Category: Seller

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The Appraisal Process Made Clear

The appraisal process can raise many questions.  Especially when the value comes back from the appraiser below the purchase price.  Below are a few commonly asked questions with answers from the National Realtor Association. Q. Will the homebuyer receive a copy of the appraisal? A. Yes. The Equal Credit Opportunity Act (ECOA) requires creditors to…




When is a Seller Exempt From Form 17?

The Seller Disclosure (Form 17) is a required document when transferring real estate in Washington State.  The Form 17 is a document straight from the folks in Olympia (not the Multiple Listing Service).  So, the questions and requirements are set forth by government through the Revised Code of Washington (RCW). With few exceptions, Sellers are required…




Craigslist Rental Scam

A rental scam has proven to be a growing problem.  The scam begins by lifting photos and information about a home for sale and then the scammer places the information on Craigslist, Zillow, Trulia or other internet sites that advertise homes for rent.  When someone inquires through the provided email they get a response usually…




3.8% Tax Will Go Into Effect. What Is It Really?

A few months back I addressed a viral email that seems to make the rounds every few months about a new “sales tax” on all real estate transactions.  The email is false in the way it states what the new tax is.  So what is the new tax tied to the health care bill regarding…




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The Willamette Meridian

What is the Willamette Meridian and why talk about it regarding real estate? All properties in Washington and Oregon are referenced to this point.  The Willamette Meridian was established June 4th, 1851 and runs from the Canadian border to the northern border of California. The base line runs from the Pacific Ocean to the Idaho border….



New Law of Agency Pamphlet

Thanks to a new section regarding short sale transactions there is a new ‘Law of Real Estate Agency’ pamphlet. SECTION 12:  SHORT SALE When the seller of owner-occupied residential real property enters into a listing agreement with a real estate licensee where the proceeds from the sale may be insufficient to cover the costs at…




New Short Sale Rules in Washington State

A new law was recently created in Olympia and revises existing law with regard to short sales for owner-occupied properties.  House Bill 2614 goes into effect June 7, 2012. In part, the law provides: A)  “Upon its first written notice” to the seller, the lender must provide notice that it either “waives” or “reserves” the…




What is a 1031 exchange?

‘Section 1031 Like-Kind Exchange’ is a part of the Residential Purchase and Sale Agreement. What is it addressing? In the Northwest Multiple Listing Purchase & Sale Agreement it is simply an agreement between Buyer & Seller to cooperate in signing the necessary closing papers required for the party doing a 1031 exchange to complete that part…




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Carbon Monoxide Detector Requirements

Beginning April 1, 2012 sellers are required to equip owner-occupied single family homes with Carbon Monoxide alarms at the time of sale.  This includes single family homes, condominiums and manufactured/mobile homes.  The carbon monoxide detector requirements began with the passing of RCW 19.27.530. The building code (WAC 51-51-0315) requires that an alarm be installed: (1)…




Why pay for title insurance?

Many Buyers and Sellers wonder about that ‘title insurance’ charge on the Settlement Statement.  The Seller buys a policy for the Buyer and the Buyer pays for a policy for their Lender (if they are getting a mortgage).  So what is it and why? What is title insurance? Title insurance protects a policyholder against challenges…




New 3.8% sales tax on real estate

Is there a new 3.8% sales tax on real estate transactions? Here is your answer according to the National Association of Realtors… Q: Is there a 3.8% real estate “sales tax” or a transfer tax created in health care bill? A: No. There is neither a real estate “sales tax” nor a real estate transfer…




Oil tanks not in use

Homeowners/Sellers must pay attention to whether they have an abandoned oil tank in their yard.  The law requires that the oil tank no longer in use must be decommissioned.  It is absolutely advised that the homeowner take action on this, especially prior to listing their home for sale.  Meeting the requirements of this law alleviates many…




Form 17: The Seller Disclosure Form

The Seller Disclosure form is a document in which sellers answer, to the best of their knowledge, a series of questions about the condition of the home and disclose any known defects. It is important for any seller to go through this form carefully and consider each question before answering. It is also important for…




Home Insurance 101

What amount of homeowner’s insurance is required? Your homeowner’s insurance policy should cover the cost to rebuild your home. This insured amount may be higher or lower than the actual purchase price as long as it meets the loan requirements. The insurance company you choose can give you an actual quote based on specific information…




What is title insurance?

Title insurance insures the lender and/or buyers against the possibility of unknown liens or discrepancies in ownership on the property they are purchasing. Sellers buy title insurance for the buyers, covering the amount of the purchase price; buyers buy title insurance so the lender will be covered for the full value of the mortgage. This…