Realtors hit sign snag as homes go on market
Dean Hoffmeyer / Times-Dispatch
Cathy Saunders, a real estate agent, says calling Miss Utility to ask permission to install a “for sale” sign in a home’s yard as it’s about to go on the market adds another level of red tape in an already difficult market.
Mary Jean Thomasson says she has never hit or punctured a utility line putting up a "for sale" sign in a yard during her 19 years in the real estate business.
"I've never had a problem; I've never heard of a problem," said Thomasson, owner of Prince George Realty.
Now, she and all agents in Virginia need to call the Virginia Utility Protection Service -- aka "Miss Utility" -- before they put up a "for sale" sign.
Actually, getting approval is something they should have done all along, but real estate agents in general didn't think the law, which has been on the books for 30 years, applied to them or to their signs.
Said Thomasson: "Do you know of anything else that can be thrown at us by way of roadblocks to keep us from helping the housing market recover?"
Most real estate signs are pushed about 6 inches into the ground. Utility lines must be at least 12 inches deep, but the state division that oversees utility safety says soil erosion can change the depth levels and cause potentially dangerous situations.
Virginia's Underground Utility Damage Prevention Act requires anyone who digs -- agents included -- to notify Miss Utility, so properties can be properly marked, showing where electric, natural gas, cable and telephone lines are installed. People who don't get the go-ahead can be fined up to $2,500.
"There are no new laws or regulations," said Massoud Tahamtani, director of the State Corporation Commission's Division of Utility and Railroad Safety. "We have started an education program. Our goal is not to penalize, but to educate."
The push to educate was prompted by an incident last summer involving the installation of a 4-inch-by-4-inch post for an L-shaped "for sale" sign in front of a house in Fairfax County.
A gas line was cut; no one was hurt.
However, the incident revealed the need to send a strong message, Tahamtani said. An explosion in 1998 killed a woman, severely and permanently injured a man and ejected two children from a new house in Northern Virginia because of crossed electric and gas lines during construction.
Most "for sale" signs are installed in utility easements close to yards so they can be seen, Tahamtani said. But that's where lines are installed, causing potential problems.
"We have been told there is a public-safety issue, and no one in the real estate industry will argue that," said Laura Lafayette, chief executive officer of the Richmond Association of Realtors.
"But the hoops we have to jump through are time-consuming and needlessly complicated," Lafayette said. "The issue is the depth of the sign. What's the difference between putting a real estate sign in the ground or stakes for horseshoes or croquet?"
Realtors question the timing for such efforts, claiming that calling for permission creates an extra level of bureaucracy in a soft real estate market. "It's burdensome," said Cathy Saunders, an agent with Long & Foster in the Grove Avenue office.
Scott Shaheen, regional vice president for Long & Foster, said he has cautioned agents that the requirement could cause a 10-day delay in listing a property. "We have been getting the word out to our associates," he said.
Utility companies are supposed to respond to a request within 48 hours, starting at 7 a.m. the next working day, to give Miss Utility to mark the lines. After 48 hours, if no marks are on the property, the real estate agent needs to call again, then wait three hours before installing a sign.
If the utilities take longer to mark the lines, agents are no longer liable, Tahamtani said. The companies are responsible.
The Virginia Association of Realtors recently issued a warning to its 33,160-member organization regarding the law and its enforcement.
"You could hear a groan across Virginia when the VAR put this out," said Thomasson with Prince George Realty.
Tahamtani claims the timing is good, because of the high number of houses for sale, bolstered by foreclosures, and the need to be more careful.
Also, since most houses are not selling quickly, the need for urgency is not great, he said. "It's a good time to educate people. When the market turns around, everyone will know what the process is."
Contact Carol Hazard at (804) 775-8023 or
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Reader Reactions
With all the For Sale by Owner sites. Why would anyone with half a mind use an agent. http://www.owners.com
http://www.forsalebyowner.com
http://www.fsbo.com/
just to name a few.
