03/20/2024
I've had lots of people come up to me in the last few days and ask "what's this news about real estate agents, commissions, and the housing market?" So I thought I'd try and bring some insight to those that are curious...I'll try to be concise:
-Things are still evolving, disclaimer: my word isn't the "final word"...in fact, no one's word, at this point, is the final word. A judge still needs to "sign off" on the things we're hearing about.
-Tons of misinformation out there, especially from the media, so don't believe everything you hear!
-Since forever, home Sellers have been responsible to pay commissions to BOTH their own agent (Seller's Agent) AND the Buyer's Agent, if the buyer has one. (Buyers don't pay anything in the form of "realtor commissions"). And the standard rate (not law) is 3% to each agent (total = 6% in commissions). NONE OF THIS HAS CHANGED AT THIS POINT.
-What HAS changed is that Sellers and Seller's Agent can no longer say on the MLS (Multiple Listing Service (a real estate agent's main guide for doing business)) is how much the Seller is offering to Buyers' agents in commissions (remember there is no law that dictates what amount that has to be).
-Another thing that may be changing is that Buyers will have to sign an agreement with their agent (Buyer's Agent) before that agent can show them any homes. It's a contract, if you will. This type of contract has always been encouraged, but not required. Now it will be required.
-These changes, planned for by the NAR (National Association of Realtors), have many implications in my opinion. I'll spare you the speculation and my opinions, but if you want to hear more in that regard, see next paragraph.
This info is just that...information only, based on current situation. And remember, you'll be hearing a lot of information that's not necessarily true. If you'd like to discuss more in depth, and explore how these proposed changes may affect your home buying/selling experience, and the housing market in general, please don't hesitate to contact me. I love talking about this stuff (Realtor and real estate agent nerd here).
As always, if you or anyone you know would like professional real estate assistance, please let me know...I'd love to help!
If you've gotten this far, thanks for reading ;)
-Jon