Well, here goes. The start to our trek North to Maine, our new home-state. (Bangor: rental homes, credit card)

[WhoFanMe]

Originally Posted by nm9stheham

Well, here is one aspect that has changed over the years, at least in our neck of the woods (I have yet to see how a standard Maine house purchase contract is structured): The way the contracts are structured allow the buyers to back out pretty late in the game... at the end of the 'Due Diligence' period. That is usually set late in the process to allow for inspections, reviews, and and financing. The buyer can reject a house for many many reasons and just saying 'we are not satisfied with the inspections' can do the trick.



The use of inspectors and inspections has greatly increased over the years..... For folks who don't know house issues and construction, that helps but it often is a false sense of security IMHO. The inspectors often are not all that well qualified and the licensing requirements are not really for knowledge. Plus if they pick apart a house too much, the realtors will shun them, so they have a negative incentive to find 'too much'. They find some things to demonstrate they earned their fee but often miss serious things. And certainly, some of those issues would be hard to impossible to find without taking drywall/plaster off.



So often the real value in inspections is to have a basis to end a deal before closing. This allows some flexibility to the long-distance buyers. Cuffler, with your background, I suspect you are more like me: When I say I'll buy it, I have done my inspections and I will do the deal. And yes, I want to personally see the house. That is not how it is with everybody.

The standard Purchase and Sale Agreement used by the Maine Association of REALTORS has contingencies built in for due diligence including property condition, code conformance and financing; those dates are negotiated between buyer and seller. Buyers who back out after the expiration of those contingencies risk losing their initial deposit. At this time, inspectors are not licensed in Maine, anybody can call themselves a building inspector; however in order to test water and hazardous materials, there are some requirements (and continuing education). The choice of a building inspector is the buyer's, sometime a buyer client will ask me for a recommendation and I'll give them several that I have worked with, but they are free to choose their own or waive the inspection entirely. Inspectors are human and do miss things. They also are hindered by the property condition (clutter) and access to systems. No house is perfect and buyers have to make hard decisions about what to ask for in seller repairs and what to let go. The inspection process is in place to discover defects not previously disclosed by the seller and/or things that will cost a buyer significant money after owning the property. In addition, non-conventional loans (FHA, VA USDA RD) have their own specific requirements that must be met before an appraiser will allow the lender to fund a loan. The inspection shouldn't be used to renegotiate the agreed upon purchase price due to cosmetic issues, etc. In most cases it works well and buyer and seller walk away satisfied. In other cases, the buyer terminates and continues to shop and the house goes back on the market.

[nm9stheham]

Originally Posted by WhoFanMe

The inspection shouldn't be used to renegotiate the agreed upon purchase price due to cosmetic issues, etc.

Thanks for the info on the Maine standard contracts; sounds very similar.


But let's be clear on one thing in the above quoted sentence: 'shouldn't' and 'can't' are 2 entirely different meanings. Over what items the buyer can back out of, that all depends on the exact contract wording. Here, if the buyer finds cosmetic issues that are not satisfactory, then they can re-negotiate or walk away and keep their earnest money. I'd have to see the Maine contract wording to know what can and cannot be done there.


The Maine point was to give some reasoning for how the risks to buyers of unseen property can be mitigated more than folks might expect.

[WhoFanMe]

Originally Posted by nm9stheham

Thanks for the info on the Maine standard contracts; sounds very similar.


But let's be clear on one thing in the above quoted sentence: 'shouldn't' and 'can't' are 2 entirely different meanings. Over what items the buyer can back out of, that all depends on the exact contract wording. Here, if the buyer finds cosmetic issues that are not satisfactory, then they can re-negotiate or walk away and keep their earnest money. I'd have to see the Maine contract wording to know what can and cannot be done there.


The Maine point was to give some reasoning for how the risks to buyers of unseen property can be mitigated more than folks might expect.

