The NAR Settlement: Has home buying changed forever?

You’ve probably heard the buzz about the recent NAR settlement… but what does it mean for you as a buyer or seller? Let’s break it down.

Buying a home before:

• Commissions for your agent were typically included in MLS listings.
• You didn’t need to sign an agreement with your agent before seeing homes.

Buying a home after:

• Commission details are now negotiated separately, not shown on MLS.
• You’ll need to sign an agreement with your agent outlining their compensation before they start working for you.

Agreement Clarity: Before a real estate agent can show you a home, you’ll need to sign a written agreement with them. Ensure that this agreement accurately reflects the terms you’ve negotiated, and that you fully understand the services and value they will provide, as well as the associated costs.

Compensation Details: The agreement that you sign must specify how your agent will be compensated. This can be a flat fee or a percentage of the sale.

Open House Exceptions: A written agreement is not required if you’re simply speaking with a listing agent at an open house or inquiring about their services. However, if you choose to proceed with their services, you’ll need to sign a formal agreement.

Seller Concessions: A home seller may agree to offer seller concessions that you can use to diminish costs when buying. This is permitted but the offer of compensation cannot be shared on the Multiple Listing Service (MLS).

There’s some fine print you definitely want to know… Contact Us!