and SMARTER. BOLDER. FASTER.® are Registered Trademarks Owned By Century 21 Real Estate LLC. An Equal Opportunity Company. Equal Housing Opportunity. Each CENTURY 21 Office is Independently Owned and Operated.

Finance and TechnologyPatti Schmitt, MAR Controller/Director of Finance & Technology, has primary responsibility for developing and tracking MARs annual budget, managing MAR and affiliate organizations financial operations and working with its auditors and financial advisors. She provides economic and financial information to the CEO, Board of Directors and officers, Finance Committee and staff. Patti also oversees the operations and staff of the Technology Department.

Prior to joining MAR, Patti was Assistant Controller for HRi, ASO & PEO Outsourcing, serving more than 150 employers with over 1,700 employees across 17 states. Patti also successfully started and operated a contracting business for fourteen years before selling her interest to her partner.

As Assistant Controller, Kim dansker administers MARs accounts payable and assists with daily financial transactions. Kim also maintains financial records for RPAC. Accounting Specialist Halle Papai administers MARs accounts receivable and assists with daily financial transactions. Halle also maintains financial records for several affiliated organizations.

Technology Administrator/Coordinator Michael Cunningham worked with MAR for almost ten years as a consultant before joining the staff in 2005. Michael provides IT support and management, custom software development and programming, and website design and management for the Association, staff, and affiliate organizations.

Membership Manager Cindy Sellers, a staff member since 1995, maintains databases for MAR and some affiliated organizations, and assists in helping staff with computer hardware and software systems.

Government AffairsVice President Bill Castelli, MAR’s Chief Lobbyist, heads a team that includes Director of Regulatory Affairs Mark Feinroth, Director of Government Affairs Susan Mitchell, and Assistant Sheryl Bergman. Bill, an attorney and former aide to

Rep. Steny Hoyer, develops and directs the Association’s legislative strategy in representing Maryland REALTORS® in the statehouse, and coordinates state efforts with NAR in representing REALTOR® interests before Maryland’s Congressional delegation. Bill also

supervises MARs contract lobbyists and various subject matter experts that MAR occasionally retains to assist in representing REALTOR® interests.

Mark, also an attorney and lobbyist, represents MARs interests on regulatory matters that come before various agencies with responsibilities that affect the real estate profession and private property rights. Prior to joining MAR, Mark was Assistant Secretary with

the Maryland Department of Labor, Licensing and Regulation, supervising the operation of all

licensing commissions, including the Real Estate Commission. Both Bill and Mark teach

CE classes for local associations.

In addition to her lobbying responsibilities, Susan also directs

MARs grassroots advocacy efforts, including calls to action, and manages MARs database

to customize mobilization efforts on key issues. She also works with local

L to R: Halle Papai, Kim Dansker, Patti Schmitt, Cindy Sellers, and Michael Cunningham

L to R: Bill Castelli, Mark Feinroth, Susan Mitchell, & Sheryl Bergman

This is noT a lion Tamer.iT’s acTually a cenTury 21® agenT taking away all of the ferocity and fright from the menacing home-buying process. With just the crack of a whip, the king of the jungle is purring like a house cat, would-be homebuyers are no longer shaking in their boots, and the whole family is having the time of their lives. Heeere, kitty kitty.

c 2 1 . c o m©2013 Century 21 Real Estate LLC, A Realogy Company. CENTURY 21® and SMARTER. BOLDER. FASTER.® are Registered Trademarks Owned By Century 21 Real Estate LLC. An Equal Opportunity Company. Equal Housing Opportunity. Each CENTURY 21 Office is Independently Owned and Operated.


associations to assist in providing MAR and NAR expertise on local issues such as land use and zoning. Susan manages MARs Local Government Affairs Director (GAD) Program, supervising the local GADs that MAR provides to all local boards/association without full-time local lobbyists. The program is designed to strengthen REALTOR® voices in 12 local jurisdictions. Prior to joining MAR, Susan was the Government Affairs Manager/Washington Representative for Bristol-Myers Squibb pharmaceutical company in their Washington DC office, responsible for both the federal and state grassroots lobbying program & PAC, and served as their Washington representative to the industry trade association.

All three lobbyists represent MAR on various industry and other coalition groups.

Sheryl provides administrative support for the entire department, including helping to organize Legislative Day and other political events as well as coordinating and e-publishing Political Buzz (the RPAC e-Newsletter). Sheryl also serves as the MAR staff photographer.