Shouldn't is my philosophy on how to practice real estate and how I counsel the buyers and sellers who look to me for advice, there is nothing in a contract. I don't believe that a buyer should request compensation for a better paint job or removal of an 80s kitchen, etc. It's my job as a buyer agent to point out things BEFORE I help them write the offer and to factor that in the initial offer and as a listing agent to point out things that a buyer MIGHT ask for during the contingency process. Of course what buyers and sellers do is up to them, we as agents with fiduciary responsibility suggest, but we don't make decisions. Yes, sometimes buyers change their minds during that period and are free to terminate for any reason.

[nm9stheham]

Originally Posted by WhoFanMe

Shouldn't is my philosophy on how to practice real estate and how I counsel the buyers and sellers who look to me for advice, there is nothing in a contract. I don't believe that a buyer should request compensation for a better paint job or removal of an 80s kitchen, etc. It's my job as a buyer agent to point out things BEFORE I help them write the offer and to factor that in the initial offer and as a listing agent to point out things that a buyer MIGHT ask for during the contingency process. Of course what buyers and sellers do is up to them, we as agents with fiduciary responsibility suggest, but we don't make decisions. Yes, sometimes buyers change their minds during that period and are free to terminate for any reason.

Thanks, I wish everybody took those attitudes! I don't want to make an offer being ready to move on it as-offered, so I do a lot of inspecting (myself) before thinking out an offer. This is not like dickering over a flea-market item LOL


BTW, you mentioned 'agents with fiduciary responsibility'. Is that in the statute language for realtors in Maine? That concept of realtors 'having a fiduciary responsibility' varies from state to state, and I don't know Maine's statutes. Tnx.

[nm9stheham]

And BTW, don't feel obligated to answer my question above regarding fiduciary duties... this moves into legal matters and I understand that discussion can be touchy on an open forum. I have been reading up on the Maine Realtor rules and regulations, and even a Maine Supreme Court ruling on the matter of fiduciary duty of a realtor in Maine.

[WhoFanMe]

Originally Posted by nm9stheham

Thanks, I wish everybody took those attitudes! I don't want to make an offer being ready to move on it as-offered, so I do a lot of inspecting (myself) before thinking out an offer. This is not like dickering over a flea-market item LOL


BTW, you mentioned 'agents with fiduciary responsibility'. Is that in the statute language for realtors in Maine? That concept of realtors 'having a fiduciary responsibility' varies from state to state, and I don't know Maine's statutes. Tnx.

I agree and you and your agent should have a good idea based on visual inspection(s) as well as the written property disclosure and maintenance records BEFORE writing an offer. The due diligence period after going under contract is to uncover what was not disclosed (either with the property or the code conformance) and to make an informed decision on whether to proceed to closing or terminate the transaction.


There are two types of relationships that consumers can have with a licensed agent. One is a Customer and the other is a Client. Many (including some on this forum) believe that a licensed agent represents them as a Client as soon as they meet. The state's Real Estate Commission requires that all agreements are in writing with a beginning and end date.

Maine law requires all real estate brokerage companies and their affiliated licensees (“licensee”) to perform certain basic duties when dealing with a buyer or seller. You can expect a real estate licensee you deal with to provide the following customer-level services:
✔ To disclose all material defects pertaining to the physical condition of the real estate that are known by the licensee;
✔ To treat both the buyer and seller honestly and not knowingly give false information;
✔ To account for all money and property received from or on behalf
of the buyer or seller; and
✔ To comply with all state and federal laws related to real estate brokerage activity.
Until you enter into a written brokerage agreement with the licensee for client-level representation you are considered a “customer” and the licensee is not your agent. As a customer, you should not expect the licensee to promote your best interest, or to keep any information you give to the licensee confidential, including your bargaining position.

