08/17/2024
So hereโs the latest and greatest in real estate that we all need to know.
Credit to Ellie Chan.
***Agents- please feel free to share. A few people have reached out to see if they could use my post. Absolutely ***
๐ค ๐ฝ๐๐ ๐๐๐๐ ๐คStarting August 17th across the country, if you're in the market to buy a home, thereโs a new step you cannot skip โก๏ธ signing a "Buyer Representation Agreement" before you even set foot in a property. Of course the media doing what theyโre best at doing, has confused and misinformed many people of whatโs actually happening here. This all pertains to the recent NAR Settlement. I will break it down for you as best as I can. My brokerage has been training this entire year for these changes and we are here to embrace them and adapt to the new policies. Do not be afraid of these changes, folks. Itโs so much to try to explain here online, but rest assured, I am here to help you navigate thru all of these new practices. This is my livelihood. 10 years in the business and going strong. I am here learning, researching and staying on top of the Real Estate game on a daily basis. I am 100% prepared for this and ready to assist you, whether youโre buying or selling.
โญ๏ธ๐พ๐ผ๐'๐ ๐ ๐
๐๐๐ ๐๐๐๐ ๐๐๐ ๐๐๐๐๐?!
Nope, not anymore! As of August 17th, no real estate agent will be able to unlock that door without you first signing an agreement. Itโs a must for any licensed Realtorยฎ, and there are no exceptions. Doing so could result in thousands of dollars in fines. Just as a seller hires an agent to represent them in the sale of their home, a buyer would be hiring an agent to represent them in the purchase. This is a good thing!
โญ๏ธ ๐๐๐ผ๐ ๐ผ๐ ๐ ๐๐๐๐๐๐๐?
The Buyer Representation Agreement is a contract between you and your Realtorยฎ. It lays out that youโll be working with them to buy your home and details their roles, duties, and responsibilities. This document also outlines the commissionโwhether itโs coming from you, the seller, or a mix of both. Whatever is agreed upon in this contract is the maximum commission your agent can earn from your transaction. Note โก๏ธ This paperwork does not apply to those who attend an open house. However, the moment you start discussing making an offer, or visiting other similar properties, you will have to enter into an agreement with an agent if you are not in one already โ๏ธThere are also other agreements that you will be able to sign if you do not want to commit to an agent long term. Example- if you only want to look at one specific property or go out house shopping for one day only. But those forms will have all the same details on them as the Buyer Representation Agreement and will need to be established and signed prior to touring a property.
โญ๏ธ ๐๐๐๐ ๐๐ ๐๐๐๐ ๐ฝ๐๐๐๐'๐ ๐ผ๐๐๐๐
Your agent will guide you every step of the way, from expert property searches to seamless closing coordination. Their experience and dedication will make your home-buying journey smoother and more successful. A buyer's agent can offer valuable services and protect you from legalities that can cost you thousands (please ask me what my direct experience is with this and how I saved buyers from a costly nightmare). A buyerโs agent helps you to reduce your risk!
โญ๏ธ ๐ฟ๐ ๐ ๐๐๐ผ๐๐๐ ๐๐ผ๐๐ ๐๐ ๐๐ผ๐ ๐พ๐๐๐๐๐๐๐๐๐?
Maybe, maybe not! With the new rules, the MLS wonโt be showing whether the seller is offering to pay your agentโs commission. But donโt worryโcommissions are negotiable, and there are multiple ways your agent can be compensated. The seller might cover the fee, it could be broker to broker, or it could be arranged as a concession or credit. In some cases, the buyer might need to pay the commission directly, which will all be outlined in your agreement and disclosed on the settlement statement. Our lender partners will assist in breaking down all of this information for you before the home shopping process even begins. If you see social media posts and sign riders communicating information about commission, this is totally legal. It is just not allowed in the MLS or any platform associated with that.
โญ๏ธ ๐๐๐ผ๐ ๐ฟ๐๐๐ ๐๐๐๐ ๐๐๐ผ๐ ๐๐๐ ๐ผ ๐๐๐๐๐๐?
When it comes to compensation, sellers can and probably will continue to offer compensation for a buyerโs agent to assist in getting their home sold. Maybe they won't. This is and always has been negotiable. The big difference is that the disclosure of compensation is no longer listed in the MLS. Moving forward, buyer's agents will call listing agents to confirm if and how much the seller will compensate or simply write it into the offer in the form of a concession.
โญ๏ธ ๐๐๐ ๐๐๐๐ ๐ผ ๐๐๐ผ๐๐๐๐ยฎ?
Choosing the right agent is crucial! August 17th marks a major shift in how real estate deals will be done across the country. The Buyer Representation Agreement is just one part of the changes, but itโs a big one! Understanding these changes is fundamental to a smooth and informed real estate transaction. A skilled buyer's agent can provide invaluable services to help you find your dream home or sell your property efficiently. A skilled and trained listing agent will be able to easily navigate these monumental changes in Real Estate for you.
โญ๏ธ ๐๐๐ผ๐๐๐๐๐ & ๐๐๐ผ๐๐๐๐ผ๐๐๐๐พ๐
Now more than ever, itโs essential to align with a full-time, professional Realtorยฎ who can guide you through these changes and ensure a smooth buying process. The stakes are higher, but with the right agent, youโre set for success!
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It's also important to note that as a Realtor, we do not have to commit to a client that we don't see as a good fit. For me personally, I know my value and what I bring to the table so if an agreement cannot be made or it just doesn't feel right, I will move on to the next client who can see and understand the importance in that value. Just like everyone else, we have to put a roof over our heads, we have bills to pay and need to put food on the table for our families. Our time is just as precious and important as anyone else's. I am very fortunate to have an extremely strong referral base and ISO and these amazing humans appreciate my value (thank you from the bottom of my heart. I am always beyond grateful for you all) ๐ฉต
โญ๏ธ ๐๐๐ฝ๐๐ผ๐พ๐ ๐๐๐ ๐พ๐๐ผ๐๐๐
This is a fantastic opportunity to work with the best in the industry. Let's leverage this new landscape to your advantage! Reach out with any questions that you may have.
Sharon Maynard
Showcase Property Management LLC
Home of Showcase Property Management
321-543-4068