The team also includes contract lobbyists Joel Rozner and Frank Boston.

Government Affairs committees include Public Policy, Legislative, Issues Mobilization, and Legal Action.

Housing Programs/Partnership For HousingThe Housing Programs Department, headed by Director Fern dannis, researches and identifies available programs at state and local government housing agencies as well as community-based, nonprofit housing organizations. The Department oversees data collection to identify financial assistance programs for homebuyers, which are featured on the MAR consumer websites www.mdhomeprograms.com and www.maryland homeownership.com. The site has localized, useful information for both REALTORS® and consumers. The Department also manages the curriculum and processing for REALTORS® to obtain the MAR Workforce Housing Certification (WHC).

Fern is MARs liaison with NAR on its housing related public policy programs, with Freddie Mac’s CreditSmart® program and with statewide and national housing coalitions. She and Housing Programs Assistant, Angela Leeper staff the Housing Affordability Committee and Equal Opportunity/Cultural Diversity committees. As part of these responsibilities, Fern develops and supervises efforts to encourage Maryland REALTORS® to learn about credit literacy, housing finance programs and involvement with creative housing programs, fair housing activities and related policy initiatives in their communities.

Fern has worked in the housing field for over 30 years, with experience in property management, multi-family housing development, affordable housing policy, loan packaging/underwriting, nonprofit

administration, as well as being a former real estate licensee.

Fern also serves as the Executive Director of the Partnership for Housing Foundation (PHF), including the Maryland Home Makeover™ program.

Legal DepartmentMARs Legal Department, headed by Senior Vice President Chuck Kasky, includes Staff Attorneys Colette Massengale and Jason Brand, along with don Martin, Director of Board and Member Services, and Shannon Reed, Professional Standards Administrator and Legal Affairs Assistant.

Chuck primarily staffs the RPAC Trustees, Bylaws, and Real Property Operations Committees. Prior to joining the Maryland Association of REALTORS®, Chuck was engaged in the private practice of law, served as Legislative Counsel to several Committees of the Maryland General Assembly, and was Deputy Chief Administrative Officer for Howard County, Maryland.

Fern Dannis

Standing L to R: Chuck Kasky, Don Martin, Jason Brand Seated L to R: Colette Massengale, Shannon Reed

3GRI 2013 Schedule

SERIES 100Greater Baltimore Board410-337-7200August 1, 8, 15, 22 & 30

SERIES 200Prince George’s Association of REALTORS®

301-306-7900September 4, 6, 12, 19 & 25

Greater Baltimore Board410-337-7200October 2, 9, 16, 23 & 30

SERIES 300MAR – Annapolis800-638-6425October 1, 8, 15, 22 & 29

SERIES 400MAR – Annapolis800-638-6425November 5, 12, 14, 19 & 21

Increase Income PotentialREALTORS® with designations are high earn more income than those without designations. The GRI is a way to set you apart from the competition. Broker’s License RequirementThe full GRI classroom series (100, 200, 300, and 400) fulfills the educational requirements needed to take the Maryland broker’s exam (MAR coursework is specific for Maryland). The Name Says it AllAs a GRI (Graduate, REALTOR® Institute), you have accomplished a high level of achievement which indicates to your clients and colleagues an increased skill level, industry knowledge and dedication to your profession.

321

Earn the GRI:

3Great thinGs come in

s

Please visit MAR’s website, mdrealtor.org for the most current course schedules.

GUARANTEED TO HOLD!Classes will not be cancelled due to low enrollment!


Colette primarily staffs the Forms committee. Prior to joining MAR, she worked at several law firms in the Metropolitan area and was a law clerk for Washington DC Superior Court Judge Rhonda Reid Winston.

Jason staffs the Commercial Alliance Committee. He also serves as local Government Affairs Director under MARs local GAD program.

Chuck, Colette, Jason, and Shannon staff the MAR Legal Hotline, the service REALTORS® routinely identify as one of the most valuable MAR membership benefits. Members call or submit questions via an online form, available on the Legal Services tab of the MAR website. Department attorneys also provide in-house legal and compliance assistance to the other Departments within MAR.

Don staffs Grievance and Professional Standards Committees. Shannon provides support for all of the Committees.

As a service to member boards, associations and firms, the Legal Department visits offices and provides instructors for continuing education classes on risk reduction, agency law, real estate contracts, Code of Ethics, fair housing, legislative and legal updates and broker supervision. To assist in compliance with the NAR Professional Standards program, the department provides annual training to local Grievance and Professional Standards Committees.

