Illinois REALTOR® October 2020 by Illinois REALTORS®

OCTOBER 2020

THE VOICE FOR REAL ESTATE IN ILLINOIS

Looking to the future of real estate

www.IllinoisRealtors.org

THE OFFICIAL PUBLICATION OF ILLINOIS REALTORS® ILLINOIS REALTOR® October 2020

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TABLE OF CONTENTS OCTOBER 2020

04 Inside Track

Remote office must-haves

05 President's Message

New leadership, new programming – continued resiliency and success

06 Quick Takes

• Ten REALTORS® will serve in leadership roles for NAR in 2021 • Housing report shows growing gap between rent and wages

New tools to help your business, your career and your community

Sullivan retires after 31-year lobbying career

Resources you need in the post-pandemic and evolving business environment

• Freddie Mac webinar series on mortgage products, homebuyer resources and more

8 Legal Update

Multiple offer and procuring cause legal dilemmas

11 Infographic

8 home financing programs

29 RVOICE

Election 2020: REALTOR® vote as important as ever

34 Education 36 Ethics

Advertising and unauthorized access lead ethics complaints

38 Community

Miller uses learning experiences to point Illinois REALTORS® forward in 2021

The toughest sale you ever had

REALTORS® bring resources and communities together

Editor's note

The names of Bruce Kaplan, Andy Miller and Suzanne Miller should have been included in the 2020 RPAC Pacesetters ad in the July issue of Illinois REALTOR®. Our apologies and we want to thank them for their continued support of the REALTORS® Political Action Committee.

Gary Clayton: Building a foundation and legacy for Illinois REALTORS®’ success

Len Taylor closes the books on Illinois REALTORS® career

ILLINOIS REALTOR® October 2020

INSIDE TRACK What’s one must-have for your remote office? A stabilizer (holds your phone steady) to video record properties while talking to clients over FaceTime. I use the DJI Osmo Mobile 3 Combo. Suzanne Miller

Jim Maloof/REALTOR®, Peoria

ILLINOIS REALTORS®

THE VOICE FOR REAL ESTATE IN ILLINOIS 2020 OFFICERS President Ed Neaves eneaves@thesnydercompanies.com President-elect Sue Miller, ABR, BPOR, C2EX, CRB, CRS, GRI, ePro, LTG, PMN, SFR, SRS smiller001@aol.com Treasurer Ezekiel "Zeke" Morris zekemorris@zekemorris.com Chief Executive Officer Gary Clayton, CAE, RCE Deputy Chief Executive Officer Jeffrey T. Baker

Dropbox! It doesn’t matter what device I’m using. I always have access to everything. Kari Christensen

Providence Residential Brokerage, Elgin

High level WiFi is a must! Tracey Royal

TEAM Real Estate Services, Oak Park

A green screen and tabletop tripod for video calls. Alice Weinert

Haven & Loft Realty, Chicago

My phone apps, Homesnap and ShowingTime. They keep me connected to MLS wherever I am. Liz McDonald

The McDonald Group, Champaign

Executive Vice President Kristen Butcher, CMP Vice President Marketing and Communications Anthony Hebron Senior Editor Stephanie Sievers Content Marketing Specialist Bill Kozar Graphic Designer David Hine For advertising information contact: Advertising & Sponsorship, 217-529-2600, info@IllinoisRealtors.org ILLINOIS REALTOR® (ISSN 0744-221) is published four times a year during the months of January, April, July, and October by Illinois REALTORS®, Post Office Box 19451, Springfield, Illinois 62794-9451. Periodical postage paid at Springfield, Illinois and at additional mailing offices. Postmaster: Send address changes to: ILLINOIS REALTOR®, Post Office Box 19451, Springfield, Illinois 62794-9451, 217-529-2600. Opinions expressed in any signed articles of ILLINOIS REALTOR® are those of the author and do not necessarily represent the opinions of Illinois REALTORS®. Advertising of product or services does not imply endorsement. Advertising rates are available at www.IllinoisRealtors.org or on request. A nnual dues of every REALTOR®, REALTOR-ASSOCIATE®, and Affiliate member include $3 for a one-year subscription to the ILLINOIS REALTOR®.

VOLUME 57: NUMBER 4

Have a daily schedule and be consistent. Elaine Dubois

ARNI Realty Incorporated, Des Plaines

Comfortable shoes! I find that I am getting in way more steps even around my house. Don Hampton

Southwestern Real Estate, Wheaton

Answers are the personal opinions of the members and do not constitute endorsements or sponsorship by Illinois REALTORS®.

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PRESIDENT'S MESSAGE New leadership, new programming – continued resiliency and success

Ed Neaves

2020 President

2020 has given us a peek into the future. It showed our resiliency and the importance of the real estate industry. In this edition, you will read that your Illinois REALTORS®, through careful planning, is now equipped for continued resiliency to help you and the industry thrive moving forward. We have started a well-thought-out strategic and smooth leadership transition. Sue Miller now presides over the Board of Directors. In January, after 33 years, Gary Clayton turns the CEO reins over to the well-capable hands of Jeff Baker, who joined Illinois REALTORS® as legal counsel and has worked in various capacities with the association since 2014. During the pandemic, Gary, Jeff and others huddled countless hours identifying ways to help you maintain your business through whatever

becomes the “new normal.” They leveraged our collective advocacy strength to secure a Governor’s Executive Order for you to continue operating your business during the COVID-19 shutdown. Just last week, they announced a new online diversity and inclusion resource toolkit for you, additional scholarships for minority students and grants to have diversity and inclusion programs created just for your business. They are now instituting a new programming foundation to help you revitalize your business, identify the opportunity to grow and learn, and use your influence to advocate for homeowners and private property rights. It’s called ROI. I’m very excited about our future and plan to remain very engaged. I recommend you do the same!

Ed Neaves Illinois REALTORS® President

ILLINOIS REALTOR® October 2020

QUICK TAKES Ten Illinois REALTORS® will serve in leadership roles for the National Association of REALTORS® in 2021.

Michelle Mills Clement Global Business Councils Forum

Matt Difanis

Professional Standards Interpretations and Procedures Advisory Board

CHAIR

Patrick A. Dalessandro

Mabél Guzmán

Property Management Forum

Insurance Committee VICE CHAIR

VICE CHAIR

Moses Hall

Commercial Economic Issues and Trends Forum CHAIR

Kim McCoy

AEC-REC Certification Advisory Board VICE CHAIR

Maurice L. Hampton

Matt Silver

Federal Legislative and Political Forum

CIPS Advisory Board

CHAIR

Rebecca Thomson

Sarah Ware

Smart Growth Advisory Board

Strategic Thinking Advisory Committee

VICE CHAIR

Housing report shows growing gap between rent and wages

There is a growing gap between the cost of housing and the hourly wage needed to afford a place to rent, according to the National Low Income Housing Coalition’s annual report, “Out of Reach: The High Cost of Housing 2020.” Rental housing affordability is an issue everywhere, including Illinois, where the hourly wage needed to afford a two-bedroom rental is $21.30, according to the report. At Illinois’ current minimum wage of $10/hour, someone would have to work 85 hours a week to afford that two-bedroom rental. Read the full Out of Reach report at: reports.nlihc.org/oor 6

www.IllinoisRealtors.org

Illinois

18th

Highest Housing Wage

21.30/hr

Required to afford a 2 bedroom rental home

85/wk

Hours of work needed at the minimum wage to afford 2 bedroom rental home

Source: National Low Income Housing Coalition

In-law suites and other accessory dwelling units becoming more popular

Accessory dwelling units (ADU) go by a variety of names — in-law suites, garage apartments, granny flats — but the concept of a smaller, self-contained living unit on an existing property is becoming more popular, particularly in high-cost areas of the country, according to a new study by Freddie Mac. Freddie Mac identified 1.4 million ADUs in the country, more than half of which are in California, Florida, Texas and Georgia. But the Chicago metro area, with 13.7 percent year-over-year average growth, did make the list of top 25 metropolitan areas with the fastest growth in ADUs entering the MLS market for the first time. bit.ly/AccessoryDwellings

Three-part Freddie Mac webinar series highlights affordable mortgage products, homebuyer resources and more

Did you know that Freddie Mac offers a variety of lending products and resources for homebuyers at many levels of entry? Or that there are products available specifically for those considering an aging property or looking to improve energy efficiency? Freddie Mac created three one-hour webinars for Illinois REALTORS® and you can now stream them at our convenience. Watch them now. www.IllinoisRealtors.org/ROI/Opportunity

ALL FOR

HOME

Take the implicit bias test

REALTORS® are committed to fair and accessible housing for everyone, but your unconscious perceptions or stereotypes of particular groups could be affecting how you interact with clients. NAR has a training video, “Bias Override: Overcoming Barriers to Fair Housing,” with strategies to help you recognize bias and overcome it. bit.ly/NAR_BiasOveride

Text messaging was the preferred method for REALTORS® to communicate with their clients (94%) followed by email (91%) and a telephone call (89%). bit.ly/RealtorsPreferTexting Source: NAR 2020 Member Profile

ILLINOIS REALTOR® October 2020

LEGAL UPDATE How to handle multiple offer and procuring cause legal dilemmas

Anneliese Fierstos Illinois REALTORS® Legal Hotline Attorney

MULTIPLE QUESTIONS ABOUT MULTIPLE OFFERS

Have a legal question?

