On August 17, 2024, new real estate rules took effect that significantly altered how real estate agents are paid.
One of the biggest changes is that sellers are no longer required to automatically cover the buyer’s agent commission. Now, buyers must decide if they want to pay their agent, and if so, how much.
This shift means that buyers will need to negotiate directly with their agent and sign a formal agreement outlining how they will compensate them. Additionally, real estate brokers’ compensation will no longer appear on multiple listing services (MLS).
These changes stem from a settlement agreement with the National Association of Realtors (NAR) to resolve disputes from home sellers over broker commissions. Some experts have even called this one of the most significant shifts in the real estate industry in a century.
However, the impact of these changes is far-reaching, and it’s essential to stay informed. Checkout this article to see some of the potential fallout.
Despite the updates, don’t assume the real estate landscape has drastically shifted. In my opinion, this is simply another example of putting lipstick on a pig.
This post is for informational purposes only. Be sure to use common sense and consult with various professionals to fully understand how these new rules might affect you and your family.