StraightTalk is a great place to start learning how living the code can help improve your business, but it’s no legal substitute for the Code of Ethics.
Thoughts on Article 10
Treat every client the same
As a REALTOR®, you have to treat everyone the same. You can’t deny people equal service because of their race, color, religion, sex, handicap, familial status, or national origin. You can’t be a part of any plan to discriminate against anyone, either. The same is true when you hire people. You can’t discriminate against hiring anyone because of race, color, religion, sex, handicap, familial status, or national origin.
Standard of Practice 10-1
When you are involved in the sale or lease of a residence, you can give generic information about the neighborhood (number of schools, medical facilities, shopping within a certain mile radius). But you can’t give out information about the racial, ethnic or religious makeup of the neighborhood.
You can’t do anything that would cause “panic” selling either.
Standard of Practice 10-2
The rules are different for commercial transactions, where demographic information is often critical to closing a deal. You can provide demographic information related to a property or a deal or an assignment if you think it’s necessary to complete a transaction or assignment; if your information comes from a recognizable, reliable, independent and impartial source; and if you are consistent with Article 10. You have to be prepared to disclose your sources (and as the Code says: “any additions, deletions, modifications, interpretations or other changes) in reasonable detail.
Standard of Practice 10-3
Ads, flyers, signs or web listings for a property that indicate a preference for or discriminate based on race, color, religion, sex, handicap, familial status, or national origin are a very big no-no. You know that, but it has to be said.
Standard of Practice 10-4
As used in Article 10, “real estate employment practices” relates to employees and independent contractors providing real estate-related services; it also includes the administrative and clerical staff directly supporting those people.
Next: Don't talk about expertise. BE an expert.
Terms to Know:
Before we begin, there are several terms that appear in the Code of Ethics that could use a little clarification:
Client is anyone that you or your firm has a formal agreement to work with. It could be an agency relationship or you could be providing a non-contracted service.
Customer is a party to a real estate transaction who receives information, services or some other benefit from you, but doesn’t have a contract with you or your firm.
Prospect is a buyer, seller, tenant or landlord with whom you or your firm has no contract. An agent is anyone with a real estate license (though not necessarily a REALTOR®) acting in an agency relationship as defined by Virginia law.
Broker is someone with a real estate license (including brokers and sales associates) acting in an agency relationship as defined by state law or regulation; and “broker” means a real estate licensee (including brokers and sales associates) acting as an agent or in a legally recognized non-agency capacity.
REALTOR® is someone who has earned his/her real estate license and also earned the right to use the title. REALTORS® serve many roles in different real estate transactions. For our purposes, we mean the term to be all inclusive, whether the REALTOR® represents a buyer, seller, tenant or landlord. Whether they provide contracted services or provide a service without a contract.