If you want a licensee to represent you, you will need to enter into a written listing agreement or a written buyer representation agreement. The- se agreements create a client-agent relationship between you and the licensee. As a client you can expect the licensee to provide the fol- lowing services, in addition to the basic services required of all licensees listed above:
✔ To perform the terms of the written agreement with skill and care;
✔ To promote your best interests;
● For seller clients this means the agent will put the seller's interests first and negotiate the best price and terms for the seller;
● For buyer clients this means the agent will put the buy- er's interests first and negotiate for the best prices and terms for the buyer; and
✔ To maintain the confidentiality of specific client information, including bargaining information.

[WhoFanMe]

Originally Posted by nm9stheham

And BTW, don't feel obligated to answer my question above regarding fiduciary duties... this moves into legal matters and I understand that discussion can be touchy on an open forum. I have been reading up on the Maine Realtor rules and regulations, and even a Maine Supreme Court ruling on the matter of fiduciary duty of a realtor in Maine.

I'm happy to help with public information, I can't disclose anything confidential, but there are a lot of misconceptions in the market with well-meaning individuals that are not professionals giving advice that may or may not be true.

[Cuffler]

Hi All. Headed back North in the morning (Monday) with my wife. We'll be looking at a handful of homes in the Searsmont, Nobleboro, Waldoboro area initially. A few more towns on Tuesday and Weds morning for any stragglers. We've lucked into a motel we've stayed at many times before. Turns out that serious realestate work is considered essential and we can stay in town. It'll save us four hours driving back and forth to Kennebunk! Plus, we LOVE the Camden area anyway.

We sure hope to find that one of these homes calls out to us and we can once again settle down and enjoy life in Maine as it should be. Thanks to you all, so far, with your suggesitons and comments. This has been one long haul as you can see by the number of pages and old dates when we started this project. We're far from over, of course, but we can smell the fresh fir sent through the woods already. We'll be in touch!

[WhoFanMe]

Updated Guidelines from the Maine Department of Economic and Community Development as of 5/27/2020:

General Operations
• In-person open houses are strongly discouraged
• Real estate agents should utilize electronic means to the fullest extent possible for the execution of all forms and legal documents
• Closings should be conducted using as many physical distancing practices as possible.
• Refer to the General Checklist on the DECD checklist webpage for more information on face covering, physical distancing, and cleaning guidance.

Residential Real Estate (occupied and vacant)
• Real estate agents and buyers should selectively choose a few houses to “view” after reviewing virtual tours, if available, property disclosures, and any other property documentation.
• Only principal parties to the transaction, e.g. any person signing the purchase and sales agreement, deed, and/or mortgage, will attend the walk-through with the real estate agent.
• The real estate agent and principals will wear cloth face coverings and one-use disposable gloves or hand coverings during the walk-through.
• The seller may choose to require shoe coverings for all visitors to the property including agents, principals, inspectors and appraisers.
• Building inspectors will wear a cloth face covering and gloves when entering the properties. The real estate agent and principals may attend the building inspections wearing cloth face coverings and one-use disposable gloves or hand coverings.
• Appraisers to use all efforts to not enter the home. If it is necessary to enter the home, the appraiser will wear a cloth face covering and one-use disposable gloves or hand coverings. Only the appraiser and the real estate agent are to be present.

[phoebesmom]

We almost bought a beautiful house in Searsmont and I still think about it. It was just that my folks are in a nursing home in Portland and I know I am going to be down there constantly, and I thought the drive would be difficult since I'm still working part-time.

I didn't want to spend the next year in my car, and my grandchildren are also in Portland, and I thought I'd get to see more of them if we were closer.

We bought closer to Portland in the Lakes area, which is nice, but I still like where you are going the best. It is a wonderful area--I really liked Searsmont because you are so close to Belfast. the other house we almost bought was in Nobleboro, which was close enough to Portland for my parents; it would have been great, but it went off market and then pandemic hit. So not this time.

I guess Nobleboro would be my choice because you have Damariscotta and all the Rockland shopping, and you can get up to Belfast or down to Portland easily.