Illinois REALTORS® Legal Hotline is the Designated REALTOR®/ managing broker’s go-to source for legal information. Hours: 9 a.m. - 4 p.m. Monday – Friday Phone: 800-952-0578 Email: afierstos@ IllinoisRealtors.org. 8

www.IllinoisRealtors.org

Due to a shortage of homes available on the market for both lease and sale, more properties are in high demand. As a result, many REALTORS® are faced with questions of how to navigate the complex world of presenting and negotiating multiple offers on the same property, and how to handle other complex issues that arise in the world of multiple offers. There is no exact template on how to handle multiple offer situations. REALTORS® must focus on their duties to their clients and to other parties to the transaction. The problem with multiple offers is that only one of the offers will result in a sale, and the remaining buyer or buyers will ultimately be disappointed. Therefore, REALTORS® need to keep in mind that the best way to handle these situations is through honest communication with all parties, subject to the client’s lawful direction. The following questions related to multiple offer situations have been arising frequently on the legal hotline:

I am the seller’s agent and I have received several offers on the same property. Should I disclose to a buyer submitting an offer that there is another offer on the same property? Sellers have several options on how to deal with multiple offers, and although the listing broker can offer suggestions and advice, the final decision on how to deal with a multiple offer situation is dictated by the seller. Sellers can accept the “best” offer; they can inform all potential purchasers that other offers are “on the table”; they can “counter” one offer while putting the other offers to the side awaiting a decision on the counteroffer; or they can “counter” one offer and reject the others. There is no legal requirement for a REALTOR® to disclose to all buyers that there is another offer on the table. Ultimately, the decision whether or not to make that disclosure falls upon the seller. The REALTOR® Code of Ethics, Standard of Practice 1-15 requires disclosure only with permission from the seller. The Code further states that “Where disclosure is authorized,

REALTORS® shall also disclose, if asked, whether offers were obtained by the listing licensee, another licensee in the listing firm, or by a cooperating broker.” In some cases, after an offer is presented, the buyer’s client is concerned about whether the offer was actually presented to the seller. Standard of Practice 1-7 provides “Upon the written request of a cooperating broker who submits an offer to the listing broker, the listing broker shall provide, as soon as practical, a written affirmation to the cooperating broker stating that the offer has been submitted, or a written notification that the seller/landlord has waived the obligation to have the offer presented.” I am the buyer’s agent, and I have two clients that I anticipate will want to make an offer on the same property. What are my responsibilities? A shortage of real estate on the market also creates issues for buyers’ agents. Often a piece of real estate will appear to be perfect for more than one of an agent’s clients and result in two clients wanting to make an offer on the same property and at the same time. These are called “contemporaneous offers.” Under 15-15(b) of the Real Estate License Act [“the Act”], a licensee does not breach a duty to either client by showing the same property to multiple clients or by preparing contemporaneous offers to purchase or lease the same property. However, the Act does require that the licensee provide written disclosure to the clients for whom the contemporaneous offers are being prepared and the licensee must refer any client that requests a referral to another designated agent. The issue is further

addressed by the Illinois Administrative Code which clarifies the timing of when written disclosure to the parties making contemporaneous offers must be as the time the licensee “knows or has reason to know” that offers will be taken under consideration by a seller or their representative at the same time. In other words, as soon as a licensee becomes aware that a contemporaneous offer situation may arise, they should make written disclosure to both clients and consider the option of referral to another designated agent. Article 15 of the Act provides that a disclosure needs to be given by a designated agent to two or more buyers when contemporaneous offers are being made for the same property in both a lease situation or a purchase transaction. The important thing to recognize is that when a designated agent is representing two or more prospective buyers or tenants interested in making an offer on the same property at about the same time, then those prospective buyers or tenants have a right to know the designated agent is involved in both offers. The parties may then choose to continue to work with the designated agent or they can ask for other representation. Duties of confidentiality to both buyers remain. As a seller’s agent, how do I deal with a multiple offer situation in which a buyer has written an escalation clause into their contract? An escalation clause in a real estate contract is a clause that a buyer uses to say: “I will pay X price for this home, but if the seller receives another offer that's higher than mine, I'm willing to increase my offer to a capped price of Y.” Or another example: “I will pay X above the

highest offer presented by another buyer.” These clauses can be problematic. Escalation clauses can create a false sense of security in a buyer, because they often feel that the clause is an absolute guarantee that they will ultimately have the highest offer on the desired piece of real estate. However, escalation clauses can actually place the buyer at a disadvantage because the capped price (the highest price named by the buyer to which they are willing to escalate) can create an expectation in the seller how much they are willing to accept for the property. In other words, the buyer has “shown their cards” to the seller, and it is not unlikely the seller could simply counter at the capped and eliminate dealing with the clause all together. Now imagine a scenario in which two buyers submit offers with escalation clauses. In that case, it is likely that the clauses would push the buyers’ offers to the very top of what they are actually willing to pay for the property. In these situations, a seller needs to be wary. Until the contract is finalized and executed, a buyer’s offer with an escalation clause is really just the buyer requesting a rightof-first refusal. It is also possible that the escalation clause was only a negotiating technique and pushed the buyer far above what they may be willing or able to pay. In order to avoid such a stressful and confusing situation, a seller can state to all buyers that they will not accept an offer with an escalation clause and will only consider offers with exact dollar amounts and clear terms. In cases of escalation clauses, it is always a good idea to have the clauses reviewed by independent legal counsel for the parties involved. ILLINOIS REALTOR® October 2020

LEGAL UPDATE PROCURING CAUSE AS THE MARKET HEATS UP

Procuring cause questions have been a very hot topic for the legal hotline. This appears to be the combined result of a shortage of properties on the market during the pandemic and buyers getting excited about the current low interest rates. At any rate, buyers are scrambling to look at properties with any agent they can find available the moment a property becomes available without taking into consideration how this practice impacts the buyer’s agents. The most frequent scenario presented to the hotline has been when a buyer views a property with one agent, and then returns to the same property with another agent and makes an offer. Often, the first agent to show the property feels entitled to some portion of the offer of compensation and makes that demand upon the buyer, new licensee involved, or the listing agent after closing. It is important to remember, there is no concrete rule to help determine who is the procuring cause. Being the first REALTOR® to show a buyer a property will not be the defining factor. The National Association of REALTORS® (NAR) “Code of Ethics

and Arbitration Manual,” provides a definition of procuring cause that goes something like this: The procuring cause will be the agent who originated the chain of events, without abandonment (agent leaving client) or estrangement (client leaving agent), that leads to the successful sale with that buyer. Because there are so many factors involved in these situations, the Illinois REALTOR® Legal Hotline will never offer an opinion on which party is the procuring cause. Often, a final resolution requires arbitration or settlement. An arbitration hearing panel would need to consider all the facts and circumstances presented by both sides of the argument and determine who best fits within the definition of procuring cause. NAR produced a 17-question “Arbitration Worksheet” available at www.nar.realtor that lists pertinent questions for the panel to ask in a hearing. (To find it, use NAR’s Google search option and type in “procuring cause.”) The worksheet features some columns to help guide the decision

makers as they consider the facts and the answers to the questions. The Legal Hotline Attorney will not give you an assessment of your chances of success (or failure) in a procuring cause hearing. In lieu of arbitration, members might consider using the Illinois REALTOR® Ombudsman Program. Through the program, any member of the public or an association member who has a question about or dispute with a REALTOR® can get assistance by filing a request on the webpage. www.IllinoisRealtors.org/ Ethics/Disputes Upon receiving a request for assistance, the case will be assigned to a specially trained Ombudsman who will work with the parties in a dispute to resolve the issue, often to the satisfaction of both parties. The program does not offer legal advice, but Illinois REALTORS® representatives can offer guidance on next steps to take, resources for information and can act as intermediaries in some disputes. The program is a cost-free and effective way to deal with disputes like procuring cause.

Learn more about procuring cause in Illinois REALTORS® Legal A-Z www.IllinoisRealtors.org/Legal/Legal-A-Z/Procuring-Cause

STATEMENT OF OWNERSHIP, MANAGEMENT AND CIRCULATION ILLINOIS REALTOR® (ISSN 0744-221) is published four times a year (January, April, July, October) for $3.00 per year by the Illinois REALTORS®, The offices of publication and the headquarters and general business offices of the publisher, Gary Clayton, are located at 522 S. Fifth Street, P.O. Box 19451, Springfield, Illinois 62794-9451. The sole owner of the publication is the Illinois REALTORS® at the address listed above. There are no known bondholders, mortgage or other security holders. I certify that the information stated is true and complete ~ Stephanie Sievers, Senior Editor

www.IllinoisRealtors.org

Total # copies (net press run) Paid/requested subscriptions Sales through dealers and carriers Other classes mailed through the USPS TOTAL PAID DISTRIBUTION Free distribution by mail Free distribution mailed at other classes Free distribution outside the mail Total free distribution TOTAL DISTRIBUTION Copies not distributed TOTAL Percent paid

Avg. # copies ea. issue during last 12 mos. 49,722 48,268 0 4 48,272 22 34 0 56 48,328 1,394 49,722 99.82%

Actual # copies single issue nearest filing 50,161 48,443 0 4 48,447 22 45 0 67 48,514 1,647 50,161 99.86%

BUYING POWER

8 home financing programs to help buyers get into a home Homebuyers often think they need 20 percent or more for a down payment, but the actual amount is often far lower and there are a variety of down payment assistance and mortgage financing programs available to make buying a home more affordable.

