NAR Settlement Explained

As your trusted real estate advisor, it’s my responsibility to keep you informed about developments within our national marketplace and how they may impact you as buyers and sellers of real estate. Today, I’m sharing crucial news from the National Association of REALTORS® (NAR), announced last Friday, that directly affects our industry and, by extension, your real estate transactions.

NAR recently announced an agreement that marks the end of litigation concerning claims brought by home sellers related to broker commissions. This settlement, which is pending court approval, will result in NAR paying $418 million over approximately four years.

What does this mean for you in a real estate transaction?

Typically, sellers have paid both commission sides: paying for their own agent representation and offering additional compensation to cover the costs associated with the buyer’s agent. For buyers, the cost of hiring an agent has been a cost that they have not been directly responsible for paying.

With the new ruling, sellers are no longer responsible for paying both sides of the commission. Buyers will now need to hire their own representation and will pay for that representation either as a flat fee or as a percentage of the sale, and these terms will be clearly negotiated and included in the buyer/broker agreement.

As your trusted real estate professional, I am committed to keeping you informed about developments within the industry. Rest assured that my dedication to serving you with skill, care, and diligence remains unwavering.

Now more than ever, who you use for real estate transactions matters.  As an agent with over 20 years experience, I have the ability to handle many of the issues that come up during the buying and selling process.   That experience in these current market conditions is invaluable in order to navigate a real estate transaction

Thank you for your continued trust and support. If you have any questions or concerns regarding this news or any other real estate matter, please don’t hesitate to reach out. Together, we’ll navigate these changes and continue to achieve your real estate goals.

For more detailed information about the recent settlement – click here..