The attorneys draft and review proposed legislation and comments on proposed regulations, and provide advice to members about their impact.

Legal Affairs also has responsibility for member services. Don is MARs principal outreach to firms and local associations, spending most of his time traveling around the state speaking at sales meetings and teaching continuing education classes. Don is the primary resource on Professional Standards issues and oversees local board compliance with NAR requirements regarding governance and services.

Shannon Reed also administers the Professional Standards program and outreach services for dispute resolution. She administers the Professional Standards Services program for many local boards/ associations, offering MAR resources to provide seamless assistance to their members and the public regarding ethics cases and arbitrations. She manages the Dispute Resolution area of the MAR website, which addresses dispute resolution issues and alternatives.

*As of December 31, 2012. ©2013 Coldwell Banker Real Estate LLC. Coldwell Banker is a registered trademark licensed to Coldwell Banker Real Estate LLC. An Equal Opportunity Company. Equal Housing Opportunity. Operated by a subsidiary of NRT LLC. 6775BAL_0213

Having global reach means nothing if you don’t have the presence on the ground to back it up.Coldwell Banker® offices are strategically placed around the globe so our agents can be connected anywhere there is opportunity.

Our Global Presence*

MORE THAN

3,000 OFFICES

SPANNING

50 COUNTRIES

ArubaAustraliaBahamasBelizeBermudaBoliviaBrazilCanadaCayman Islands ChinaColombiaCosta RicaCzech Republic

Dominican RepublicEcuadorEgyptFranceGreeceGuatemalaHondurasIndia IndonesiaIrelandItalyJamaicaJapan

KuwaitLebanonMaltaMexicoMonacoNetherlandsNetherlands Antilles NicaraguaPanamaPeruPuerto RicoRomaniaSaudi Arabia

SingaporeSpainSt. Kitts/NevisSt. MartinTurkeyTurks & CaicosUnited Arab EmiratesUnited StatesVenezuelaVirgin Islands (British)Virgin Islands (US)

Real Estate L’ImmobilièreInternationale

CareersCB.com

Get the facts about Coldwell Banker Residential Brokerage.Contact us for a confidential interview today.

6775_BAL MAR Magazine Ads-April and May.indd 1 3/4/13 10:24 AM

pearlinsurance.com/eo | 800.289.8170

Sponsored Since 1994

130058E&O program underwritten by the XL Group through Greenwich Insurance Company and Indian Harbor Insurance Company.

Pearl Insurance offers E&O coverage that includes:

• Network & Privacy $25,000 sub-limit built into the policy

• Agent-Owned Property coverage—no waiting period applies

• Deductible Reduction clause included

• Lockbox and Open House coverage to policy limits Sponsored Since 1994

130058

*As of December 31, 2012. ©2013 Coldwell Banker Real Estate LLC. Coldwell Banker is a registered trademark licensed to Coldwell Banker Real Estate LLC. An Equal Opportunity Company. Equal Housing Opportunity. Operated by a subsidiary of NRT LLC. 6775BAL_0213

Having global reach means nothing if you don’t have the presence on the ground to back it up.Coldwell Banker® offices are strategically placed around the globe so our agents can be connected anywhere there is opportunity.

Our Global Presence*

MORE THAN

3,000 OFFICES

SPANNING

50 COUNTRIES

ArubaAustraliaBahamasBelizeBermudaBoliviaBrazilCanadaCayman Islands ChinaColombiaCosta RicaCzech Republic

Dominican RepublicEcuadorEgyptFranceGreeceGuatemalaHondurasIndia IndonesiaIrelandItalyJamaicaJapan

KuwaitLebanonMaltaMexicoMonacoNetherlandsNetherlands Antilles NicaraguaPanamaPeruPuerto RicoRomaniaSaudi Arabia

SingaporeSpainSt. Kitts/NevisSt. MartinTurkeyTurks & CaicosUnited Arab EmiratesUnited StatesVenezuelaVirgin Islands (British)Virgin Islands (US)

Real Estate L’ImmobilièreInternationale

CareersCB.com

Get the facts about Coldwell Banker Residential Brokerage.Contact us for a confidential interview today.

