GREC REnews, Vol. 1, Issue 6 (June 2005)

Georgia Real Estate Commission
GREC RENEWS

Volume 1, Issue 6 June 2005

2005 Dates to Note
June 7 Trust Account Class
July 20 Trust Account Class
December 1 - 2 GREC Annual Schools Meeting

INSIDE THIS ISSUE:

Do Not Call...

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Do Not Call Resources 2

Listing Idea

2

Focus on Terminology:
"Lifestyle
Center"

Who Do You Call?
Telephone solicitation by real estate agents does constitute telemarketing. New rules affecting the solicitation of real estate services by telephone became effective January 1, 2005 and were further clarified February 10, 2005. The following statements are a synopsis of the most recent Do-Not-Call rules as they apply to real estate. The entire FTC document1 stating these changes can be accessed as a pdf file at the following link:
http://www.realtor.org/libweb.nsf/files/fg707-FCCfsboOrder.pdf/$FILE/fg707-FCCfsboOrder.pdf
Check the Registry First. A real estate licensee must check the Do-Not-Call Registry before contacting a potential client/customer, unless the consumer has made a customer inquiry.
Every 31 days. The telemarketer must access the National the Do-Not-Call Registry and purge numbers from their marketing call lists every 31 days. The company must maintain records to document this process.
Do-not-call Request & Records. Telemarketers are required to document a consumer's request not to receive further calls and must maintain a record of a consumer's request. A do-not-call request must be honored for 5 years from the time the request is made.
Referrals. Telephone solicitations to persons based on referrals are also subject to the do-not-call rules.
FSBO. Calls by real estate agents who represent only the potential buyer to someone who has advertised their property for sale are not considered telephone solicitations, so long as the purpose of the call is to discuss a potential sale of the property to a represented buyer. (They are calling to offer to purchase something from that party instead of selling his/her services.)
Established Relationships: Once a business relationship has been established, a client may be contacted for up to 18 months, unless the client requests otherwise. This would include expired listings.
Fines. Fines for calling someone on the Do-Not-Call registry can be as high as $11,000 per violation or $500 per call for a suit initiated by the state or a consumer.
Georgia Registry. By registering with the "Free" Federal No Call Registry, the telephone number will automatically be included on the Georgia Do Not Call List and will be included in the list of telephone numbers telemarketers are required to download prior to telemarketing in Georgia.

Georgia Real Estate Commission
Suite 1000, International Tower 229 Peachtree Street N.E. Atlanta, GA 30303-1605

Source: 1 Federal Communications Commission FCC 05-28 Rules and Regulations Implementing the Telephone Consumer Protection Act of 1991 CG Docket No. 02-278 SECOND ORDER ON RECONSIDERATION Adopted: February 10, 2005 Released: February 18, 2005
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Georgia Real Estate Commission
Suite 1000, International Tower 229 Peachtree Street N.E. Atlanta, GA 30303-1605
RENews Newsletter Comments or Suggestions Click Here

Resources Concerning the Latest Do-Not-Call Rules
The TCPA defines a telephone solicitation as "the initiation of a telephone call or message for the purpose of encouraging the purchase or rental of, or investment in, property, goods, or services, which is transmitted to any person but does not include a call or message to any person with that person's prior express invitation or permission; to any person with whom the caller has an established business relationship; or by a tax-exempt nonprofit organization."
Relevant Acronyms:
TCPA: Telephone Consumer Protection Act of 1991 FTC: Federal Trade Commission regulations TSR: Telemarketing Sales Registry Related Links: Georgia Do No Call: www.ganocall.com Federal FTC Do Not Call: http://www.ftc.gov/donotcall/ FTC Ruling on 31day Amendment: http://www.ftc.gov/opa/2004/03/tsrdncscrub.htm Register online at WWW.DONOTCALL.GOV or call toll-free, 1-888-382-1222 (TTY 1-866-290-4236), from the number you wish to register. Registration is free.

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newsletter each month by visiting
the GREC website or CLICK HERE TO SIGN UP
GREC

Focus on Terminology: "Lifestyle Center"

As consumer shopping habits change, the design of retail centers must adjust to the new demands. The traditional retail malls now have to compete with "Lifestyle Centers." A Lifestyle center is made up of many of the same tenants as the traditional enclosed mall, however its location and accessibility are distinctly different. It can be compared to the "Main Street," concept where local shoppers visit regularly for shopping or leisure, and parking is provided directly in front of the stores. Lifestyle centers are often located near apartments and office buildings in suburban areas.
A lifestyle center may be described as an upscale, open-air retail center typically occupied by higher-end national specialty stores where parking is directly accessible to the stores. Shopper convenience is key and some centers even provide trolley service down the main shopping avenue. Other tenants include full service restaurants, coffee shops and outdoor, caf-style restaurants. In addition to creating a leisure-style atmosphere, the center may provide interactive shopping events and family entertainment.

Listing Issues

Consumers become more sophisticated with the use of the Internet and many

sources for training and education. The Exclusive Right to Sell Listing Agreement

continues to be the mainstay of the real estate industry. But sometimes, the owner

believes he/she can sell the property

himself and avoid paying a

commission. Although licensees

understand the reasons for using their

services, it is still a continuing

battle to educate the owners for

their own best interest. If the

selIer has been marketing the

property and wants to sell

the property him/herself to avoid a

commission, instead of

agreeing to an Exclusive Agency

Listing (allowing the seller to

sell the property) continue to pursue

the Exclusive Right To Sell, but

exclude certain parties from the

listing, and still retain that exclusivity you need to professionally market the

property. This situation is still likely better than the Exclusive Agency or perhaps no

listing at all. Note, however that the multiple listing services being used to market

the property may only accept an Exclusive Right To Sell listing without conditions.

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