What the heck does that even mean? "Terms of Trust".....well, as it turns out it can mean just about everything.....or anything.....wait, WHAT?!

Actually, "Terms of Trust" relating to Real Estate matters and contracts are simply what is contained within the contract and its parts. Sounds simple and it is, until a challenge arises and all parties have to defer to how the Terms of Trust read. Are they stock and unchanged from the contract in its current form? Has one party or another ammended the contract in anyway? Has one side agreed to a request from the other side? Contracts are funny things, the parties involved can change things as they see fit (lawfully) as long as both sides agree. Vague? Yes. Useful? Not so much. Let me dial this in a bit, and give you a "hypothetical" (did you hear me roll my eyes?) example.

Seller's Realtor recieves an offer from Buyer's Realtor. Financing Condition is a part of the agreed upon terms and conditions, things are simple, deal is acceptable to both parties and property transitions to a status of conditionally sold. Condition date approaces, buyer's Realtor is unresponsive to update requests from Seller's Realtor and the sellers are understandably frustrated. Deal expires with no correspondece from buyer's realtor until 24 hours after condition date. When correspondence does occur it is via text message and it states, UNAPPOLOGETICALLY, "buyer went out of the country and mortgage broker is overseas return deposit"..............I BEG YOUR F***ING PARDON just may be the right response but maintaining professional standards is the right way to go...(how about that time, did you hear my eye roll then?) Fast forward to the conversation that has to now take place, Seller's realtor has to have the conversation with the seller that yes, the deal is certainly collapsed and it wasnt just a oversight but the message from the realtor has to be disclosed and shared as well. Seller is upset and seller's Realtor is embarassed for him or herself, for the buyer's realtor and for the industry in general. What can we do? Hold the deposit back while a non-waiver is forwarded? NOPE! Confront the buyer's Realtor about unprofessional behaviour? NOPE! Demand a formal non-waiver? NOPE! Essentially nothing can be done in this instance because the terms of trust must be met and in this "hypothetical" situation the Terms of Trust remain how they are written in the contract. Well....F***. Seller's lose, Seller's Realtor loses, Real Estate industry loses percieved credibility BUT the Buyer has thier deposit back and the buyer's Realtor apparently and shamelessly could not care less.

The solution to this is to discuss "Terms of Trust" at offer presentation and talk about what the seller wants to see. The seller can request whatever it is they want and the seller's Realtor must act witin the confines of fiduciary duties, one of which is to Follow Lawful instructions from their client. Unless the seller is a lawyer or has been burned in the past they may be relying heavilly on the guidance of their Realtor for options and conversation. 

Realtors can get pretty creative, we are a passionate bunch who really do love people, and seeing a challenge through to a successful end. This business requires an intense amount of artistry and intuition as hoc that is rarely seen in other carreers. There are a million and one ways to ammend a contract and the terms of trust, so tell your Realtor what your concerns are, express your intuition, verbalize your fears and converse with your Realtor about how to ammend contracts and alter terms of trust so that they feel better protected. 

YOUR REALTOR DOES NOT STEER YOUR SHIP. YOU DO. Our business is one of service and leadership to you, the clients we deeply cherish.