The following policies apply to all property listed with WSI Enterprises DBA Realty Executives of Hickory and Lake Norman

 

1.         Advertising Defined:  It is the policy of WSI Enterprises DBA Realty Executives of Hickory and Lake Norman, that the term “advertising” is to be broadly interpreted to include any communication, whether oral or written, between an agent and the public.

 

2.         Necessity Of Signed Listing Agreement:  No property will be advertised in any way without a signed written listing agreement on file with the broker in charge (uploaded into dotloop).  The listing agreement in the hands of the agent is not sufficient.

 

3.         Newspaper/Magazine Ads:  A listing which is due to expire by the publication date of a newspaper or magazine ad will not be inserted into the ad unless a written extension of the listing is received and uploaded into dotloop before the deadline for placing the ad.

 

4.         Price Changes:  No price changes or other substantive changes to the listing will be advertised unless a written change of the price or other appropriate information is received and uploaded into dotloop before the deadline for placing the ad.

 

5.         Advertising Features As “New”:  Information on features of the property will not be advertised as "new" unless substantiated by written receipts or other evidence of payment from the owner showing the date the work was done.  If the verification is received, it will be advertised with the appropriate date.  If the verification is not received, the listing agent must use other words such as "newer" or "recent" to describe the feature.

 

            Agents should take special care to follow these same rules in the use of "special feature" sheets.  If an agent does not follow this policy regarding any information sheets or other documentation/advertising the agent prepares, the agent will be solely liable for any errors or omissions which later cause any losses.

 

6.         “For Sale” Signs:  "For Sale" signs and lock boxes will be removed immediately upon expiration or withdrawal of a listing.

 

7.         “Sold” Signs:  According to the REALTOR Code of Ethics, prior to closing, only the sold sign of the listing broker is allowed on the listing, unless the listing agent consents otherwise. The Code of Ethics also allows the cooperating broker to post a “sold” sign with the written permission of the buyer after the closing.  Per the Code of Ethics, either the listing broker or the cooperating broker may claim to have sold the property in advertising and representations to the public. However, the North Carolina Real Estate Commission discourages the use of “sold” signs on property prior to closing.  In light of this position, it is the policy of this Company to place “Under Contract” signs rather than “sold” signs on any property prior to closing.

 

8.         “Personal Advertising”:  Personal advertising by individual agents is encouraged.  Any personal advertising must be approved by the broker in charge.  North Carolina Real Estate Commission Rule 58A.0105 requires that a provisional broker include the company name or the name of his/her broker in any advertising regarding the sale of real estate for others, and that all ads clearly indicate they are the advertisements of a broker or brokerage firm. Standard of Practice 12-5 of the Code of Ethics requires that the name of the firm be disclosed in a reasonable and readily apparent manner in any advertisement in any medium of real estate services or listed property, either in the advertisement or in electronic advertising via a link to a display with all required disclosures. 

 

            The proper use of names in advertising was addressed in the March 2004 issue of the NC Real Estate Commission’s Bulletin.  A copy of the article follows in italics.  All personal advertising by agents of the Company must be in conformity with the guidelines set forth in the article.

 

If you use a name in your real estate business which is different from the name on your real estate license certificate (which should be your legal name), you may be in violation of the Real Estate License Law. 

            

For example, suppose your full legal name is Midlemas Phestus Furplesnurkle, IV, but you prefer to go by “Purple” in connection with your real estate business. Your advertisements in the local homes magazine, newspaper and on the web, simply say, “For all your real estate needs, think “Purple!” Likewise, your (purple) business cards and sign riders identify you only as “Purple.”

This method of identification is insufficient under the law even if your ads, cards and stationery include your company name, address and phone number. The name under which you do business should be enough to identify you legally and to assure that you are not misleading the public as to your identity. By using only “Purple,” you are engaging in business under a name not legally your own, and thus effectively concealing your identity. While you may not intend to deceive, you do so by not using your legal name.

 

First Names
 

Nicknames have always been common, and you can certainly use one in place of your legal first name. The key is to remain readily identifiable to the public and to the Real Estate Commission. Some nicknames are short versions of a longer name and are commonly known. For example, William may go by “Will” or “Bill,” Robert by “Rob” or “Bob,” and Elizabeth by “Liz,” “Beth,” or even “Betsy.” In these kinds of situations, you may use a nickname because your actual name can be easily determined. Similarly, a nickname involving the use of initials in place of your given name is acceptable, as when Thomas Joseph Jefferson goes by “T. Joseph Jefferson” or even “T.J. Jefferson.”

 

Other nicknames are not logically associated with the user’s first name. For example, if your name is Midlemas Phestus Furplesnurkle and you use a nickname like “Purple” or “Kid,” a member of the public would have no way of knowing that you are actually “Midlemas.” In order to assure that you can be easily identified, your business cards and correspondence should include your full name together with your nickname. This can be done in various ways. For example, your business card might read, “Midlemas ‘Purple’ Furplesnurkle, Broker,” and your newspaper ad could say, “For all your real estate needs, call Purple! (M.P. Furplesnurkle, IV, Broker).”

