Offer to Purchase Contract Form Changes Reviewed in 2007-2008 Update Course

Changes to the standard Offer to Purchase and Contract form, “material facts,” and a review of licensing requirements are among the proposed topics to be discussed in the 2007-2008 RE Update Course.

All licensees must take the four hour Update Course each year as part of the eight hours of continuing education required between July 1 and June 10 of each year in order to have an active license the following July 1.

The Joint Forms Committee of the North Carolina Association of REALTORS® and the North Carolina Bar Association has proposed changes in the standard Offer to Purchase and Contract form (Form 2-T) used by licensees in their residential brokerage practice.  If the revisions to the standard form are approved by the Governing Boards of each association, then the revised form would be available for use July 1, 2007.

Because of the significant legal consequences which might arise from changes in this form, the proposed changes are the primary topic for the 2007-2008 Update Course.

The interim edition of the Update materials will address the proposed changes as known in early June, and the final edition of the Update Course (generally available by late September) will reflect any modification in the final version of the form and any changes in the related addenda.

The Update Course will also review what constitutes “material facts.”  Specific examples will be summarized, including polybutylene piping, synthetic stucco, death of a prior resident, presence of a gravesite on the property, and presence of a registered sex offender in the neighborhood.

Lastly, there will be a segment reminding licensees of what is required to maintain a current and active license including timely paying $40 for each real estate license they possess (individual and firm, if applicable) by June 30, completing 8 hours of continuing education for their individual license by June 10, and completing any required postlicensing education by the date required.

Licensees may find a summary of the various requirements and deadlines regarding provisional brokers on the Commission’s website.

This article came from the June 2007-Vol38-1 edition of the bulletin.