Listor & Seller/Owner Disclosures in the MLS
In our HIS Bulletin of January 17, 2008, we announced a rule change that the listor is seller/owner disclosure should be in the listing record Private Remarks instead of the in Public Remarks effective February 1, 2008. The publication of this change gave rise to questions from several participants and subscribers about other listor and seller/owner disclosures. Following is a list of the disclosures that are required by MLS HAWAII, INC. dba Hawaii Information Service (“MLS”), the Hawaii Administrative Rules, Title 16, Chapter 99, Real Estate Brokers and Salespersons (“HAR”) and/or the National Association of REALTORS® Code of Ethics (“NAR”). Please note that this list addresses the disclosures that regard listors or sellers/owners that may be required in advertising or listing records, and is not the complete list of all disclosures required by HAR, NAR and MLS.
License Status of Listor or Listing Agent/Broker
-Required by HAR and NAR in all advertising to prevent agents from advertising “For Sale by Owner”. NAR requires that REALTORS® disclose their REALTOR® status or as licensee. (Refer to HAR §16-99-11 and NAR Code of Ethics Article 12 to see all information required to be included in all advertising.)
-Not required by MLS in the listing record itself. Listor should have his/her license status displayed on his web pages in the HIS Public Site (or on their personal websites) as required by the HAR & NAR. (Note: It is assumed that listor has an active license by virtue of his/her being able to access the MLS and his ability to submit listings to the service. MLS is only available to participants and subscribers who have active licenses to sell real estate in Hawaii.)
License Status of Seller/Owner (who is not Listor)
– Required by HAR in all advertising.
– Not addressed by NAR.
– Currently not required by MLS, but will be required upon approval of amendment to the MLS rules in the listing record Public Remarks.
– Examples: “Seller/owner has active (or inactive) license to sell real estate in the State of Hawaii.”
“Seller/owner is licensed to sell real estate in the State of Hawaii.”
Listor is seller/owner
– Required by HAR & NAR. This disclosure is not listed under the HAR section regarding what must appear in all advertising. As per the HAR, Listor must provide this disclosure in writing to the prospective buyer and buyer’s agent/broker prior to acceptance of an offer. As per the NAR, this disclosure should be in writing prior to the signing of any contract.
– Required by MLS in the Private Remarks. Inclusion of this disclosure in the listing Public Remarks does not fulfill the HAR and NAR requirement of written disclosure to prospective buyers and their agents/brokers.
– Examples: “Listor is seller.” “Listor is owner.” “Listor is part seller/owner.” “Listor has ownership interested in the listed property.”
Listor is related to seller
– Required by HAR & NAR. This disclosure is not listed under the HAR section regarding what must appear in all advertising.
– As per the HAR, Listor must provide this disclosure in writing to the prospective buyer and buyer’s agent/broker prior to acceptance of an offer.
– As per NAR, this disclosure should be in writing to the prospective buyer and buyer’s agent/broker prior to the signing of any contract. Note: NAR consider “in-laws” members of the immediate family. In a situation where the need to disclose is questionable, full disclosure is preferable to avoid any possible appearance of impropriety.
– Not required by MLS at this time, but MLS has been asking listors to provide this disclosure in the listing record
Private Remarks. Plans are to amend the rules so that this will be a required listing element.
– Examples: “Listor is related to seller.” “Listor is related to owner.” “Listor is a business affiliate of seller/owner.” “Listor and seller belong to the same brokerage firm.”
Listing co-listed with another broker (Co-listor disclosure)– Not addressed or required by HAR or NAR.
– Currently required by MLS in the listing record Private Remarks. However, there are plans to amend the rules to eliminate this as a required listing element, because co-listor information can be entered on the listing input form.
Should you have any questions or concerns, please send an email to Diana Haraguchi, Exec. Asst., to email@example.com or call 1-800-628-3121, enter # and then 172. Mahalo.