glitterpunkrealtor blog
NAR Settlement 2024
August 17, 2024
Recently the National Association of Realtors® (NAR) entered a settlement for a class action law suit regarding agent commissions. NAR has provided a page on their website to help with the details which can be found at NAR Settlement FAQs
These FAQs explain why NAR chose to settle and lay out the overall impact of the settlement for homebuyers, home sellers and agents.
What’s different?
No Longer Automatic: Previously, sellers typically paid a commission split between the listing agent and the buyer’s agent. Under the new rules, this is no longer automatic.
Direct Negotiation: Buyers will now need to negotiate their agent’s fees directly. This means there’s more flexibility in pricing, but it also requires more upfront discussion.
Transparency: The new rules aim to increase transparency by requiring agents to disclose their fees upfront. This can help clients make more informed decisions.How to Explain This to Clients
What does this mean for clients?
Increased Flexibility: While the process might seem more complex, it also offers greater flexibility. Clients can now negotiate fees based on their specific needs and the value they perceive the agent is providing.
Importance of a Strong Agent: Even with the new rules, a skilled agent can still provide significant value. They can help navigate the negotiation process, negotiate favorable terms, and offer expertise in the local market.
Negotiation Tips: Offer guidance on how clients can effectively negotiate their agent’s fees. This might include discussing the agent’s experience, the scope of services they’ll provide, and the value they bring to the transaction.
Where can you find out more information?
Local Real Estate Associations:
News Outlets: Keep an eye on local and national news outlets for articles discussing the new rules and their potential impact.
NAR (National Association of Realtors): The NAR website may have information and resources related to the commission changes.By providing clear explanations and guidance, you can help your clients navigate the new commission landscape and make informed decisions about their real estate transactions.
More Resources
- NAR Consumer Resources
- Redfin - Housing Market
- Realtor.com - Real Estate News
- Bankrate - Real Estate
Understanding Real Estate Practice Changes and the Impact on the Consumer
How are you feeling about the new rules?
Tell me about it online! @glitterpunkrealtor
I am a local Las Vegas real estate agent. If you are in the Las Vegas area and need real estate help, I’m happy to be of service! Send me a text to schedule an appointment today. Or you may book an appointment online here.