ILLINOIS PROGRAMS

NATIONWIDE PROGRAMS

Home Possible Mortgage

IHDA Mortgage The Illinois Housing Development Authority (IHDA) offers a variety of mortgage and down payment assistance products for Illinois homebuyers who meet income and other program guidelines: •

Freddie Mac version of the 3 percent down payment mortgage is open to very low- to low-income borrowers who are first-time or repeat homebuyers. A credit score is not necessary and the source of the down payment is flexible.

Access Forgivable – Up to $6,000 in down payment assistance

•

Access Deferred – Up to $7,500 in down payment assistance

•

Access Repayable – Up to $10,000 in down payment assistance

•

1stHomeIllinois – Available to first-time buyers in Cook, Marion, St. Clair and Winnebago counties only. Buyers get $7,500 in down payment assistance.

www.IHDAmortgage.org

Finally Home This Illinois State Treasurer’s Office program helps Illinois residents who might not qualify for a conventional loan purchase or refinance a home. Finally Home guarantees up to 10 percent of a qualifying loan. www.IllinoisTreasurer.gov/ Individuals/Finally_Home

bit.ly/FM_HomePossibleMortgage

FHA Loans Federal Housing Administration (FHA) insures loans with down payments as low as 3.5 percent, affordable closing costs and the ability for borrowers with less-thanperfect credit to qualify. FHA maximum loan limits can vary by county and state. bit.ly/AboutFHAloans

HomeOne Mortgage Freddie Mac’s first-time homebuyer solution that features a 3 percent down payment and maximum financing. There are no geographic or income limits for borrowers. bit.ly/HomeOneMortgage

HomeReady Mortgage

USDA Guaranteed and Direct Loans

Fannie Mae offers a mortgage with a 3 percent down payment for low-income, first-time and repeat buyers. Additional income sources are considered and coborrowers (parents for example) don’t have to live in the home.

U.S. Department of Agriculture (USDA) program assists low- and moderateincome consumer buy homes in eligible rural areas. The low-interest, fixed rate loans can be used to build, rehabilitate, improve or relocate a dwelling.

www.KnowYourOptions.com/ HomeReady

bit.ly/USDAsinglefamily

VA Home Loans Available to qualifying veterans, active military members and eligible surviving spouses, these loans are guaranteed by the U.S. Department of Veterans Affairs and don’t require a down payment or mortgage insurance. www.Benefits.VA.gov/HomeLoans

www.IllinoisRealtors.org ILLINOIS REALTOR® October 2020

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New tools to help your business, your career and your community

Illinois REALTORS® offers resources you need in the post-pandemic and evolving business environment By Stephanie Sievers, Senior Editor

n the midst of the COVID-19 pandemic, Illinois REALTORS® CEO Gary Clayton and Deputy CEO Jeff Baker were thinking ahead of how the association could best serve members as they moved into a business environment and world that had changed. Real estate is a business built on personal connections, but more of those are shifting online. Communities are coping with the economic fallout of the pandemic. And consumers want insight on what is ahead for the housing market To help members thrive in these changing times, Illinois REALTORS® has collected and created resources to give you all the tools you need for a new kind of ROI:

What does ROI mean to you?

You’ll find information to help you strengthen your communities, promote innovation and growth, experience new perspectives and seize opportunities to help others. In short, you will find the tools you need to improve your industry, your community and yourself.

u Revitalize – our business, our communities, our state u Opportunity – to grow, to learn and to serve u Influence – to advocate for homeowners and private property rights in Illinois “The goal of ROI is to contribute to the success and growth of Illinois and its communities,” says Baker, who will take over as the association’s CEO in 2021. “Illinois REALTORS® is working to advance policies that bring housing stability and economic growth not just to existing economic centers but also to historically underserved and disproportionally impacted neighbors. Illinois REALTORS® will use ROI to help achieve that mission.”

Continued on next page u

Find these resources and more at www.IllinoisRealtors.org/ROI

ILLINOIS REALTOR® October 2020

Revitalize

After the upheaval from COVID-19, now is a good time to hit the reset button and reinvigorate your business and community. First, ROI is providing some of the concrete information you need to run your business now as the pandemic continues. It includes office checklists, information you can share with your clients about saving their homes if they are facing financial hardships, news about factors impacting the housing market and even a tip sheet to share with clients about the benefits of selling during the current low inventory. Revitalization also means restoring local communities and REALTORS® — who pride themselves on being enthusiastic community boosters — have been out in force, working to build stronger communities. Some of these projects are highlighted in Community on pages 38-39. REALTORS® from all areas of the state have delivered food to healthcare workers, collected donations for

humane societies and pushed up their sleeves to beautify parks and natural areas in their communities. Illinois REALTORS® will be sharing the stories of their good works and the resources for National Association of REALTORS® Placemaking Grants and Community Rebuilding Grants to help more REALTORS® revitalize their communities.

Revitalize Resources u Video: Operating your office in the “new normal” u Protect Your Investment Guide download u Protect Your Credit Guide download u Considerations for offices in Phase 4 u NAR’s Workplace Re-entry Checklist u Illinois housing market stats and forecasts

Illinois REALTORS® is committed to helping our members and industry grow and providing all the tools and resources to help them do that. ROI: Revitalize, Opportunity and Influence will serve as a roadmap to make that happen.

www.IllinoisRealtors.org

Opportunity

Challenges can often bring the greatest opportunities for reinvention and innovation. ROI will provide resources to help grow and develop not just your business, but also yourself — both personally and professionally. As part of ROI, Illinois REALTORS® will be putting a greater focus on improving diversity and inclusion. You can test your own implicit biases and find videos and information on ways to foster greater access to fair and affordable housing for all Illinois residents. Illinois REALTORS® is also partnering with the Illinois Real Estate Educational Foundation (REEF) for a two-part grant/scholarship initiative to increase diversity in the state’s real estate industry. A new Diversity/Inclusion Grant Program will provide grants of up to $1,000 to firms and offices, enabling them to work with diversity and inclusion trainers to develop virtual programs tailored to their offices. And the Illinois Minority Real Estate Scholarship will be expanded with Illinois REALTORS® and REEF allocating money for 40 additional scholarships. When coupled with the 60 provided by the Illinois Department of Financial and

Professional Regulation (IDFPR), it brings the total to 100 annual scholarships aimed at encouraging more racial minority residents to pursue real estate careers. For more information about the scholarships and grants visit www.ilreef.org. Illinois REALTORS® is also working to bring more general educational tools directly to you. Earlier this year, the association partnered with Freddie Mac for a three-part webinar series on everything from homebuyer resources to specific lending products for older housing stock. The goal is to be a leader in offering members enhanced opportunities to learn, grow and lead.

Opportunity Resources u Freddie Mac Webinar Series – three videos offering financing, housing counseling and preservation resources u NAR’s Pivot in Place videos share expert tips and updates u NAR’s Bias Override overcoming barriers to fair housing u Take the Implicit Bias Test

Influence

REALTORS® are successful and influential advocates for real estate and homeownership at every level of public policy. That was never more evident than in the early days of COVID19 when Illinois REALTORS® successfully pushed to ensure that real estate be deemed an essential service while the state was under stay-at-home orders. Because of that success, and efforts to make sure notarial acts were allowed to be executed remotely, REALTORS® were able to work, represent their clients and make sure the vital economic engine of the housing market kept moving in Illinois. Illinois REALTORS® have built relationships that get things done. When the inspections that are required for home purchases in Belleville were put on hold for more than 70 days this spring because of the pandemic, area REALTORS® and their Governmental Affairs Director Ron Deedrick lobbied the city to get the inspection process resumed. When conditions prevented the association’s Federal Political Coordinators (FPCs) from meeting with members of the Illinois Congressional delegation, the elected

officials made themselves available to meet for Let’s Talk Real Estate discussions on Zoom because of the influential relationships that have been built over the years. REALTORS® have shown they can wield positive leadership and influence to help policy leaders make good decisions. Under ROI, Illinois REALTORS® will build on that influence by taking a more proactive lobbying approach to push for positive changes in both the industry and public policy. That influence can be used to advance new ideas and structural change that other advocacy groups wouldn’t be able to tackle.

Influence Resources u Evictions and Emergency Rental Assistance from IHDA: FAQs answered u Capitol Conference @Home u Guidance on Open Houses and Tenant-Occupied Properties u RELA Rewrite u REALTOR® Party Housing Opportunity Grants

ILLINOIS REALTOR® October 2020

Illinois REALTORS® 2021 President Sue Miller enjoys the view from the McHenry Riverwalk pedestrian bridge.

