Buy Side
New Forms FAQ
1. What is the BHHS Select Properties minimum commission?
BHHS Select Properties broker policy is a commission of 2.7% or greater. Anything lower than 2.7% requires broker approval before acceptance.
2. Is Broker compensation entered on line 43 of the Buyers Exclusive Agency Agreement? Yes, it is.
3. If we agree to accept less/more than what is noted in the Buyers Exclusive Agency Contract, can we draft a new agreement or an amendment?
Yes. An agent may not receive compensation for brokerage services from any source that exceeds the amount or rate agreed to in the Buyers Exclusive Agency Contract with the buyer. If compensation is provided by the seller and/or listing agent that exceeds the amount or rate set out in the Buyers Exclusive Agency Contract, acceptance of additional compensation could be accomplished by providing disclosure to the buyer before the buyer makes or accepts an offer and confirming the revision to the amount or rate of compensation in writing with an amendment.
If the agent agrees to accept less than the amount or rate agreed to in the Buyers Exclusive Agency Contract with the buyer, the acceptance of less compensation could be accomplished by providing disclosure to the buyer before the buyer makes or accepts an offer and confirming the revision to the amount or rate of compensation in writing with an amendment Please note, BHHS Select Properties broker policy is a commission of 2.7% or greater. Anything lower than 2.7% requires broker approval prior to acceptance.
4. Will we be using the St. Louis Realtors Association Buyers Exclusive Agency Contract or is the company generating its own forms?
We will use SLR forms starting July 23 and will continue to monitor for any future changes.
5. The lawsuit prevents us from using the word "minimum" because it indicates that it is nonnegotiable. What is the suggested terminology? “Broker policy” is the preferred terminology (see lines 37 & 38 of the Buyers Exclusive Agency Contract).
6. Will all current Buyers Agency agreements be required to sign a new one?
No, agents need to execute Buyer Commission Agreement Form BHHSSP 152 in this circumstance.
7. Does the $395 Broker Compensation Fee go on line 47?
Yes, it does. The form in SkySlope will be pre-populated with the $395 Broker Compensation fee but can be edited by agents and increased to $495.
12851 Manchester Rd., Ste 100, St. Louis, MO, 63131 A member of the franchise system of BHHS Affiliates, LLC 7/22/2024
8. Under what circumstances would we use Buyer Non-Exclusive Agency Contract #2124?
Never. Our company works under a designated agency and does not operate in a transaction brokerage status/relationship.
9. Under Broker Compensation on the Buyers Exclusive Agency Contract, can we check the box and put 2.7% for compensation and then for the "other" write "if property payout is at least 2.5%, it will be acceptable"?
No, compensation in written buyer agreements must be expressed in a specific percentage rate. The compensation must be objectively ascertainable and not open-ended. Ranges of compensation (such as 2-5%) with no means for the buyer to determine the buyer’s obligation are not permitted, nor are open-ended expressions such as “compensation will be whatever amount the seller or listing broker is offering” or “2.5% plus any bonus/incentive offered by the seller.”
Buyer broker compensation cannot be expressed as “N/A, zero, $0, waived, seller-paid”, etc.
10. Can the buyer's agent fill out and submit a Cooperative Compensation Disclosure with their contract if there isn't one provided?
Yes, and they should always include with the contract.
11. Since compensation is part of the sales contract and considered part of the overall closing costs, could commission disputes then hold up closing?
Yes, when there is a dispute over closing costs, it can delay closing.
12. Does anything change for agents representing buyers in a new construction deal, aside from the new Buyers Exclusive Agency Contract?
No, since builders will not sign any brokerage forms.
13. Can we sort out listings that aren’t paying a buyer’s agent?
It is not permitted to filter out or restrict listings displayed to consumers based on the level of compensation being offered to buyer agents. Sorting or ranking of results, without removing any listings that otherwise fit a client search, is not filtering out or restricting listings.
ALLOWED: Sorting presents ALL matching listings in a certain order NOT ALLOWED: Filtering excludes some matching listings
List Side
1. Will all current or pending listing agreements be required to sign a new one?
No, if it was signed before August 1st, 2024, and is current, a new one will not be needed. If it expires, then a new Listing Agreement will need to be executed; however, any offers of compensation made through the MLS prior to August 1st, 2024, which result in a transaction that remains pending after August 1st, 2024, are legally binding and fully enforceable. Those transactions will require the agent and broker signature (and agent should send to the seller) Listing Contract Settlement Disclosure Form #2050.
2. Other than stating the cooperating compensation in our listings, on our REWS website, are there any plans with the brokerage to have one site where all company listings and cooperating compensations will be available to the public?
Yes, all the compensation will be advertised on our company website. It will be public facing.
3. Will cooperating compensation field be added to the REWS Bulletin Board for Office Exclusive listings? No.
4. What is the company recommendation to minimize the amount of cooperating compensation inquiries for agent listings?
BHHS Select Properties recommends updating your voice mail and creating auto text responses directing agents to personal websites
5. If we explain to the seller all the advantages of paying a buyer's agent and tell them compensation is negotiable and then they do not want to pay or offer little, how do we manage that?
All commissions are negotiable BHHS Select Properties broker policy is a commission of 2.7% or greater
6. Does it matter what dates are used for the buyer and seller on the Cooperative Compensation Disclosure?
If the listing agent provides the CCD:
• The listing side should be dated when the listing agreement is signed.
• The buy side should be dated when the contract is signed.
If the buyer’s agent provides the CCD:
• The buy side should be dated when the contract is signed.
• The listing side should be dated on or before the acceptance deadline date of the contract.
Please note practical considerations may apply. The CCD Form is part of the contract, any modifications must be amended or acknowledged by all parties.
MLS
1. Update 24.8.3…what is this and how is it to be used?
The Seller Pre-Sale Concession is a yes/no option that may be selected on listing in the MLS, to indicate the seller’s willingness to consider an array of concessions.
2. Who is the governing body that decides what will be allowed in the agent remarks?
For example, can I write “Visit www.enterteamnamehere.com for more information on my listing” OR “Visit www.anyhomebuilder.com for more information on this listing”?
The governing body is the Maris BOD. You cannot include links to external websites with compensation listed.
The information provided in this FAQ is preliminary and could change as we navigate the new forms and subject to change with the ongoing settlement between NAR and the DOJ.