 

Last Names
 

On the other hand, using a surname that is not your own is not allowed. If you have an awkward or lengthy surname, you may wish that you could shorten or simplify it only in connection with your real estate business. While the goal is understandable, the result is misleading if you haven’t legally changed your name. For instance, if your surname is Furplesnurkle, you can’t simply call yourself “Mr. Furp” or “Mr. Jones” in your brokerage activities, so long as your legal name remains Furplesnurkle. If you want to become “Furp” or “Jones,” you should legally change your name. The most straightforward way to do this is to go through a judicial name change proceeding before the clerk of court in the county where you reside. If you don’t want to go to the trouble of changing your name legally, then you should use your legal name in all aspects of your business. You cannot avoid the problem by filing an assumed name registration in the office of the register of deeds. That procedure is only for business names--not for personal name changes.

 

9.         Regulation “Z”:  Any advertising containing financial terms of the offering must comply with federal Truth-in-Lending laws, also known as “Regulation Z.”  Regulation Z requires that all of the terms of the financing be stated if any "triggering terms" are used.  "Triggering terms" are terms such as the amount of down payment ("10% down"), the amount of any payment ("Only $550 per month"), the period of repayment ("40 year loan available") or the number of payments ("Only 48 monthly payments).

 

            If any of these terms are used, the following disclosures are required:

 

            a.  Amount or percentage of down payment.

            b.  Terms of repayment.

            c.  Annual Percentage Rate, stated and calculated as such.

 

Use of any interest rate in advertising is not allowed.  Only the Annual Percentage Rate, stated and calculated as such is allowed.  Therefore, a property cannot be advertised as having a "7% assumable VA loan."

 

Not all terms trigger Regulation Z disclosure.  Some examples of terms which can be used without triggering Regulation Z disclosure are "No down payment", "Financing Available", "Special Financing", or "Assumable Loan".

 

10.       Internet Advertising

a.      All agent-created or -utilized online advertisements, Web pages, domain names, sponsorships, links, frames, blogs and other electronic media (referred to as “Internet advertising”) must conform to state and federal law and to Company [or franchise] identity standards.

b.   All Internet advertising must be approved by Company management before going online.  This policy covers personal Web sites, all forms of social media, blogs and listings posted on any site other than the Company’s Web site, [the Company’s franchise’s Web site or REALTOR.com®].

c.      Any contract for Internet advertising must be reviewed and approved by Company management before the agent signs it.

d.     All Internet advertising must contain appropriate content and shall not contain links to any inappropriate content nor be sponsored by any person or entity that has not been specifically approved by Company management. (Examples of inappropriate content include racial or ethnic “hate” content, content that is excessively violent, and sexually explicit content.)

e.      The agent will be responsible for all costs of the Internet advertising that he or she has contracted for. The agent may not enter into any contracts for Internet advertising in the Company’s name; instead, the agent must enter into such contracts in his or her own name. If the Company becomes liable for an agent’s Internet advertising contract, the agent will promptly reimburse the Company the costs of the advertising and/or the Company will have the right to deduct such costs from any pending commissions due the agent.

AGENCY DISCLOSURE POLICY

 

Complementing the agency policy chosen by the company is the North Carolina Real Estate Commission Rule on Agency Agreements and Disclosure (Section 58A.0104).  WSI Enterprises DBA Realty Executives of Hickory and Lake Norman, maintains a policy promoting discussion of agency relationships at the first reasonable opportunity with a customer or a client.  Each agent is required to attend training and education on agency disclosure within the company training program.

 

The rules of the North Carolina Real Estate Commission require the use of the “Working With Real Estate Agents” brochure prescribed by the Commission.  The brochure must be given in every real estate sales transaction by a broker working directly with a prospective buyer or seller at the first substantial contact with the prospective buyer or seller.  The broker must review the brochure with the prospective buyer or seller and determine whether the broker will act as the agent of the prospective buyer or seller.  If the broker will work with a prospective buyer as an agent or subagent of the seller, the rules of the Commission require the broker to disclose in writing to the prospective buyer at the first substantial contact with the prospective buyer that the broker represents the interests of the seller.  This should be accomplished by having the buyer or seller sign the working with real estate agents form by digitally or by hand and upload to dotloop. 

 

The Rules of the Commission also require that in every real estate sales transaction, a broker representing a buyer shall disclose to the seller or seller’s agent, at the initial contact with the seller or seller’s agent, that the broker represents the interests of the buyer.  Additionally, the broker shall, no later than the time of delivery of an offer to the seller or seller’s agent, provide the seller or seller’s agent with a written confirmation disclosing that he/she represents the interests of the buyer.

 

In light of the increasing emphasis in the industry on agency relationships, WSI Enterprises DBA Realty Executives of Hickory and Lake Norman prefers and urges that each agent discuss agency relationships with customers and clients at the earliest possible time in the relationship to avoid later misunderstandings.  All agents must disclose not later than the time periods required by the Rules.

 

The North Carolina Real Estate Commission Rules require that records of all transactions, including a signed copy of “Working With Real Estate Agents” form, be retained by licensees.  The completed form is to be uploaded to dotloop for further processing and retention by the company.  If a prospective buyer or seller refuses to sign the form, the agent should set forth, sign and date a written explanation of the facts of the refusal.  Any written explanations of this type must be uploaded to dot loop for further processing and retention by the company.