LOL! lets agree to disagree! If FSBO is what you want to do, do it. But don’t blame agents! If it works for you great. Many people don’t want the hassel. And like I said before, agents only make 2.5% to 3% of the commission.
WE NEVER STOP MOVING!
Yes there are more FSBOs now because people are down to the bear minimum. A lot of people owe more then they will ever be able to sell their homes for. Unfortunatly they depend on those kits from the bookstore to help them get through the sale….if there is one. In this market you must get your listing out there and market it on as many sites as possible.
LOL!! I did read the article. And the requirements are putting more presure on agents that are out there working hard to list and sell homes. They have 48 hr from the time the contract is signed to put the listing in the MLS and to get the sign and lockbox on it. (The MLS, by the way, shoots the listing to about 10 or 11 web sites including Realtor.com, the most looked at realty website, and Coldwellbanker.com the 2nd most looked at web site) If they call Miss Utility as soon as the ink is dry they have to hope that Miss Utility gets to that listing to mark up the lawn! For nothing. Signs only go into the ground about 6 inches and if the utilities are only 6 inches from the surface, you have more problems then marking up the lawn.
If you FSBO doen’t complain to an agent when something comes back to bite you in the Butt!
There are too many mean, angry, spiteful people out there! Who do mean angry spiteful things. I’d want to be covered.
Real-estate agents, at their best, are parasites. They produce nothing, they simply leech off the productive members of society. The only businesses they really support are plastic surgeons and Lexus dealers. Throw your money away if you like.
Six percent of a $500K house is $30,000. For “work” you can get a real-estate lawyer to do for $500 (I know; I did it this way). And it’s not as if lawyers are cheap.
I repeat: Realtors in the USA, with precious few exceptions, are lazy, greedy, and corrupt. They’re protected by state franchise laws preventing price competition. Why? Because the NAR pays off the state legislatures. Such is democracy in the USA.
Blessed1 - It was clear the utilities were on with the A/C running when entering the house, the lights were on, the water was running and the gas was turned on at the meter. I disagree that utilities are one of the last things to be turned on. I know I’m not going to look at a house very long if it is hot inside and I think the builders do too. The fact is, the contractor should not have been digging without having the utilities marked. That’s a no brainer.
And xyz - maybe there are more for sale by owners because they owe too much money on their home and don’t think a Realtor will be able to help them.
Martin: “One of the many reasons to use an agent; they know all of the laws, rules and regulation. (sic)“
Blessed1: “If you would have had a quality Realtor with you, they could have explained the construction process to you.“
It is quite apparent neither of these agents even read the article wherein Realtors are saddened to suddenly learn of a 30 year old regulation.
So much for the “experts”. Save your money and FSBO.
I hope the buyers had an agent to protect them. One of the many reasons to use an agent; they know all of the laws, rules and regulation. They are required to keep up with the latest. When you sold the house yourself did you also reduced the price? Also did you consider that all the exposure that your previous agents gave your house put the house into the other agents head as a possibility for their clients. Did you also consider that maybe just the right person finally came along or that maybe your house was the only decent one in that price range. There are a whole list of possibilities! Someone must want to buy your house for an agent to sell it. Sometimes no matter what agents do or how it is marketed, it just doesn’t sell. We have several that have surprised me in not selling. They are great buys….but sometimes you just can’t find the right person in the alotted time. Also it depends on how many people are looking and how much there is to see. Sooo Many variables.
WE NEVER STOP MOVING!
According to some people arguing to defend agents, why more and more people opting for “Sale by owner”? And the fact is, they are selling their homes quicker, which agents(after switching several) couldn’t sell for months. I am speaking from my own experience.
To BonAir, Did you think to stop and ask the contractor about what he was doing….....or did you assume that there were no utility markers just because you couldn’t see them? Just because you saw the utilites entering the house does not mean they were active. Depending on the stage of construction, utilities are one of the last things to be activated. If you would have had a quality Realtor with you, they could have explained the construction process to you. Better luck next time.
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