03/21/2024
Top 3 Tips Buyers and Sellers Need To Understand About The NAR Lawsuit
1. Commissions are and ALWAYS have been NEGOTIABLE. Commissions can be paid hourly, by flat fee, percentage of purchase price and more.
- Sellers that weren’t aware of this may enjoy more control over negotiations, potentially leading to savings.
- Buyers may need to come prepared to pay their agents a success fee if the seller is not offering commission. This will be detailed out in a Buyer’s Agreement with your agent, which will be required in July. In Colorado, this has always been a required document so for my current, past, and future clients there will be no change for you.
2. Home prices are not going to suddenly drop even though a seller is not offering buyer’s agent compensation.
3. Sellers make sure you are informed with the potential ramifications of not offering buyer’s agent commission. This may deter potential buyers from seeing your home because they simply cannot afford to pay their buyer’s agent. The buyer’s agent is crucial when negotiating contracts, EXPLAINING contracts to buyers, scheduling and attending inspections, coordinating follow up inspections and requests for repairs, communicating with their lender, and much more. We don’t just open doors for buyers.
If your agent is like me, a transparent and open communicator, ESPECIALLY when it comes to commissions, this shouldn’t be a big change.
As you go on your home buying or selling journey, making sure you are working with an agent who values open communication and negotiation will determine the success of possibly your largest financial investment to date.
