Found 4 blog entries tagged as NAR Settlement.

NAR's Settlement Approved: What Comes Next?

The proposed commission settlement by the National Association of REALTORS (NAR) was approved on Tuesday; however, the U.S. Department of Justice (DOJ) has expressed concerns about certain provisions, particularly the mandatory buyer representation agreements. The DOJ warns that these agreements could limit competition among brokers, indicating that further scrutiny and potential adjustments may occur. As the real estate industry adapts to these changes, both buyers and sellers should stay informed of the evolving landscape.

Ralph’s Take

Expect more changes ahead. While buyer representation agreements are intended to serve the best interests of everyone involved, I completely…

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It’s Time to Raise The Bar

After ending 2023 with its first annual membership decline since 2012, the National Association of REALTORS® (NAR) anticipates ongoing challenges in retaining members due to reduced business opportunities and the changes from the NAR Settlement. Axios and The Washington Post believe many agents could leave the industry as the new commission rules may impact less experienced agents or those who struggle to justify their fee, leading to natural attrition of less effective agents.

A report by the Consumer Federation of America found,

  • 49% of agents reported 0 or only 1 sale a year

  • 70% of agents reported 5 or fewer sales a year

  • The median number of sales was barely 2 a year

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Q&A: The Evolving Real Estate Landscape

Last week, I provided an opening explanation of The National Association of REALTORS® (NAR) settlement and the industry changes taking effect this month. Since then, I've received numerous questions from readers and clients, and I'll do my best to address the most frequently asked ones now:

Do buyers have to sign a broker agreement to look at properties?

  • Yes. Brokers are now required to have a signed Buyer Representation Agreement in place before showing any properties to a customer or client. This agreement may outline the broker's responsibilities, the range of services they will provide, and the buyer’s home search criteria, but it must clearly define the compensation the…

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How the New Rules of Real Estate Will Impact Buyers and Sellers

The National Association of REALTORS® (NAR) recently settled lawsuits regarding real estate commissions, agreeing to pay $418 million and implement nationwide changes to Multiple Listing Services (MLS) while denying any wrongdoing. Here’s what you need to know:

Sellers are prohibited from offering compensation on Multiple Listing Services.

  • Sellers still have the choice of offering compensation to buyer brokers, which can serve as a way of marketing the home or making the listing more attractive to buyers, but it cannot be included on the MLS.

Buyer representation agreements are required before touring homes.

  • The agreement…

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