STATE: Record Keeping

Question 1

Discounts on predevelopment sales

Answer 1

• • Discounts may also be used in predevelopment sales.
• Discounts from advertised prices are permitted, and advertising may discuss future planned increases (if specific and bona fide) or past price appreciation of lots (if the comparison is directly comparable).

Question 2

Discounts on Subdivided land

Answer 2

• NRS 119 allows subdivided land to be offered at a discount for quantity purchase, cash purchase, or a rapid or accelerated payoff.
• Discounts may also be used in predevelopment sales. Discounts from advertised prices are permitted, and advertising may discuss future planned increases (if specific and bona fide) or past price appreciation of lots (if the comparison is directly comparable).

Question 3

Is a trust account required?

Answer 3

• Trust accounts are not required if monies are handled in the other acceptable situations (opening escrow, etc.).