6775_BAL MAR Magazine Ads-April and May.indd 1 3/4/13 10:24 AM


Regulation News M A R K F E I N R O T H

Commission Revising Short Sale Practice Guideline

The Maryland Real Estate Commission is expected to adopt new guidelines for real estate agents who assist clients with obtaining short sale approvals. When read together with guidance issued by the Maryland Commissioner of Financial Regulation, the Real Estate Commission’s statement will allow real estate licensees to communicate with a lender to assist a client awaiting a lender’s approval of a short sale request.

Prior to July 1, the Credit Services Business Act was the controlling statute for anyone engaged in the practice of negotiating a short sale on behalf of a

seller. An exemption in the law allowed real estate agents and brokers to engage in short sale communications with a lender on behalf of a seller client, as long as the real estate licensee does not negotiate with the lender as the seller’s representative.

Beginning July 1, The Maryland MARS (Mortgage Assistance Relief Services) Act became the controlling authority for short sale negotiators. The Maryland MARS Act incorporates into Maryland law the Federal Trade Commission’s Regulation O, which is now enforced by the Consumer Financial Protection Board (CFPB). While there is no exemption in the MARS Act for real estate licensees, Federal and Maryland regulators have declared that they will not enforce the Act against agents and brokers who are “acting within the scope of their license.” The Maryland Commissioner of Financial Regulation published guidance on the new law which states that he will rely on the Real Estate Commission’s definition of permissible short sale assistance by a licensee.

All of this means that most licensees may continue their practice of helping a client sell a home and obtain third party approval for a short sale. Under both the old and new law, a real estate agent is permitted to forward documents and information to the lender on a client’s behalf in order to complete the short sale application

process. The agent may also communicate with the lender concerning the value of the home and property to be sold. If the agent has the seller’s authority to negotiate a deficiency agreement or other relocation benefits, the real agent may do so, but must first comply with the various MARS Act disclosure requirements. Real estate licensees who negotiate with a lender on behalf of clients pursuing a short sale approval are advised to consult the Commissioner of Financial Regulations’ “Guidance for Individuals Providing Short Sale Negotiation Services,” which can be found at http://www.dllr.state.md.us/finance/advisories/advisory-shortsales.shtml.

In June, the Real Estate Commission considered a draft statement prepared by staff on short sale assistance that licensees are permitted to offer under the terms of a Maryland real estate license. Revisions were requested and a final approval of the statement was expected in July. We will provide a link to that statement as soon as it is available.

In the meantime, licensees should take care to avoid entering into negotiations with a seller client’s lender. Any real estate licensee who intends to perform those kinds of services should be prepared to comply with the disclosures mandated by the MARS Act. A future article in this space will detail the MARS Act disclosures.

Please feel free to contact me if you have questions or comments at [email protected].

Mark Feinroth, Esquire, MAR Director of Regulatory Affairs.

Higher interest Rates? So Far, no ProblemDemand Stays Strong as Active Inventory Continues to Fall


Residential Sales A N I R B A N B A S U

Both locally and nationally, demand for homes remains strong. This is of critical importance not only to REALTORS®, title companies, appraisers and

bankers, but to all stakeholders in the broader economy. In recent quarters, America’s housing recovery has been responsible for roughly one-third of overall growth. Take away the housing market’s momentum, and the economic recovery, which is now entering its fifth year, becomes even more tepid.

Total existing home sales rose 4.2 percent in May to a seasonally adjusted annual rate of 5.18 million units, up from 4.97 million units in April. While some may attribute this performance to perennial seasonality, it’s likely that sales in both April and May would have been stronger but for dwindling inventory.

Still unconvinced? Nationally, existing home sales were up by 12 percent in May on a year-over-year basis, the 23rd consecutive month of such increases, suggesting that there is considerably more at work than mere seasonal factors. Prices also continue to edge higher. Median existing-home price for all housing types was $208,000 in May, up 15.4 percent from the corresponding statistic one year prior. Indeed, May was the 6th consecutive month of year-over-year double-digit price increases, and the strongest 12-month gain since October 2005.

With prices rising, there is now a level of urgency among prospective buyers that was not apparent even a year ago. Despite higher interest rates, or perhaps because of them, there the number of applications for purchase money mortgages continues to increase. Only time will tell whether this represents the classic spurt in activity that often follows interest rate increases, or is a reflection of a housing market

now in the midst of a vicious cycle in which strong demand begets rising prices that in turn engender interest among an expanding pool of potential buyers.

