The Builder Broker Code: Alive and Well in Tucson!
By Barbara Tarrish
Former SAHBA Sales & Marketing Chair
It seems that every few years a discussion of the Builder Broker Code is inevitable. The last revision was in August 1998, about three years ago. SAHBA's Sales & Marketing Council recently took a look at the code and decided there was no need for any further changes at this time.
Realtors and Builders both benefit from this unusual document. Unusual because most cities do not have any written form of how or if Realtors will be paid. Tucson has a long-standing history of cooperation between Builders and Realtors.
In the "good old days" before this code, resale agents did not know from day to day which builder would pay a commission on the sale of a new home. There were builders who paid one month and then decided not to pay the next month. Some paid a "referral fee" of several hundred dollars. A Realtor now knows that anytime they bring a buyer to a new home site of a SAHBA member and register them, they will have earned a commission if their buyer buys within 30 days of the visitation or the registration is updated.
The code always has been reviewed by Tucson Association of Realtors and SAHBA together. It is a document we can all be proud of. While occasional differences occur, we all have a specific set of rules to follow. This code makes good business sense for all concerned. Builders rely on Realtors to help sell their product and Realtors know they can find their buyers high quality new homes with features that are sometimes not found in resale communities, and be compensated for the sale.
Realtors who are new in the business or moved here from another city should review the code and add new homes to their resale inventory. The experience of selling a new home can be a great one for both the buyer and the Realtor.