As of this past Saturday, notable changes were implemented nationwide following the National Association of Realtors (NAR) Settlement Agreement. These changes were introduced to resolve claims related to broker commissions and are designed to benefit you, the homebuyer.
Buying a home is one of the largest financial decisions you'll ever make, and having a knowledgeable Realtor by your side is crucial. Here’s what these changes mean for you:
1. New Rules for Compensation
The most significant change is that NAR has introduced a rule prohibiting compensation offers on the Multiple Listing Service (MLS). While offers of compensation will no longer be listed on the MLS, you can still negotiate compensation with your real estate professional off-MLS. Sellers also have the option to offer buyer concessions on the MLS.
2. Mandatory Written Agreements
NAR now requires MLS Participants working with buyers to enter into written agreements before touring homes. This change enhances transparency, ensuring you know exactly how much your buyer broker will be paid and by whom.
NAR believes that cooperative compensation and its policies have always benefited both buyers and sellers, especially those in lower- and middle-income brackets. Despite these changes, NAR remains confident in its ability to help you achieve your homeownership goals.
Why This Matters to You
As your trusted broker at The Agency Northwest Florida Beaches, I want to assure you that compensation for real estate professionals is not set by law and is fully negotiable. If your agent is a REALTOR®, they are bound by the REALTOR® Code of Ethics to have clear and transparent discussions with you about compensation.
Remember, you have choices. Work closely with your agent to understand the full range of these choices, so you can make the best decision for your unique needs. We're here to guide you every step of the way.