Miller uses learning experiences to point Illinois REALTORS® forward in 2021 By Bill Kozar, Content Marketing Specialist

ducation has played a major role in Sue Miller’s life, in her development as a real estate professional and eventually becoming the Illinois REALTORS® 96th president in 2021. The lifelong McHenry resident has used her love of learning to shape her own career, help colleagues develop and lend a hand to the families and friends of REALTOR® members. It is part of the reason the managing broker for Coldwell Banker Real Estate Group says, “Real estate isn’t buying and selling. It is teaching the public to make better decisions.”

www.IllinoisRealtors.org

After earning a bachelor’s degree in education, Miller taught for a year, then worked in a veterinarian’s office, ran a resale store and dabbled with rehabbing properties before she decided that selling real estate might be her best career option. “My grandfather was a developer and my grandmother was a silent developer, before women could work in that profession, the driving force behind my grandfather’s success,” she says. “So real estate is in my DNA. I saw the connection with it as a teacher/mentor.” Miller enjoyed the pre-license and

post-license training so much that she became a broker and an industry trainer. Over the years, she has earned 11 designations: ABR, BPOR, C2EX, CRB, CRS, GRI, ePro, LTG, PMN, SFR and SRS. She has advocated for rigorous standards for trainers, and she’s leaned on the advice of more experienced professionals to shape her thinking and the ways she runs her own business. Early influences in her career she says, included positive reinforcement from her grandmother, her stepfather, her fourth-grade teacher, former local association executives Yvonne Beer,

Gerri Keating and Peggy Kayser. And one of the first persons she worked for in her real estate career played a key role. “Jim Schaid, the broker-owner of RE/MAX Plaza, told me I had to give back to the real estate industry,” says Miller. “He encouraged me to get involved in the local association and work on committees. REALTORS® Toni Sherman, John C. Kmiecik and Jim Kinney all helped me as leaders. They taught me to develop others as future leaders through our phone calls, Facebook posts and faceto-face conversations.” REALTORS® Lynn Madison and Sue Wiskowski-Fair as well as Illinois REALTORS® General Counsel and Vice President of Legal Services Betsy Urbance continue to inspire her and provide a wealth of valuable information. Wiskowski-Fair, a broker for Realty Executives Premiere in Aurora, says, “I view her as a bright, able and thoughtful REALTOR®. She doesn’t always say ‘yes,’ and that is a good thing. She won’t go along to get along.”

Sue Miller adopted Blanche from a rescue and offers books for McHenry residents to borrow from the mini library outside her home.

What will it be like in 2021?

As REALTORS® across Illinois strive to safely serve consumers in the wake of the COVID-19 pandemic, Miller is hopeful the economy, the industry and local communities will continue to adapt to changing conditions. “As the 12th woman president, I have a once-in-a-lifetime opportunity,” says Miller. “We’re making succession plans, analyzing everything. My role is to be the messenger for Jeff (Baker, who will become Illinois REALTORS® CEO in 2021). “We’re all coming out of the pandemic looking forward. Welcome to 2021. It’s going to be difficult, but it’s going to be OK,” says Miller. “The pandemic has affected everyone. We

All photos by Brilliant Bee Photography LLC

need to help our members find their way back to normal. Everyone knows me. If there’s anything good, I will try to maximize the opportunity through ROI (Revitalize, Opportunity, Influence). “I want to make sure the Real Estate Educational Foundation (REEF) becomes more visible to our members. It’s done a lot of good over the years. We’ve given out nearly $800,000 in scholarships so far, and we’ve invested that in our industry. I want to continue

to drive great ideas through our leadership so that legacy can continue for the next 20 years.” Miller served on the REEF Board of Directors from 2009 through 2019. In 2017 and 2018, she led the foundation as its president. According to Kinney, she effectively lobbied the Illinois REALTORS® Board of Directors to dedicate a small portion of each association member’s annual dues to be given to REEF every three years. ILLINOIS REALTOR® October 2020

10 questions with Sue Miller 1) How would you describe your leadership style? Consensus/ Team/Collaborate - discuss and build - work together - all for one and one for all! 2) What has been your greatest accomplishment, personally or professionally? Learning to influence others effectively, as a real estate professional, a leader, a teacher, a volunteer or as a resident of McHenry. 3) What is your favorite part of the real estate business? No two days are alike and assisting others in making their best decisions. 4) What is the best real estate advice you ever received? Best life advice ... two ears, one mouth. Listen twice as much as you speak. 5) If you weren’t a REALTOR®, what would your other dream job be? Real Estate Educator/ Speaker/Lawyer 6) What do you like to do with your free time? Tinker, garden, wander, cook, fix things 7) What is your favorite vacation destination? Anywhere “UP north” 8) What’s the last good book you read? Mandela’s Way: Lessons for an Uncertain Age by Richard Stengel 9) What’s something people would be surprised to know about you? I own a gravel pit and an auto shop that specializes in hot rods. I love cars. 10) If you could have lunch with anyone, alive or dead, who would it be? Abraham Lincoln and Amelia Earhart, two loves of my life, together.

www.IllinoisRealtors.org

REEF, GRI and paying it forward

“Sue and I have been friends for a long time,” says Kinney, the Illinois REALTORS® 2015 president and a longtime supporter of REEF. “We’ve served on many committees together, we were both GRI Governors. She has always been a leader. “When you run your own company, you have to be on the cutting edge to stay competitive,” says Kinney. “That’s something that always meant a lot to me, and I know it meant a lot to Sue.” Dixon-area REALTOR® Vicky Turner of Crawford Realty, LLC, says she got to know Miller better when they served as GRI Governors, monitoring adult students during testing.

“ We’re all coming

out of the pandemic looking forward. Welcome to 2021. It’s going to be difficult, but it’s going to be OK. ” “When you think of the REALTOR® family, she is like a ‘friendship ambassador,’” says Turner. At state or national REALTOR® events, Miller seeks out members who look alone and in need of a friendly welcome. “I was once one of those people, coming from a small association and a rural area. One of her biggest attributes is to make you feel completely comfortable. She is so friendly and so welcoming to everyone. “Her kindness has stayed with me, and I try to do the same whenever I see someone who might need help

navigating an Illinois REALTORS® event,” she says. “In fact, you will find many REALTORS® who have benefited from that same experience with Sue and continue to pass it on.” Heartland REALTOR® Organization CEO Jim Haisler says: “I’ve worked with Sue Miller for 14 years and right from the start she proved herself a leader. She helped me develop relationships and my own leadership skills. She has been a true asset to the industry and to me personally. The more I got to know her, I could see her influence on the state and national levels, too.”

Involvement and influence

Miller has been a member of several local associations during her career, twice a local president and once a local REALTOR® of the Year. On the state level, she has been involved with numerous committees, task forces and working groups during the last 20 years. She was part of the 2014 Leadership Development Class, and has chaired the Grievance Committee, the Ethics Citation Panel, the Business Issues and License Law Forum, the Strategic Planning Committee, the Education Working Group and the Finance Committee. In 2013, she received the Illinois REALTORS® Distinguished Service Award, and in 2017, she was honored as the state REALTOR® of the Year. Miller also has a history of community involvement. She’s held leadership positions with the McHenry Nunda Public Library District, the Riverside Area Business Association and the Imagine McHenry County nonprofit growth planning group. She has been a longtime board member for the McHenry Elementary Foundation and the McHenry Chamber of Commerce.

In 2016, she received the McHenry Chamber of Commerce Woman of Accomplishment Award. But it was in 2019 that she took on one of her greatest challenges – running for McHenry Ward 7 alderwoman. She gave considerable thought to the idea before deciding she could make a positive impact. Miller says the growing city is at a tipping point so when the only female member of the city council stepped down, Miller agreed to replace her, with the goal of adding a REALTOR® perspective while also moving a community-focused agenda forward. “REALTORS® understand the value of property ownership and taxes, and we have learned the importance of educating, advocating and communicating our ideas to all stakeholders,” she says. “City government typically makes slow decisions and forgets to tell the whole story. I can help with that.”

Sue Miller was elected McHenry’s Ward 7 Alderwoman in 2019.

