I walked out of class discussion a few minutes ago with a keen topic on my mind, one offered for answer by one of the sharpest learners ever in my classroom.

Here’s the topic. If I was a new, shining, goal oriented PREA, (a Professional Real Estate Agent), on what areas would I focus to “Practice Preventative” while I was off making my first million in real estate?

30 years of active real estate allow me to observe that postclosing lawsuits or ethical complaints are, indeed, able to be categorized into distinct areas. Categorizing trouble areas allows the practitioner to “Practice Preventative”.

I told the learners that three (3) key areas are the recurring themes of aggrivated consumers, whether they are a buyer, seller, landlord or tenant. For this blog, I will focus on buyers and sellers as you can draw the inferences to landlord and tenant as your practice requires. The areas are:

(1) The PRICE of the property offering;

(2) The TERMS of Financing made available to the buyer as most property in America is not really ‘SOLD’ but rather financed; and,

(3) The Condition of the Property, not a condition of sale such as a sale leaseback, which falls in to the areas of terms, but the actual physical condition of the land surface, subsurface, suprasurface (e.g., air rights) and the area surrounding the actual site to the extent that the situs exterior to the property can economically impact the specific site denominated in a contract for sale or purchase.

A lengthy discussion ensued and after 40 minutes of inadvertently defending the nonchalant comment about the key importance of Price, Terms & Condition, I felt like sharing this on America’s finest real estate blogging site.

Can you think of any lawsuit that does not have a the base complaint an area not covered by the areas of Price, Terms & Condition?

Please share. I will share back. Many might postulate that if we can adjust our premarketing, marketing, inspection and preclosing checklists “Practice Preventative” to include the awareness of the three (3) areas, consumer protectionism and PREA practices could be closer together every step of the way. This could reduce the postclosing complaints, improve the PREA image to the public and save the PREAs who “Practice Preventative” both time and money and much elevated stress, which always accompanies a lawsuit or ethical complaint.

So, share anonymously or otherwise relate a lawsuit basis or ethical complaint and let’s explore whether or not “Practice Preventative” in the areas of Price, Terms & Condition could have prevented the postclosing trauma.