Mimicking the nation, Maryland’s housing market dynamics also remain positive, with both unit sales and sales prices exhibiting gains in both May and June. According to data supplied by MRIS and the Coastal Association of REALTORS®, home sales statewide rose 13.0 percent in May on a year-over-year basis; 19 of Maryland’s 24 jurisdictions experienced increased sales over that time span. Communities associated with large sales increases in May on a year-over-year basis included Washington County (79.8%); Talbot County (64.1%); Caroline County (31.6%); Worcester County (31.5%); Anne Arundel County (27.6%); Kent County (20.0%); Harford County (19.7%); Frederick County (18.6%); Baltimore City (18.2%); Howard County (17.1%); Garrett County (13.0%); Baltimore County (11.2%); Queen Anne’s County (8.5%); Montgomery County (7.8%); Calvert County (6.7%); Allegany County (4.5%); Wicomico (4.4%); Prince George’s (3.9%); and Carroll County (2.0%).

Statewide, it was virtually the same story in June. Home sales were 13.1 percent higher than during the same month last year. Many rural counties reported sharp sales increases, including Kent County (110.0%); Somerset County (75.0%); Caroline County (60.0%); Queen Anne’s County (53.3%) and Cecil County (28.2%).

Both May and June data suggest that rural housing markets, which lagged Maryland’s urban markets in terms of the onset of recovery, are now fully participating in the upswing in residential market activity. Unlike more fully recovered markets, including Howard and


Montgomery counties, active inventories of unsold homes in many rural markets are relatively higher (measured in months of supply), implying that inventory inadequacies have been less constraining. In June, the inventory of unsold homes statewide stood at just 4 months, down from more than 5 months one year prior.

Falling unsold inventory is consistent with sales price increases, precisely what has been observed in recent months. Both average and median sales prices rose in May and June on a year-over-year basis in Maryland. Average statewide sales price rose 6.3 percent in May, and median price rose 5.3 percent. Sixteen jurisdictions reported material increases in average sales price, while 13 posted higher median prices on a year-over-year basis in May. Frederick County had the greatest increase in average price, up 16.4 percent, and Talbot County the highest in median price, up 24.3 percent.

Price dynamics were similar in June. Statewide, average price rose 4.3 percent while median price expanded 5.9 percent on a year-over-year basis. Eighteen jurisdictions reported higher average prices, and fifteen reported higher median prices. In Kent County, average sales price rose 69.3 percent, while median price was up nearly 52 percent. Although these increases continue a solid trend, the rate of price increase in Maryland was not as dramatic as it was in much of the balance of the nation. It is likely that a surge in foreclosure activity helped suppress price appreciation this spring.

Looking AheadThere has been plenty of good news lately. According to the Bureau of Labor Statistics, the nation added 195,000 jobs in June. Unemployment remains stable, and as of this writing U.S. equity markets continue to edge higher. Many economists forecast that economic growth will be more impressive during the latter half of 2013 than it was during the first.

Nevertheless, there are still reasons for concern. Sequestration by the federal government is likely to have a more forceful impact over the next several months, including in Maryland where major employee furloughs are set to take place. Mortgage rates have risen materially over the last several weeks (though it is of course possible that they may fall going forward). Moreover, though the nation continues to add jobs, many of the newly created jobs are in lower wage segments; segments not fully consistent with