2021 ILLINOIS REALTORS® LEADERSHIP

PRESIDENT

Sue Miller

ABR, BPOR, C2EX, CRB, CRS, GRI, ePro, LTG, PMN, SFR, SRS Managing broker Coldwell Banker Real Estate Group in McHenry

PRESIDENT-ELECT

Ezekiel “Zeke” Morris

Owner-designated managing broker EXIT Strategy Realty/EMA Management South Side of Chicago

TREASURER

Michael Gobber

GRI, CNC, CSC, CIPS, ABR Managing broker-partner Century 21 Affiliated in Westchester

IMMEDIATE PAST PRESIDENT

Ed Neaves

Designated managing broker Berkshire Hathaway HomeServices Snyder Real Estate in Bloomington

ILLINOIS REALTOR® October 2020

Gary Clayton:

Building a foundation and legacy for Illinois REALTORS®’ success By Stephanie Sievers, Senior Editor

n 33 years as Chief Executive Officer of Illinois REALTORS®, Gary Clayton has built a reputation as a strategic visionary; someone who is always thinking two or three steps ahead. In the late 1990s, when the association decided to bring community lobbying efforts in-house into what has become the Governmental Affairs Director program, Clayton didn’t just expand it, he perfected it into a local advocacy model that is used by other REALTOR® associations around the country. “One of the things that is trademark Gary in terms of his leadership and management style is identifying a need and coming up with an innovative way that not only addresses it, but also allows it to grow and deliver results exponentially over time,” says Greg St. Aubin, Illinois REALTORS®’ Senior Vice President, Governmental Affairs, who has worked for Clayton since 1987. Clayton has grown the association into a political and professional powerhouse. With more than 50,000 REALTOR® members from all areas of the state, the association is a nationally recognized industry leader when it comes to governmental advocacy, professional development, pursuit of high ethical standards and outreach to members. Clayton retires as CEO at the end of this year and Deputy CEO Jeff Baker will take over the leadership role beginning in 2021. But Clayton, who has long been the association’s biggest advocate, will remain involved and active in the Illinois REALTORS®’ mission and work.

“Gary’s visionary leadership has put us on a solid foundation to build upon in the future. I feel fortunate to have been able to work side-by-side with Gary for more than a year leading our organization through the pandemic and initiating new programming like ROI.” Photo by Terry Farmer Photography, Inc.

www.IllinoisRealtors.org

- Deputy CEO Jeff Baker

Building a better association

With a diverse professional background that included stints as a postal inspector for the U.S. Postal Service, deputy director of the Illinois Department of Law Enforcement’s Internal Investigation Division and finally, eight years as director of the Illinois Department of Registration and Education before moving to Illinois REALTORS®, Clayton has been the right leader at the right time. There is an often-told story that encapsulates his early and enduring commitment to the association and his determination to make sure it succeeded. When Clayton took the helm in 1987, the association was struggling financially. Just months into his new job, he signed for a personal line of credit to ensure that staff payroll was met until the organization was on stronger financial footing. It didn’t have to be used but it is the kind of steadfast, “taking care of business without a lot of fanfare” approach that has been indicative of Clayton’s tenure as CEO. Over the years, Clayton has grown the association with innovative programs, increased member engagement and a vision for improving the professionalism and stature of the real estate industry. Many of those ideas have become cornerstones of the association.

Professionalism at its best

One overarching goal has been increased professionalism not just for the association but also for every member. REALTORS® who are held to the highest education and professional development standards championed by Clayton are better prepared to serve their clients. In the early 1990s, the association pushed for continuing education (CE) to be required for all real estate licensees. Illinois REALTORS® eventually created its own CE and pre-license school to get members the training they needed. Under Clayton’s watch, Illinois REALTORS® has been involved in

Gov. Jim Edgar signing legislation into law requiring voter approval on Home Rule real estate transfer taxes in 1997. (l to r) REALTOR® Marion Valle, Julie Sullivan, 1997 Illinois REALTORS® President Pat Delssandro, Gov. Edgar, Clayton, Greg St. Aubin and REALTOR® Dick Lessner.

Breaking ground on the new headquarters in downtown Springfield in 2005. (l to r) 2005 Illinois REALTORS® President John Veneris, Clayton, 2006 President Stan Sieron, President-elect Bob Zoretich and Treasurer Kay Wirth.

Clayton and his wife Marsha at the association’s Inaugural Gala in 2015. Photo by Michael Hudson Photography

ILLINOIS REALTOR® October 2020

multiple license law rewrites and has taken an active role in shaping and improving the rules under which Illinois real estate professionals operate. In 2014, the association created one of the first Ethics Citation and Ombudsman programs to further improve adherence to the highest ethics and standards of practice. Illinois REALTORS® is consistently regarded in the industry as a state association to watch and has a long track record of its leaders and members serving at the national level. “Illinois REALTORS® shines a huge spotlight on the professional development of its members, leadership and staff,” says REALTOR® and professional development trainer Chris Read. “Gary Clayton, as only the best of leaders do, leads by example and is a master at empowering others to innovate, to create, to address issues head on, and to strategically improve services and resources for its members. Our state association has been so fortunate to have this man as part of our history and growth.”

Advocating in Springfield and beyond

Illinois REALTORS® is headquartered in the state’s capital city, but its political advocacy efforts are far-reaching and much of that can be attributed to Clayton and his vision for what is possible when it comes to representing

In 2010, a 32-member team representing Illinois REALTORS® volunteered on a Habitat for Humanity build in New Orleans, as part of rebuilding efforts on the Gulf Coast after Hurricane Katrina.

REALTOR® interests and advancing private property rights. One key to successful advocacy is support through the REALTOR® Political Action Committee (RPAC). Clayton, who in 2016 became the first Illinois member to achieve the $75,000 RPAC Hall of Fame for lifetime giving, has made supporting RPAC a priority for the association. With its strong advocacy efforts at the local, state and national levels, Illinois REALTORS® under the direction of Clayton, has become and leading and respected voice of real estate. Loretta Alonzo-Deubel served as president of Illinois REALTORS® in 2012. Earlier in her career, she was in the association’s first-ever Leadership

Development Class, led by Clayton. “That is when I became aware of his understanding of the advocacy process and how much he knew regarding our lobbying effects and the knowledge he had regarding the whole process,” she said. “Since then, I have seen Gary negotiate with Illinois officials regarding license law matters and other property-rights issues that have come up during many years. He always showed an even temperament, but I always knew that he had a passion and care for our profession.”

Developing leaders

A successful leader has a knack for recognizing and fostering the leadership potential of others and over the

Highlights from Gary Clayton’s tenure as CEO

1987 Clayton named Executive Vice President of Illinois Association of REALTORS®

1988

Spearheaded the creation of the Issues Mobilization Political Action Committee (IMPAC), a forerunner to the current RVOICE program

www.IllinoisRealtors.org

1990

In a move to increase industry professionalism, Illinois REALTORS® successfully pushes for continuing education for all licensees

1994 Association establishes what will become a favorite member benefit, a full-time Legal Hotline

1997

Clayton first named to NAR Board of Directors

2002

Clayton inducted into the Dr. Almon R. “Bud” Smith Association Executive Leadership Society, recognizing association management excellence

2004

Clayton is second person to receive the NAR Terry McDermott Community Leadership Award, recognizing community volunteer work

Leadership: Paying it forward

With the Bicentennial Plaza – A REALTOR® Community Partnership, REALTORS® played a role in creating a lasting legacy showcasing Springfield’s history and its ties to Abraham Lincoln and his vision for equal opportunity for all.

years, Clayton has made leadership development an integral part of the association’s work. Through committee work, leadership training programs and encouragement to serve in all levels of the REALTOR® organization, Illinois REALTOR® members are given opportunities to grow and become involved and many have come to view Clayton as a mentor. He has led by example, not just with his work for the state association, but also his ongoing service on a variety of committee and board leadership roles for the National Association of REALTORS® and in the greater community. When Hurricane Katrina devastated New Orleans and the surrounding Gulf

2005

Illinois REALTORS® breaks ground on new headquarters at 522 S. Fifth Street in Springfield

2009 Clayton receives the Illinois REALTORS® Distinguished Service Award for service to the real estate industry

area, Clayton and Illinois REALTORS® participated in multiple Habitat for Humanity builds. When natural disasters impacted Illinois communities, the association created the Illinois REALTORS® Relief Foundation to offer aid. The message was clear: Illinois REALTORS® step up when communities need them. Throughout his CEO career, Clayton has been lauded for his leadership efforts, but he has also created a lasting incubator within the association to instill those goals in others. Sheryl Grider Whitehurst served as president of Illinois REALTORS® in 2011. One of the things that always stood out to her was how Clayton would offer quiet

2011

Clayton receives the NAR Magel Award for Excellence, honoring association executives who have excelled in their role

2014

Illinois REALTORS® earns the NAR RPAC Triple Crown Award for the first time

2016

Illinois REALTORS® celebrates 100 years of advocacy, ethics and education in Illinois real estate

The Gary L. Clayton Scholarship has been established in 2020 as a tribute to his commitment to the REALTOR® organization and his dedication to leadership. The $1,000 scholarship will be open to Illinois REALTORS® to be used for the continuation and expansion of their leadership skills in a real estate-related field. The scholarship may be awarded for leadership training in a real estate-related field provided through the local, state or National Association of REALTORS®, its institutes, societies and councils and similar organizations. Learn more about how to apply at www.ilreef.org guidance, but he allowed and encouraged association officers to lead. Some CEOs might think it was their association, but Clayton always emphasized that it was the members’ association. “You knew you could ask him for his counsel, and he would step in if needed,” she said. “But other than that, he let you take on the role and gain the strength and experience to be a good leader.”

2018

Clayton was the driving force behind the Bicentennial Plaza – a REALTOR® Community Partnership. A marker commemorating the 50th anniversary of the Fair Housing Act was installed at the Plaza entrance.

