FACTS: Jane, an agent licensed with ABC brokerage firm, lists her home for sale with XYZ brokerage firm. The XYZ agent did not place “owner/agent” on the XYZ brokerage sign in Jane’s yard.

ISSUE: Does the XYZ brokerage yard sign need to say “owner/agent?”

ANSWER: No.

DISCUSSION:         

Under AAC R4-28-502(B), “Any salesperson or broker advertising the salesperson’s or broker’s own property for sale, lease, or exchange shall disclose the salesperson’s or broker’s status as a salesperson or broker, and as the property owner by placing the words ‘owner/agent’ in the advertisement.”

Here, the rule does not require the XYZ agent to display an “owner/agent” sign on the XYZ brokerage sign because the property is not the XYZ agent’s property.

Note: Jane is required to disclose her licensing status in writing and before the parties enter any binding agreement. See AAC R4-28-1101(E). Therefore, the best business practice would be to place Jane’s status as a licensed agent in the MLS and in writing prior to entering into a fully executed purchase contract.