California's New Residential Purchase Agreement Hits the Streets

Lynda - there is a lot to learn about this revised contact. I look forward to more sharing on the changes and what they mean for us, and for our buyers and sellers. And of course risk management.

Jeff

Do they have classes at your local Board, to teach REALTORS all the ins and outs of the new contracts? And are your contracts used by the layman as well as the licensees? Our FAR and FAR/BAR contracts can only be used by REALTORS. FSBO's have to find something else, somewhere else. But for our FAR and FAR/BAR contracts, our Board offers constant training, since our contracts are changed every couple of years. I love those classes. I'm fascinated by the legalities, and I like to have the upper hand for my clients =)

The fact that someone had to ask what an RPA was is scary. It makes it easy to see why consumers have bad experiences with many agents. How can you not keep up with Real Estate 101 and expect to succeed?

Good Morning Lynda,

A very nice intro to the new RPA. Our brokerage had our legal council provide an in office meeting to review the new contract, the changes and both the weakness and strengths of this agreement. I used to serve on CAR's Standard Forms committee and have a profound respect for how these forms get revised. It is a very smart idea for both the Buyers and the Sellers to better understand the content of these forms and have a draft sample to best understand the complexity prior to when they are needed. 

Outside of the agreement, the counter offer needs to be expanded to accommodate the often many changes that may be needed in a response to an offer or counter. I personally would like to see the Counter Offer made a lot better with more room to respond.

I would also like to see a different form used for distressed properties. Same with the Listing agreement that could account for the various differences that Sellers of distressed properties ( SS) would be agreeing to in those situations.

Sadly, we spend more time learning the social media sites than the most important aspects for representing the fiduciary interests of the client.

I read recently that the TDS will be revised this year to account for various changes. That is one form that could and should be greatly improved and hopefully it will be. Great post .

Hi Lynda,

I have made a couple dozen copies of the draft RPA and now give to Buyers before we go out showing homes. It is a great way to introduce the Agency Relationship Disclosure, right on page one, 1st paragraph-Please sign here. Also great as you mentioned to go over with new Seller's so they know what to expect. I was thinking about doing a blog with a step by basic presentation ( CAR will have this done for the language in a month or so) , paragraph by paragraph and then having a link to it on my website.

In MD a new contract is pushed out each October sometimes with minor changes and sometimes with major. New addendums are hitting us almost every month it seems so staying on top of the contract paperwork isnt an option...its a must. But alas there are many who do not. I introduce the contract to a perspective buyer at our first meeting so as we progress to finding a home they have any questions or concerns answered. It works every time.

Lynda  You certainly are ahead of the curve - very professional, easy to understand presentation  Karen

Lynda it is always a pleasure watching your video and I know the consumers will appreciate the information you share.  It is important for agents to understand the form so that it can be fully explained to a client.

Lynda --Interesting to know there has been a revision to the purchase and sales agreement in California.  If you have a moment, I would love to take a look at it.  I have been on the forms committee off and on and I am always curious to see what other states are doing.  We just had some changes to the NH forms and it always is a learning process.

Good blog post.  I have studied the new RPA, and my broker has already given us several classes on it, so I feel very comfortable with it now.

Lynda, awesome video - loved it! We just got a new contract her in Florida effective Aug 1st and this would be a great way to help inform buyers and sellers - as always, learning from you my friend! 

Hi Lynda,

You sure know your stuff!  When speaking you can see that you are an expert.  When writing someone can be looking at notes.  You are definitely the person I would want to work as a buyer or seller in CA!

Maya