2020

As he wraps up 33 years of leadership, Clayton is Illinois REALTORS®’ longest serving CEO

ILLINOIS REALTOR® October 2020

Len Taylor closes the books on a 32-year career with Illinois REALTORS®

When Gary Clayton took over as CEO of Illinois REALTORS®, he knew that Len Taylor was the person he wanted to bring in to run the association’s operations department in 1988. The two had worked together at the Illinois Department of Registration and Education (now the Illinois Department of Financial and Professional Regulation) when Clayton was director and Taylor was the chief financial officer. “Len knew where every penny was in a very complicated state agency budget,” Clayton said. “Len was the most honest and hardworking person there.” Clayton said Taylor’s financial management skills, ethics and candor have benefitted the association greatly. “His budgetary principles and investment acumen put Illinois REALTORS® in a strong financial position that always emphasized becoming debt free while also leaving room for the flexibility to pursue capital projects such as the new headquarters and Bicentennial Plaza,” he said. Taylor, who also has been staff support to every Illinois REALTORS® treasurer during his tenure, will retire after 2020. He has mentored Deputy Vice President of Operations Cathy Madaus to continue his fiscal vigilance, Clayton said.

www.IllinoisRealtors.org

Highlights of Taylor’s career with Illinois REALTORS®: • Instrumental in creating operational systems that grew association membership from 29,549 in 1988 to a record high of 66,000 in 2006. There are now more than 50,000 members. • More members and improved financial management bolstered the association’s fiscal situation and by 1992, it was debt free. • In 2005, Illinois REALTORS® purchased property and took out a $4 million mortgage to move the association’s headquarters downtown near the state Capitol building. The loan was paid off in early 2012, five years after the completion of the building. • The association completed construction of the $2.78 million Bicentennial Plaza in 2018. Of that, $1 million was offset by city of Springfield TIF funding, with an additional $266,000 coming from donations and sponsorships. No plaza costs were financed. • Created an employee insurance and retirement benefit package. And established financial, membership budgeting and investment policies for the association. Neither existed before Taylor was hired. • Developed a continuing education recordkeeping system and oversaw the transition to the RAMCO and AI360 operations systems. • Finally, when Taylor joined Illinois REALTORS® in 1988, the operations reserve level was $211,000. As he leaves, it is around $13.7 million with another $3.5 million in RVOICE.

Bicentennial Plaza and a legacy

Illinois REALTORS® celebrated 100 years in 2016 and as the association’s legacy has grown over the years, so has its presence in Springfield. Clayton was instrumental in getting Illinois REALTORS® headquarters, completed in 2007 and paid off by 2012, built at its location within view of the Illinois State Capitol building. The prominent location reflects the association’s commitment to governmental advocacy. Another lasting legacy: The Bicentennial Plaza – a REALTOR® Community Partnership, a pedestrian walkway next to the Illinois REALTORS® headquarters that showcases Springfield’s history and ties to Abraham Lincoln. Calls to connect several historic areas of Springfield had percolated for years, but it wasn’t until Clayton and Illinois REALTORS® picked up the cause and championed it that it became reality. Now the public plaza is another lasting example of REALTORS® and their partnerships in communities. “Gary has the innate ability to take an idea or vision and knows what the end result should look like,” says Mike Drews, who led Illinois REALTORS® as president in 2016. “He brings together the REALTORS® and community partners in the spirit of cooperation to bring that idea or vision to reality.”

A new transition

Illinois REALTORS® is transitioning into a new leadership era, but the foundation has been laid to ensure the association’s ongoing and future success. Clayton may be wrapping up his time as CEO, but he will continue to do what he has done so well for the last 30-plus years: advocate for the REALTOR® cause at every level.

ILLINOIS REALTORÂ® October 2020

THE TOUGHEST SALE YOU EVER HAD By Lee Nelson

f you’ve been a REALTOR® long enough, you begin to understand that real estate is not for the faint of heart. “This industry is so unique,” says Michael D. Oldenettel, designated managing broker at RE/MAX Professionals in Springfield. “Every time I think ‘I’ve seen them all,’ another transaction comes along with a twist which makes me realize, I haven’t.” Although most transactions only have a few hiccups, sometimes everything breaks loose. “We have an opportunity to gain from the experience of each transaction, and frankly, it’s incumbent upon us to learn from them,” he adds. Oldenettel and five other Illinois REALTORS® reveal their toughest transaction stories and how they worked through it to get to the other side:

www.IllinoisRealtors.org

FSBO finagling

Ted Leuck helped the daughter of a past client find a home. She and her boyfriend had a baby on the way. “When you’re in a rush buying your first home, you’re immediately at a disadvantage in negotiations,” says Leuck, a broker with Ruhl and Ruhl REALTORS® in Moline. They ended up canceling their first contract and losing their earnest money after deciding the two-bedroom home would be too small in the future. Within two months, they were calling him again about a For Sale by Owner (FSBO). He jumped into action

getting negotiations settled and terms all agreed upon. “The Friday before the week of closing, the emails I was sending to her loan officer were bouncing back,” he says. Turns out he retired without a notice to the client or Leuck. After countless calls and emails, Leuck was able to come up with a solution. “I ended up agreeing to pay the sellers a per diem due to their buying side being delayed, but I do have two happy clients now which makes it all worth it.” LESSON LEARNED: Trust your judgement and only focus on what you can control. In this business, there are a lot of moving parts and keeping an eye on the ball is very important.

Sentimental sale

Divorcee dilemma

Dena May Turner’s hardest sale started off as one of her easiest. From a few quick showings to writing that initial offer to negotiations, everything seemed smooth sailing for Turner, designated managing broker/owner of CENTURY 21 Affiliated in Galesburg. “The seller was a single man moving down south, and my buyers were a newlywed couple excited to be buying their first home together,” she says. But Turner was a rookie agent at the time, and things started to unravel. The seller signed documents days before the closing and was on his way to his new home in Florida. The buyers signed everything on closing day and rushed out to meet movers. But in the days between the seller moving out and signing, his estranged ex-wife moved in. The ex-husband had refinanced the house earlier, but had not removed her name from the deed. She

Stimulus salvation

Earlier this year, Michael D. Oldenettel sold a home to a first-time homebuyer with limited down payment and closing funds. The pandemic had just begun. Loan processing became slow with interest rates dropping and a refinance craze setting in, he says. The recently remodeled home came through with no inspection issues for the homebuyer. But a week before closing, the home under-appraised by $3,000. After days of exploring all

still had ownership rights and had the locks changed. “From there, it was a long road of attorney meetings with attempts at some kind of agreement,” Turner says. But her buyers never did get the home and to this day, over 10 years later, the ex-wife still lives in that home. LESSON LEARNED: Always ask upon listing if the owner has ever been married or has anyone besides themselves lived in this home before. And always get all required signatures on any listing and purchase contracts.

avenues with the lender, the appraiser, and the seller, the last option became splitting the difference between the seller and buyer. “I explained the option to my client, assuming we would not proceed, and she said, ‘I just got a check from the (U.S. Government). Let’s close!’” With the $1,200, she was able to muster together the extra $300 for her side of the costs. The closing took place in the middle of April. “We were all surprised the check arrived so quickly,” he says. “In my 31-year career, I don’t remember the government ever giving someone money, not on paper but a check, to buy a home. If not for the pandemic stimulus check, we would not have closed.

Many years ago, Andrea Greenwalt represented a woman trying to sell the small home that the seller’s husband was remodeling when he passed away. “The property was close to completion, but did not yet have a kitchen,” says Greenwalt, a broker at Janko Realty in Peru. When the offer came in, the seller would only accept asking price. The buyer of the home wanted to buy it with a VA loan, but that required the kitchen to have cabinets and a working sink. After some discussion, the seller agreed to install a minimal amount of cabinets and a sink. “The seller could not bring herself to go back in the house, so I coordinated the repairs,” Greenwalt says. “The approval of the loan also required two door frames to be painted. In the end, I painted the doorways to get the deal done.” This was one of her first experiences with such emotional attachment to a home. “The experience helped me learn to better empathize with the seller’s situation while working towards solutions,” she says. LESSON LEARNED: When dealing with an emotionally attached seller, take the time to truly listen to their situation and help them through the process one step at a time. Put yourself in their shoes.

