R E P R E S E N T A T I O N W h a t y o u N e e d T o K n o w
When We Start To Work
The 2024 NAR/DOJ settlement has introduced important changes to how buyer representation and compensation works in real estate transactions. Here’s what you need to know..
Buyers and Their Brokers
This is defined as the time when an Agent begins consulting, providing listing information, scheduling showings, and meeting with Buyers. Virtually or in person
The settlement eliminates the ability for listing brokers or sellers to offer compensation to buyer brokers within the MLS
Cooperation between Brokers often remains, but without predefined compensation fields
MLS and Advertising
C L A R I F I C A T I O N W h o P a y s W h o a n d H o w ?
Written Agreements Required
Compensation has always been fully negotiable between the seller and listing agent as well and then advertised to buyer’s brokers. The change affects the way advertising Compensation can be arranged and paid in a variety of ways which your agent will review.
Compensation
Buyers MUST enter into a written agreement with their Broker BEFORE touring homes. This is not optional
This agreement includes clear disclosure of the Buyer’s broker’s compensation, ensuring transparency and mutual understanding, and discloses a Buyer’s obligation should Sellers nor their Brokers do not offer compensation to Buyer’s Agent.
Written agreements can be One-time
Showing Agreements, (very limited service offering), or Exclusive Buyer’s Broker Agreements (highest level of service provided by experienced, professional agents following you throughout your home buying journey and beyond)
Does going to a listing agent or seller directly affect me as a Buyer?
Yes, You are unrepresented in this scenario.
Differences in Representation
W H A T T H I S M E A N S F O R Y O U
Compensation
Your selection of an experienced agent has never been more important. Choose your agent wisely! Your loyalty is also solidified to agents putting much time into all the work needed to show your homes and help you negotiate contracts
Flexibility
You have more control over how your buyer broker is compensated. You can select agents for their skill, knowledge and abilities
Transparency
ll terms are openly negotiated, providing a clearer understanding of costs and services
Compensation in offers will be disclosed to all parties
Clarity Guidance
Your buyers broker will assist you throughout the entire process, from searching for homes to closing the deal. The written agreement ensures you know exactly what to expect, making the process less daunting.