May 2013 vs. 2012Units AverAge Price

county 2013 2012 % change 2013 2012 % change

Allegany 46 44 4.5% $97,934 $113,538 -13.7%

Anne Arundel 647 507 27.6% $378,611 $353,631 7.1%

Baltimore City 597 505 18.2% $178,602 $172,199 3.7%

Baltimore County 762 685 11.2% $271,476 $254,101 6.8%

Calvert 96 90 6.7% $321,462 $289,993 10.9%

Caroline 25 19 31.6% $133,966 $179,084 -25.2%

Carroll 155 152 2.0% $301,021 $299,957 0.4%

Cecil 68 71 -4.2% $210,822 $208,138 1.3%

Charles 144 149 -3.4% $250,343 $236,695 5.8%

Dorchester 13 29 -55.2% $132,038 $204,207 -35.3%

Frederick 280 236 18.6% $310,059 $266,379 16.4%

Garrett 26 23 13.0% $329,881 $312,571 5.5%

Harford 249 208 19.7% $267,747 $261,360 2.4%

Howard 356 304 17.1% $432,702 $396,083 9.2%

Kent 24 20 20.0% $234,817 $584,848 -59.8%

Montgomery 1,157 1,073 7.8% $527,960 $493,791 6.9%

Prince George’s 747 719 3.9% $217,385 $189,297 14.8%

Queen Anne’s 64 59 8.5% $376,690 $348,539 8.1%

Somerset 10 12 -16.7% $180,951 $215,333 -16.0%

St. Mary’s 86 93 -7.5% $288,973 $290,201 -0.4%

Talbot 64 39 64.1% $526,545 $495,626 6.2%

Washington 151 84 79.8% $171,424 $181,582 -5.6%

Wicomico 71 68 4.4% $170,292 $155,000 9.9%

Worcester 192 146 31.5% $271,667 $285,260 -4.8%

total 6,030 5,335 13.0% $325,955 $306,606 6.3%

Figures reflect resales and new properties. Residential resales are reported by MRIS® and local boards MLS systems.


June 2013 vs. 2012Units AverAge Price

county 2013 2012 % change 2013 2012 % change

Allegany 54 36 50.0% $109,555 $101,705 7.7%

Anne Arundel 591 595 -0.7% $376,856 $393,613 -4.3%

Baltimore City 642 478 34.3% $183,492 $179,582 2.2%

Baltimore County 843 741 13.8% $266,429 $265,878 0.2%

Calvert 95 95 0.0% $319,984 $314,703 1.7%

Caroline 24 15 60.0% $165,931 $136,100 21.9%

Carroll 186 184 1.1% $324,812 $310,628 4.6%

Cecil 91 71 28.2% $219,111 $214,955 1.9%

Charles 149 134 11.2% $245,327 $244,582 0.3%

Dorchester 24 24 0.0% $152,258 $169,636 -10.2%

Frederick 343 277 23.8% $305,984 $275,626 11.0%

Garrett 33 31 6.5% $313,415 $370,309 -15.4%

Harford 259 239 8.4% $277,685 $262,716 5.7%

Howard 447 330 35.5% $439,909 $428,657 2.6%

Kent 21 10 110.0% $327,762 $193,580 69.3%

Montgomery 1,250 1,049 19.2% $541,667 $506,409 7.0%

Prince George’s 701 725 -3.3% $218,196 $195,100 11.8%

Queen Anne’s 69 45 53.3% $347,654 $398,580 -12.8%

Somerset 14 8 75.0% $178,792 $130,649 36.8%

St. Mary’s 88 96 -8.3% $298,104 $290,849 2.5%

Talbot 36 57 -36.8% $387,268 $467,664 -17.2%

Washington 111 118 -5.9% $178,477 $190,185 -6.2%

Wicomico 79 70 12.9% $162,547 $143,521 13.3%

Worcester 159 151 5.3% $268,349 $245,424 9.3%

total 6,309 5,579 13.1% $331,074 $317,567 4.3%

Figures reflect resales and new properties. Residential resales are reported by MRIS® and local boards MLS systems.

®

homeownership. The primary question is whether and to what extent the national and regional housing markets can sustain their momentum in the face of some growing headwinds.

Anirban Basu, Chairman & CEO, Sage Policy Group, Inc.


Maryland Changes the Rules on idOTS And Refinancings

Commercial Connection E D W A R D J . L E V I N

IDOTs are security instruments

given by a person who is not

the borrower of the subject loan.

Effective July 1, 2013, loan transactions involving indemnity mortgages and indemnity deeds of trust (“idOTs”) which are taxable when recorded will increase from $1 million to $3 million. The same law also changes the way that Maryland taxes refinancings.

Recordation taxes are imposed on instruments of writing recorded in the land records at rates ranging from 0.5% to 1.2%. For decades, real estate

finance practitioners used IDOTS as the predominant financing device to avoid paying recordation taxes in refinancing transactions.

IDOTs are security instruments given by a person who is not the borrower of the subject loan. Generally, the grantor of the IDOT guarantees the loan and executes the IDOT as security for the guaranty. Before July 1, 2012, recordation tax was not due when an IDOT was recorded.

In the First Special Session of 2012, the Maryland General Assembly passed Senate Bill 1302, which provides that IDOTs executed in loan transactions in the amount of $1 million or more are taxable when they are recorded. The 2013 legislation tempers that law, in addition to raising the threshold at which recordation taxes are imposed to $3 million.