LESSON LEARNED: Things can still surprise you in a good way in this business. ILLINOIS REALTOR® October 2020

Integrity in place

Matt Silver spent many years crafting a reputation of integrity in the Chicago real estate market. While serving as president of the Chicago Association of REALTORS®, he was chosen by a discerning couple to be their buyer’s broker. Silver, partner and senior broker at Corcoran Urban Real Estate in Chicago, offered the company’s limo service to pick them up and tour the showings. One home they viewed had just hit the market at over $8 million. They weren’t happy with the style and flow in many of the offerings. Silver

COVID-19 chaos

Two weeks into the COVID-19 shut down, Jean Crosby lost an agent to nonCOVID-19 related cardiac arrest. Crosby, president and designated managing broker of Berkshire Hathaway HomeServices Crosby Starck Real Estate in Rockford, had to step in to notify that agent’s client and assist with a pending sale. The owner of the property was moving to Michigan and closing on a newly purchased property May 31. His current home in Rockford was also sold and scheduled to close May 29. It sounded simple. Not true. The seller of the Michigan home, which the Rockford client was buying,

began discussing the possibility of building a new home. He found a location in an expensive area, successfully negotiated the offer with 11 percent off asking price, helped the couple gain tax deductions by dismantling versus demolition, and introduced them to top builders. “Very quickly, we became friends having dinners, being toasted on the great fortune of us meeting, and thanked repeatedly as I had proven my reputation and brought sage advice to this unique transaction,” Silver adds. One day, he got a call from the man after a fantastic meal the night prior with these clients. “The man is literally screaming at me on my cell, so loudly that others in my office came in to see what was happening,” Silver says. Even though Silver had disclosed how he got paid, the man was miffed that Silver was earning a commission for

had flown to China during the first week of March. When the pandemic hit, U.S. borders closed to flights from China. The Michigan seller could not get a flight back home via Canada or anywhere else. The earliest flight back here was June 1st. Upon arrival, the

all the services he had been providing for months. “I was saddened, perplexed by the sudden turn, mad and personally offended,” Silver says. LESSON LEARNED: Know your worth, act as though nothing is a given, and know when you can say, “I will not be treated like this,” and step away from the deal, which he did, without jeopardizing the client in any way.

Michigan seller had to go straight into quarantine for two weeks. “At the end of the day, our client closed as agreed upon his home in Rockford on May 29, and then he put everything in storage. The Michigan seller was released from quarantine June 15, packed up her home immediately, and the closing took place June 19,” Crosby says. LESSON LEARNED: Stay calm and be a good listener with lots of empathy. There are many times when the situation may be out of your control and you’ll need to be flexible.

About the writer: Lee Nelson is a freelance writer in Illinois. She can be reached at leenelson77@yahoo.com.

www.IllinoisRealtors.org

Election 2020: The process may be a little different, but the REALTOR® vote is as important as ever REALTORS® vote

Nearly 90 percent of Illinois REALTORS® are registered to vote and they traditionally turn out to the polls at higher numbers than other groups. Will that change this year? There is no doubt the election this fall will be like no other. There are concerns about in-person voting and crowded polling places as the COVID-19 pandemic continues. However, a new Illinois law should help ease some of the anxieties about voting in November. In June, Gov. J.B. Pritzker signed into law election code changes designed to make it easier for Illinois voters to cast their ballot in the 2020 Election by mail as well as to provide more opportunities for voting. Here are some of the key changes: • Election authorities are required to send vote-by-mail applications for the Nov. 3 general election to the 5 million Illinois voters who participated in the 2018 general election, the 2019 municipal elections or the March 2020 primary.

• Election authorities will be allowed to provide curbside voting, in which voters can fill out the ballot outside of the polling place.

Elections matter to REALTORS®

Whether it’s the candidates we are supporting (through RPAC) or referendum on policies affecting us, we are engaged. In regard to referendum, Illinois REALTORS® will be involved in attempting to block new home rule powers and increases in municipal real estate transfer taxes. At press time, there is a Home Rule referendum on the November ballot in Crestwood (south Cook County). The city of Chicago had considered an increase in the Transfer Tax, but did not pursue it this year. We are expecting more municipalities to possibly look at transfer tax measures in the 2021 municipal elections as the revenue forecasts become clearer. Contact me or your local Governmental Affairs Director to learn more about these measures.

• The law requires voters who submit an application for a mail-in ballot before Oct. 1 to get their ballot no later than Oct. 6. • The law also makes Nov. 3, 2020, a holiday for schools, a move which will free up school buildings to be used as polling places on Election Day. • Early voting hours will be expanded to 8:30 a.m. to 7 p.m. on weekdays and from 9 a.m. to 5 p.m. on the weekends and holidays.

Rental housing: front and center

Housing issues are quickly evolving in today’s pandemic environment. The Governmental Affairs team of Illinois REALTORS® continues to track these issues and stay involved in policy discussions. Most pressing has been the issue of evictions and the potential for a large number of filings in the near future. Much will depend on federal assistance measures. But local governments have stepped up as well with the city of Chicago, Cook County and other counties, including DuPage and Lake, creating rental assistance programs to help renters most impacted financially by COVID-19. Additionally, some of the policy discussions, mainly in Chicago, have centered on new ways to help tenants in a variety of ways. Some of these new “protections” are pandemic-related and some are not. Illinois REALTORS® will continue to advocate for housing providers who are also feeling financial distress (loss of rental income) due to COVID-19.

Mike Scobey

Senior Director of Local Advocacy & Global Programs ILLINOIS REALTOR® October 2020

AT THE CAPITOL Sullivan retires after 31-year lobbying career In three decades of lobbying for Illinois REALTORS®, Senior Director of Legislative and Political Affairs Julie Sullivan has built a reputation as an expert on industry issues and a tough but constructive negotiator who has earned the respect of legislators from around the state. And her keen political knowledge, instincts and tenacity as an advocate has helped make the REALTORS® one of the most powerful voices at the State Capitol. Sullivan will retire from Illinois REALTORS® at the end of 2020. She was especially knowledgeable in legislative issues ranging from land use and zoning to environmental regulation, local government and real estate taxes. In 2019, Sullivan was elected Speaker of the Illinois Third House, an organization of registered Illinois lobbyists. This high honor is bestowed for exemplary work ethic, integrity and years of service. Sullivan was a Business and Industry Federation of Economic Concern (BIFEC) executive committee member, a trustee at her alma mater Eastern Illinois University and staffed many task forces and working groups for Illinois REALTORS®. She is a longtime major investor in RPAC. 30

www.IllinoisRealtors.org

Sullivan testifying on the floor of the Illinois House of Representatives during a rare Committee of the Whole hearing in 2017. She was among a series of speakers advocating for a property tax freeze.

Sullivan poses with Illinois Secretary of State Jesse White.

(l to r) Sullivan, St. Aubin, former state Rep. Lee Daniels, who served as Speaker of the Illinois House from 1995-1997, and former REALTOR® and state Rep. Anne Zickus of Palos Hills.

(l to r) Sullivan, former state Sen. Emil Jones Jr. and Illinois REALTORS® Senior Vice President of Governmental Affairs Greg St. Aubin. Jones served in the Illinois House and Senate and eventually presided as Senate President.

Legislative highlights over 31 years • 1989 – Illinois began its first statefunded affordable housing program; a revenue stream was created for funding affordable housing projects, purchase of and protection of open space and for natural areas. • 1991 - Illinois became the first state to enact the Commercial Broker Lien Act . • 1992 - With substantial input from the REALTORS®, Illinois enacted new provisions regarding lead paint disclosure and abatement. • 1993 - Residential Real Property Condition Disclosure Act (“Seller Disclosure”) approved. (l to r) Sullivan and REALTORS® Tommy Choi, Nicholas Apostal and Nykea Pippion McGriff snap a selfie on the ride to the Illinois State Capitol building during Capital Conference 2019.

• 1996 - The Rent Control Preemption Act was overwhelmingly approved to prohibit units of local government from enacting rent control for commercial or residential property. • 1996 - Legislation approved to require voter approval before a Home Rule municipality can impose or increase a real estate transfer tax • 2003 - A last-minute proposal to triple the State’s real estate transfer tax was stopped after a successful Call for Action from Illinois REALTORS®.

Sullivan and Illinois REALTORS® CEO Gary Clayton (fourth from right) pose with REALTORS® at “the rail” outside the House and Senate chambers in the Illinois State Capitol.

Sullivan poses with former First Lady Hillary Clinton in 1996. Clinton was in Illinois that year, visiting the University of Illinois at Springfield and campaigning for then Congressional candidate Jay Hoffman.

• 2006 - Landmark eminent domain reform legislation was approved following an extraordinary grassroots campaign launched by Illinois REALTORS® • 2012 - Stopped the adoption of administrative rules proposed by the Office of the State Fire Marshal that made a number of changes to fire safety regulations including a mandate for fire sprinklers in all new single-family construction and onerous retrofit mandates for high rise residential buildings.

Former Illinois Gov. Bruce Rauner (fourth from left) poses with the Sullivan Caucus, a group of Illinois legislators and lobbyists named Sullivan who celebrate together every St. Patrick’s Day.

Find a more comprehensive list at bit.ly/JulieSullivanRetires

ILLINOIS REALTOR® October 2020

OUTREACH REALTORS® bring resources and communities together

Illinois REALTORS® has launched ROI: Revitalize, Opportunity, Influence and the Outreach Team is hard at work connecting REALTORS® to the ROI resources they need. Guest columnist, Neeley Erickson, an outreach team member and Local Governmental Affairs Director, shares an “on the ground” update of ROI at work in your communities.

Illinois REALTORS®’ Local Governmental Affairs Directors (GADS) have the privilege of working side-by-side with REALTORS® on the advocacy issues relevant to the industry, but just as key is the work we do in community outreach and revitalization. REALTORS® are leaders in their community and do more than manage property transactions. To increase awareness of the tools and resources REALTORS® have available to strengthen their communities, the National Association of REALTORS® (NAR) offers a selection of grants that members can leverage through their state and local Associations. Here are some examples of how those grants have been used to better Illinois communities.

