Eco Lifestyle and Home News – May 2024
May 2024 – Last Newsletter for Awhile…
Dear Friends, Clients, Business Associates and Neighbors,
April 2024 marked the 96th edition of Eco Lifestyle and Home Newsletter produced by Kachina Mountain Realty.
Since 2013 we have published a monthly newsletter covering the real estate market in Santa Fe & in Taos. We have featured lifestyle offerings, real estate news, mortgage information, calendar events, and updates on our poodles over the years.
We will be taking a break from publishing Eco Lifestyle and Home News for the next few months.
Real Estate Updates
If you would like to continue to receive real estate updates, please let me know and I will add you to the OneHome search custom tailored to your needs. You can contact me by email: Dianne@KachinaMountainRealty.com
Tarleton Ranch Eco-Village
The TREV development is in the initial stages of seeking development permits with Taos County. This process, including public hearings will take place over the next several months before property can be sold and the infrastructure can be started. We will keep you informed as we progress through the approval hearing process.
The Tarleton Ranch Eco-Village (TREV) has been thoughtfully master planned as a walkable mixed-use “agrihood” community with a variety of clustered homes and a convenient commercial Village Center, developed around a beautiful 185 acre Eco-Farm Park filled with an abundance of food production, trails and recreation amenities.
Tarleton Ranch Eco-Village* is made up 335 home sites, grouped into 4 residential neighborhood clusters each with a variety of housing types: single family, townhomes, patio homes, courtyard homes, small homes and live/works.
Tarleton Ranch Eco-Village offers unique community amenities and events for those who appreciate the active life and invigorating activities.
Visit the website for more information:
Tarleton Ranch Eco-Village. www.TarletonRanchEcoVillage.com
Sierra Updates
You can always check up Sierra’s monthly updates on her website: https://diannemckenzie.com/sierra/
Real Estate Market
Changes in the Real Estate Client Relationship
The real estate industry is going through major changes in how real estate transaction occur, specifically how realtors receive compensation. Below is some information that may help you understand the changes that are taking place over the next several months.
From the New Mexico Association of Realtors
April 29, 2024
As you may know, as a part of the NAR settlement, NAR has agreed to require MLS participants working with buyers to enter into written agreements with their buyers before touring a home. NAR (National Association of Realtors) has updated their FAQ to include additional information and clarity about written buyer agreements.
NAR has included the latest questions they’ve answered below for your use. These have also been added to the resource hub on www.facts.realtor and are listed as questions 46 through 62 in NAR’s regularly updated FAQ page.
NAR will be releasing additional guidance about the timing of the practice changes required under the settlement in the coming days.
As a reminder, NAR received preliminary approval of the settlement on April 24, but it is still subject to final court approval. The final approval hearing is scheduled for November 26, 2024.
The practice change requiring written agreements with buyers is triggered by two conditions: it only applies to MLS participants “working with” buyers and is triggered by “touring a home.” What does it mean to be “working with” a buyer?
- The “working with” language is intended to distinguish MLS participants who provide brokerage services to a buyer — such as identifying potential properties, arranging for the buyer to tour a property, performing or facilitating negotiations on behalf of the buyer, presenting offers by the buyer, or other services for the buyer —from MLS participants who simply market their services or just talk to a buyer — like at an open house or by providing an unrepresented buyer access to a house they have listed.
- If the MLS participant is working only as an agent or subagent of the seller, then the participant is not “working with the buyer.” In that scenario, an agreement is not required because the participant is performing work for the seller and not the buyer.
- Authorized dual agents, on the other hand, work with the buyer (and the seller).
How will state laws affect the implementation of the practice change requiring written agreements with buyers?
- Written buyer agreements will be required of all MLS participants working with buyers prior to touring a home, unless state law requires a written buyer agreement earlier in time.
What does it mean to tour a home?
- Written buyer agreements are required before a buyer tours a home for sale listed on the MLS.
- Touring a home means when the buyer and/or the MLS participant, or other agent, at the direction of the MLS participant working with the buyer, enter(s) the house. This includes when the MLS participant or other agent, at the direction of the MLS participant, working with the buyer enters the home to provide a live, virtual tour to a buyer not physically present.
- A “home” means a residential property consisting of not less than one nor more than four residential dwelling units.
Does the requirement for a written agreement with buyers mean that MLS participants and buyers must enter into a written agency agreement?
- No. MLS participants and buyers will still be able to enter into any type of professional relationship permitted by state law.
- NAR policy does not dictate:
- What type of relationship the professional has with the potential buyer (e.g., agency, non-agency, subagency, transactional, customer).
- The term of the agreement (e.g., one day, one month, one house, one zip code).
- The services to be provided (e.g., ministerial acts, a certain number of showings, negotiations, presenting offers).
- The compensation charged (e.g., $0, X flat fee, X percent, X hourly rate).
