The Settlement & What’s Next?

✏️ Over 1 million members nationwide (not affiliated with HomeServices of America & related companies).

 

✏️ Any officers, directors & other participants in NAR activities are released from liability nationwide, of local/state associations & REALTOR® owned multiple listing services (MLS).

 

✏️ Practice changes will be implemented mid July 2024.

 

✏️ NAR will pay $418 Million over 4 years.

 

✏️ This includes the 3 main lawsuits by sellers and all copycats. Not covered are the buyer plaintiffs’ suits.

📌 Buyer broker commission displayed in the MLS, which couldn’t be changed (unilateral offer).

 

📌 Most states only required agency disclosure to represent a buyer.

 

📌 Offer of dual or limited dual representation is common (e.g., open houses, sign calls).

 

📌 Opening a door for any buyer if it’s convenient.

 

📌 Limited discussion from some agents with buyers on services provided during the transaction.

🔑 No offer of buyer broker compensation in the MLS.

 

🔑 Sellers may offer concessions via MLS that could include buyer broker compensation.

       ○ Must be asked for in the contract.
       ○ Subject to open negotiations in the purchase contract.
       ○ Buyer agent may not be paid more than pre-negotiated amount on the buyer broker agreement.

 

🔑 May not offer services as “free” unless there are no financial compensation options from any source.

 

🔑 Buyer broker to negotiate fee and services prior to showing a property.

       ○ Compensation may not be considered “open” (e.g., “whatever the seller is paying”).

 

🔑 No requirement of blanket, unconditional, unilateral offer of compensation to a buyer broker.

       ○ Sellers may negotiate buyer-to-buyer if asked for as a concession (subject to price and other factors).

✅ Buyer and buyer agent must ask for the concessions in the purchase contract.

 

✅ Many MLSs are in development of seller concession to buyer fields.

 

✅ Potential verbiage for purchase contract: “Seller to credit buyer $N,NNN at close of escrow to satisfy buyers contractual agreement with buyer’s broker.”

 

🔖 Schedule time with me to learn more and how I already practice treating my buyer clients as I do my seller clients by providing extensive consultation of what clients can expect from engaging my services and enjoying my boutique-style, world-class service.

💡 Updates to local forms from the Arizona Association of REALTORS®.

 

💡 Updates to our multiple listing service (MLS) rules and forms.

 

💡 Likely changes within lending for FHA and VA borrowers as they are impacted by concessions and credits from the sellers to offset paying for buyer representation.

 

💡 Updates to the relocation market, pending those clients and how buyer representation will be provided and compensated.

 

📥 Download the Settlement Factsheet
🎥 What you need to know about the NAR’s commission lawsuit.

 

☎️ Mobile 602-517-4463
📧 Mail@JasonPetersonRealtor.com
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