For a number of years, Maryland law has provided an exemption from recordation tax for an individual

refinancing a mortgage or deed of trust secured by a principal residence. The tax exemption applies to the amount secured by the refinancing mortgage up to the unpaid principal balance of the loan being paid off. The new law expanded this recordation tax exemption so that it now applies to any person (which can include entities) and to any type of property. Also, the exemption will apply not only to mortgages on which recordation taxes have been paid, but also to IDOTs on which no recordation taxes have been paid. With the new changes, the recordation tax exemption will be available to any refinancing mortgage to the extent the debt is being refinanced by the original mortgagor of the existing mortgage, but only up to the unpaid principal balance of the loan being paid off.

With the new law it will no longer be necessary to arrange for the purchase and sale of promissory notes and to prepare assignments of deeds of trust in order to avoid the recordation taxes on the outstanding debt. Also, borrowers should be able to refinance IDOTs with standard deeds of trust.

For a more thorough discussion about IDOTs and the new law, see the May, 2013 issue of Gordon Feinblatt’s Relating to Real Estate at: http://www.gfrlaw.com/pubs/GordonPubDetail.aspx?xpST=PubDetail&pub=1098.

Edward J. Levin is a member of Gordon Feinblatt LLC in Baltimore and was a member of the Indemnity Mortgage and Deed of Trust Workgroup under Senate Bill 1302. He can be reached at [email protected]. Copyright Edward J. Levin 2013. All rights reserved.


Maryland Real Estate Commission News K A T H E R I N E C O N N E L L Y

nancy Simpers Leaves the Commission

On June 20th Nancy Simpers ended her service on the Maryland Real Estate Commission. Appointed to the Commission by Gov. Parris

Glendening in 2001, Nancy has twice served as Commission Chair. She has participated in every major policy initiative advanced by the Commission in the last twelve years, including budget autonomy, teams and mandated continuing education in agency and broker supervision.

Nancy brought a unique perspective to the Commission. She grew up in Cecil County on a dairy farm near Chesapeake City, where she worked seven days a week and assisted in the breeding and training of thoroughbred horses. Her strong work ethic and commitment to public service led her to excel as a real estate licensee and a top producer at some of the most prominent Maryland real estate brokerage firms, including O’Conor, Piper and Flynn, Prudential Carruthers and Century 21.

Nancy’s enduring legacy to the Maryland real estate industry will be her uncompromising commitment to consumer protection and ethics. She is a national leader in professional standards, with service at the local, state and national levels. She was selected as the Cecil County REALTOR® of the Year three times, and the Maryland Association of REALTORS® (MAR) REALTOR® of the Year in 2002. She received the National Association of REALTORS® Omega Tau Rho Award for exemplary dedication and service to others for her thousands of hours of volunteer community service.

Nancy occupied the Real Estate Commission seat reserved for a licensee residing in one of the Maryland eastern shore counties. Governor O’Malley nominated William J. “Bill” Neary Jr. of Easton to succeed Nancy in that seat; his term began July 1, 2013.

Bill Neary is a former Department of Health and Human Services Federal employee who became a real estate licensee in 1984. He located in Talbot County and immediately became active in the REALTOR® organization, becoming Mid-Shore Board of REALTORS® President and then MAR President in 2001. He initiated the MAR CARE Award in 2005 which recognizes the charitable contributions of real estate agents to their communities. Like Nancy, Bill has a deep commitment to public service and has adopted causes from tornado relief to the Talbot County Waterfowl Festival.

The Maryland Real Estate Commission and staff will miss seeing Nancy Simpers every month, but we know that Bill Neary is ready to pick up where Nancy left off. We wish Nancy continued success and we welcome Bill to the Commission.

As always, if you have a question or comment about the Maryland Real Estate Commission, please feel free to contact me at [email protected].

Katherine Connelly is the Executive Director of the Maryland Real Estate Commission. If you have other questions regarding the digital CE record system or any other matter concerning your Maryland real estate license at contact her at [email protected] or visit http://www.dllr.state.md.us/license/mrec

Her strong work ethic

and commitment to public

service led her to excel

as a real estate licensee

and a top producer


AN

D

Enjoying the crestfallen looks of your colleagues when you ask them why

they didn’t bring their clients in.

Getting a 4% commission* selling Baltimore’s most

unique residences.

Featuring stunning views complemented by incredible contemporary architecture, these are Baltimore’s most unique residences. But only limited homes are available. From $489,900 to over $3,000,000.

*See sales manager for details.

888.928.4775 I SiloPoint.com 1200 Steuart Street, Baltimore, mD 21230

SAleS by CSM GrouP; MHbr #5575

Don’t miss out on a 4% commission.* We’re over 85% sold.

