Media Contact: Eric Berman - 781-839-5507 - eberman@marealtor.com

Office Policies You Must Have, Office Policies You Should Have

by Paula Savard | Apr 28, 2014
To my knowledge, real estate broker owners have only two legislated requirements that should be included in an office policy. Understanding the required elements and providing additional components to consider adding to your written office policy will help create one that will protect and guide your business practice.
Office Policy Musts

One of the two legislated requirements to an office policy came with the 2005 changes to Mass. General Laws Chapter 112, Section 87AAA ¾ which put agency law and license law together, requiring the broker to have a policy for their salespersons to follow in ALL transactions, ie. one choice for the whole company.

They were either a traditional agency wherein all agents of the firm represent all consumers who hire any agent in the firm, or they were a designated agency, wherein the agent hired by the consumer is their agent and all other agents of the firm are free to represent the other side of the transaction.

Once the choice is made by the broker, that form of agency must be disclosed at the first personal meeting to discuss a specific property with any consumer with whom any agent in the firm meets.

Have brokers made one choice and then progressed to another since the 2005 legislation? Of course, but the change in policy should be in writing and dated.

The other legislated requirement for written office policy is the Internet private information protection act, (WISP) which is also Massachusetts law. The law requires a written policy for our companies regarding the systems and process we have in place for the protection for social security numbers, bank account numbers, and all other private individual information that becomes a part of the transaction file as it progresses.

Office Policy Shoulds

Once a broker-owner has complied with the written policy requirements of the law, common sense indicates that it behooves us to guide and protect our agents as we deal with our customers and clients.

Webinars and seminars on this topic of Office Policy Manuals become excited, heated, and passionate. Everyone goes away with a feeling of overwhelming responsibility and excitement with the intent to tackle the issue on our own turf.