Freeport Community Rebuilding NAR released its Community Rebuilding Grant to help REALTORS® engage and address property damage caused by nonpeaceful demonstrators earlier this year. REALTOR® Association of Northwestern Illinois (RANWIL) Association Executive (AE) Ginger Sreenan asked me to

p Members of the REALTOR® Association of Northwestern Illinois cleaned up after new windows were installed in several Freeport businesses. Another NAR grant is being used to create a painted mural downtown and for benches and plantings to be added to create a public gathering space.

www.IllinoisRealtors.org

investigate how RANWIL might help small businesses whose windows were broken during a recent protest. At the same time, we were made aware of a GoFundMe campaign created by local Freeport business owner, Kelly Chesney, to assist affected business owners. RANWIL was able to secure the NAR grant and through the collaboration with Chesney, raised $14,000 to help 19 affected businesses in Freeport.

Belvidere Placemaking

During a meeting with Belvidere Mayor Mike Chamberlain, I asked if, in addition to road, water, and sewer infrastructure projects, the city was planning to focus on green infrastructure or public engagement. The mayor said the city was moving ahead with the final phase of General Mills Park and wanted to install a pavilion but wanted to use donated funds. General Mills Park is significant because it was developed to improve outreach to families in the surrounding area, plus the local YMCA, fire, and police departments use that location for community relations. After discussing the project with Belvidere Board of REALTORS® former President Ron Taylor, we secured a NAR Placemaking Grant to assist with construction. The pavilion now provides a shady spot on hot days for a summer lunch program, neighborhood meetings and family picnics.

Rockford Pop-Up Pedestrian Art

The Rockford Area Convention and Visitors Bureau wanted to partner with the Rockford Area REALTORS® to create a mural and pop-up space at the Jefferson Street Pedestrian Underpass. Rockford REALTORS® and their AE Conor Brown supported the project because the underpass is a commonly used path by pedestrians and cyclists. It is the only transportation route that prohibits vehicular traffic and connects both sides of the Rock River, making it an important component increasing pedestrian safety. The revitalized area now provides users with a vibrant community space while highlighting the value of art.

Unifying DeKalb

DeKalb Alderman Scott McAdams posted on Facebook about graffiti tagging on an underpass wall that took place after a racial injustice demonstration. The underpass is adjacent to a pedestrians’ walkway and bike path that connects Northern Illinois University to Prairie Park. Rather than cleaning up the graffiti in this high trafficked area, McAdams and local DeKalb artists were looking for collaborators to fund a unity mural. I reached out to the alderman and discussed the project with HomeTown Association of REALTORS® AE Heather Wiedrich. HomeTown was eager to offer its support for a unity mural and now the word "UNITY" has been painted on the underpass wall to cover up the graffiti until painting of the official mural begins.

p HomeTown Association of REALTORS® members secured a $1,500 NAR grant to assist with the clean-up of graffiti in an underpass in DeKalb.

Woodstock Pollinator Garden

The community of Woodstock was thinking about creating a Pollinator Meadow Project in a local park. Due to the dwindling number of Monarch butterflies – which are the official state insect – Woodstock was thinking of creating a pollinator meadow at Emricson Park to provide a habitat for butterflies and additional space for park patrons to explore. I contacted Heartland REALTOR® Organization AE Jim Haisler and local association members agreed to help. Through the joint efforts of Heartland REALTORS®, the city of

Woodstock, a local Eagle Scout and the Land Conservancy of McHenry County, we were able to create a boardwalk, install native plantings and add benches at the pollinator site. These projects are examples of how REALTORS® bring community leaders and organizations together to engage, revitalize and influence change in our communities. Feeling inspired? Reach out to your Outreach Team or Local Governmental Affairs Director to learn more about grants to help you revitalize in your area.

p Members of Heartland REALTOR® Organization volunteered on the Pollinator Meadow Project, removing invasive species, building a boardwalk and pathway, and reintroducing native plantings to the area.

ILLINOIS REALTOR® October 2020

EDUCATION Illinois REALTORS® is your trusted source for state-approved education Having access to state-approved education is important to our members. Illinois REALTORS® stands out from other real estate education providers due to the quality of our educational products and the personal service we provide.

Variety

We give members many flexible learning options, including several online platforms to choose from for self-guided and interactive learning. Our live webinars allow students to communicate directly with an instructor without leaving home. Our classroom courses are taught by experienced instructors at more than 65 branch locations throughout Illinois.

Service

Our Education Specialists provide in-house support to students, answering questions about pre-license requirements, license renewal, and more. Students can contact us by phone, email, or online chat, MondayFriday, 9:00 a.m. to 4:30 p.m.

Expertise

Illinois REALTORS® works closely with the Illinois Department of Financial and Professional Regulation (IDFPR) on license law changes, administrative rule updates, course curriculums and education requirements. Association staff lobby Illinois legislators to protect private property rights and for changes that enhance professionalism across the industry through education.

www.IllinoisRealtors.org

Continuum of Learning

Whether they take classes at one of our local branches or complete online courses from our course catalog, members return again and again to Illinois REALTORS®. We provide pre-license, post-license, continuing education, designation, and certification courses that meet students’ needs at all stages of their careers.

Tools and Resources

Education records are at students' fingertips when they take courses through Illinois REALTORS®. The Education Lookup feature on our website includes records of all the courses they have taken with us.

Communication

Illinois REALTORS® members can get up-to-date information about changes in the license law, new courses, and more through our Weekly Connection emails and direct emails to those who subscribe to Education updates.

Exclusive Financial Assistance

Some financial aid options are available only to Illinois REALTORS® students. The GI Bill® tuition reimbursement program may be applied to Illinois REALTORS® live pre-license courses that are taken in a classroom setting. The Illinois Education and Training Grant offered through the Illinois Real Estate Education Foundation (REEF) may only be used towards Illinois REALTORS® Pre-License courses taken on the D2L online learning platform or in a classroom.

Young Brockhouse

Vice President, Professional Development

The Rich Port Scholarship available through REEF may be used towards Graduate, REALTOR® Institute designation courses. Students can explore the many scholarships and grants available through REEF at www.ilreef.org/scholarships.

History

Illinois REALTORS® was the first school approved by the state of Illinois to offer real estate education courses. For REALTOR® members and non-members alike, Illinois REALTORS® provides quality state-approved education and expert support. Education is, and has always been, a pillar of the Association’s mission.

How can we help you with your education needs? Contact us through online chat or by phone or email. Illinois REALTORS® Education

www.IllinoisRealtors.org/Education

(800) 523-5077

Education@IllinoisRealtors.org

ILLINOIS REALTORÂ® October 2020

ETHICS Advertising and unauthorized access to listings still lead ethics complaints

Becky Carraher,

Director of Ethics and Professional Standards

For the first six months of 2020, there were 129 complaints filed through the Illinois REALTORS® Ethics Citation Program. Forty-four citations were issued. Eighteen complaints were sent to the association’s Grievance Committee because the allegations contained in the complaint were outside the Articles covered by the Ethics Citation Program. What topped the list of most common ethics complaints? The same perennial problem areas: REALTORS® violating advertising rules or providing access to a listing without the proper authority.

Advertising Rules

Article 12 of the Code of Ethics covers advertising and marketing and is the most commonly cited Article for complaints. Article 12 - REALTORS® shall be honest and truthful in their real estate communications and shall present a true picture in their advertising, marketing, and other representations. REALTORS® shall ensure that their status as real

Jane Doe Golf course view – 123 Golf Course Road, Taylorville. Beautiful, custom-designed home with wonderful views from every window. High-end chef’s kitchen, wonderful outdoor space, 3 custom bathrooms and 4 bedrooms. For sale $500,000.

Contact Jane Doe. Call or text 217/111-1111.

www.IllinoisRealtors.org

estate professionals is readily apparent in their advertising, marketing, and other representations, and that the recipients of all real estate communications are, or have been, notified that those communications are from a real estate professional.” ($250 fine) Article 12, Standard of Practice 12-5: “REALTORS® shall not advertise nor permit any person employed by or affiliated with them to advertise real estate services or listed property in any medium (e.g., electronically, print, radio, television, etc.) without disclosing the name of that REALTOR®’s firm in a reasonable and readily apparent manner either in the advertisement or in electronic advertising via a link to a display with all required disclosures.” ($250 fine) These two Facebook posts show an example of the wrong way to advertise (slide one) and the correct way (slide two) that clearly identifies the REALTORS®’ real estate firm.

Jane Doe

Designated Managing Broker, Jane Doe Realty Golf course view – 123 Golf Course Road, Taylorville. Beautiful, custom-designed home with wonderful views from every window. High-end chef’s kitchen, wonderful outdoor space, 3 custom bathrooms and 4 bedrooms. For sale $500,000.

Contact Jane Doe. Call or text 217/111-1111.

Illinois REALTOR® October 2020

Articles inside

RVOICE

Infographic

Community

Ethics

Education

year lobbying career

Legal Update