Bring your clientS in toDay!

STV_SP_Good_Evil_8.375x10.875_MdRealtor_July_50584.indd 1 7/11/13 4:29 PM

Best Practices in the independent Contractor Agreement

From the Hotline C H A R L E S A . K A S K Y , E S Q U I R E

Q. i am a broker. An agent affiliated with my firm showed properties to a buyer, but the buyer never signed a written brokerage agreement. during this time, the buyer

expressed a desire to purchase a particular property and the agent assisted the buyer in preparing an offer, which the seller accepted. My firm is listed on the last page of the contract as the buyer’s broker. The agent transferred his license, became affiliated with another broker and continued to work with this buyer on obtaining the inspections, title work, etc. While the agent was affiliated with the other broker, the buyer executed a written brokerage agreement with that company. Before settlement, the agent left that company and is now affiliated again with my firm. i recently received a strongly worded letter from the other company threatening me with legal action if i do not agree to allow the settlement agent to pay the other company the selling side of the commission. What are my options?

A. Wow. Where to start? First, you should immediately refer to your attorney any matters that could result in legal action.

The best practice is to negotiate in the independent contractor agreement what happens when a licensee changes broker affiliations. One option is that brokerage agreements in place when the agent leaves continue to be the property of the broker. Another option is for the broker, the salesperson and the new broker to negotiate a termination of the existing agreement and execution of a new brokerage agreement between the client and the new broker. The key issue here is to have this conversation. No licensee should ever walk out the door without your knowing what is happening with those clients.

Here, there was no written brokerage agreement in place and the salesperson failed to comply with Maryland

agency law by preparing an offer without it. Under the law, a licensee can become a buyer’s agent without a written brokerage agreement under what is called “presumed” buyer agency. However, before a licensee can prepare an offer or negotiate a sale for the buyer, the “presumed” buyer agency must be terminated, typically when the buyer and broker enter into the buyer agency agreement. This was a serious failure.

This mistake was compounded when the buyer executed the written brokerage agreement with the second broker. The situation was bound to result in conflict because one broker was identified in the contract as the buyer’s broker and another broker entered into a contract (the buyer broker agreement) under which the broker is entitled to a commission if the buyer purchases a property. The difference is that you may have earned the commission offered by the listing broker under the offer of cooperation and compensation in the MLS and the other broker may be entitled to compensation from the buyer under contract law if the buyer is in breach of the brokerage agreement by continuing to work with the agent even after he transferred back to your company.

Also, the other broker is apparently as lax as you are about tracking clients of licensees who transfer affiliations. I really can’t tell you how this is going to be resolved, but it could have been avoided if the brokers involved had policies and procedures in place concerning the status of clients and brokerage agreements of licensees who leave the firm. If both brokers claim the commission offered by the listing broker in the MLS, they must arbitrate that dispute through the local board’s Professional Standards program. The rules of procuring cause will determine who is awarded the commission. If the other broker feels that the buyer owes her a commission under the brokerage agreement, she can pursue a breach of contract lawsuit. Charles A Kasky, Esquire, Senior Vice President, Maryland Association of REALTORS®.

AN

D

Enjoying the crestfallen looks of your colleagues when you ask them why

they didn’t bring their clients in.

Getting a 4% commission* selling Baltimore’s most

unique residences.

Featuring stunning views complemented by incredible contemporary architecture, these are Baltimore’s most unique residences. But only limited homes are available. From $489,900 to over $3,000,000.

*See sales manager for details.

888.928.4775 I SiloPoint.com 1200 Steuart Street, Baltimore, mD 21230

SAleS by CSM GrouP; MHbr #5575

Don’t miss out on a 4% commission.* We’re over 85% sold.

Bring your clientS in toDay!

STV_SP_Good_Evil_8.375x10.875_MdRealtor_July_50584.indd 1 7/11/13 4:29 PM

Learning is the Goal!


Score big by attending the following MRIS Training classes at MAR!

Let MRIS

Coach You to

VictoryMonday, Sept 9th: 10:30 am – 11:30 amTuesday, Sept 10th: 9:00 am –10:00 amWednesday, Sept 11th:10:00 am –11:00 am

Dominate Your

Listings with the New

KeystoneMonday, Sept 9th : 3:00 pm – 4:00 pm Tuesday, Sept 10th : 3:00 pm – 4:00 pm


md realtor magazine august/september 2013

Documents