If an MLS participant hosts an open house or provides access to a property, on behalf of the seller only, to an unrepresented buyer, will they be required to enter into a written agreement with those buyers touring the home?
- No. The new rule will cover every type of relationship where an MLS participant is working with a buyer.
Are written buyer agreements required when listing agents talk with a buyer on behalf of a seller only or as subagents of the seller?
- No. If the MLS participant is working only as an agent or subagent of the seller, then the participant is not working for the buyer. In that scenario, an agreement is not required because the participant is performing work for the seller and not the buyer.
Are written buyer agreements required when MLS participants perform ministerial acts?
- Yes. The obligation is triggered once the MLS participant is working with that buyer and has taken them to tour a home, regardless of what other acts the MLS participant performs.
- But an MLS participant performing only ministerial acts — without the expectation of being paid for those acts and who has not taken the buyer to tour a home — is not working for the buyer.
Are written buyer agreements required in a dual agency scenario, when a single agent works both for the seller and for the buyer?
- Yes. If an MLS participant is working as an agent for a buyer, a written agreement is required.
Are written buyer agreements required in a designated agency scenario, when a single broker works both for the seller and for the buyer, and designates an agent to represent the buyer?
- Yes. If an MLS participant is working as an agent for a buyer, a written agreement is required.
MLS participants may not receive compensation for services from any source that exceeds the amount or rate agreed to in the buyer agreement. Does this mean that brokerages can only have one agreement with the buyer?
- No. NAR policy does not dictate:
- What type of relationship the professional has with the potential buyer (e.g., agency, non-agency, subagency, transactional, customer).
- The term of the agreement (e.g., one day, one month, one house, one zip code).
- The services to be provided (e.g., ministerial acts, a certain number of showings, negotiations, presenting offers).
- The compensation charged (e.g., $0, X flat fee, X percent, X hourly rate).
- Compensation continues to be negotiable and should always be negotiated between MLS participants and the buyers with whom they work.
In the buyer agreement, can buyers and buyer brokers agree to a range of compensation?
- NAR policy will not dictate the compensation agreed between buyers and buyer brokers (e.g., $0, X flat fee, X percent, X hourly rate).
- Under the settlement, any compensation agreed to must be objectively ascertainable and not open-ended. For example, the range cannot be “buyer broker compensation shall be whatever amount the seller is offering to the buyer.”
Should active buyer agreements entered into before the MLS policy change be amended to make sure any compensation is not open-ended and is objectively ascertainable?
- Yes. MLS participants working with a buyer after the effective date of the policy should take steps to ensure that the buyer has agreed to the necessary terms required by the settlement agreement.
Should active buyer agreements entered into before the MLS policy change be amended to remove any provision that authorizes the buyer broker to keep any offers of compensation exceeding the amount of compensation agreed with the buyer?
- Yes. MLS participants working with a buyer after the effective date of the policy should take steps to ensure that the buyer has agreed to the necessary terms required by the settlement agreement.
Should active listing or buyer agreements entered into before the MLS policy change be amended to include a conspicuous disclosure that compensation is not set by law and is fully negotiable?
- MLS participants must make this disclosure, but active agreements do not need to be amended to accomplish this. MLS participants can do a separate disclosure to satisfy the requirement.
Marketing Properties, Not Just Listing Properties
If you are thinking of selling your property, why not list it with a realtor who will market the property, not just list it in the MLS? By actively marketing your property, the property gets the most exposure to other realtors and to the general public through online blogging, email campaigns & the typical MLS exposure.
Call me, Dianne, 575.776.7576, to discuss your property needs, or for a tour of Lots & Homes in Aldea, Las Campanas and the Santa Fe region.
Visit the website for Santa Fe information: RealEstatePropertiesSantaFe.com
Visit the Kachina Mountain Realty company main website: KachinaMountainRealty.com
About Kachina Mountain Realty
I am passionate about real estate development. I consider myself a “Dream Maker”, and strive to help my clients manifest their dreams and lifestyle goals.
I believe that, “…the dreams which accompany all human actions should be nurtured by the places in which people live and work”.
To promote this possibility, I encourages my clients to develop and share their dreams and lifestyle goals as part of the process of selling, buying or investing in property.
I have over thirty years of business experience as an executive producer, web architect, social media marketer, business developer, architecture assistant, real estate marketing developer and real estate consultant.
I am a licensed real estate qualifying broker for Kachina Mountain Realty & an accredited ACRE® real estate consultant. I have worked in the Santa Fe & Taos real estate market for years. I specialize in working with buyers and sellers who are looking for a solid real estate investment.
Contact me, Dianne McKenzie, for your real estate transactions & let me help you manifest your dreams!
I am readily available by cell phone, text, 575.776.7576 & email. I return calls promptly, seven days a week!
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