22/08/2024
📣🔴Credits to who originally condensed the real estate changes into this summary.
🚨 **BIG NEWS** 🚨
As of August 17th, a Realtor CANNOT show you a home unless you have signed an agreement with them. This is Nationwide, and it is mandatory 🇺🇸.
Starting August 17th a Realtor will not be able to show a home without you first signing a Buyer Agency Agreement or a one time Showing agreement. This will be non negotiable for any real estate agent with a Realtor designation (one who agrees in advance to abide by the Code of Ethics). In regards to the Buyer Agency agreement, this is your contract between you and your Realtor saying you will be hiring them to purchase a home and agree to the roles, duties and responsibilities owed to you by your agent and your duties to your agent. 🤝
Interviewing and coming to an agreement with the agent of your choice is an important decision and not one that should be forced upon you. Interview, and choose wisely. These agreements have been around for a long time. Agreements are and always have been negotiated, just like compensation. Remember, interview your Realtor, get referrals from your friends, and make your decision. 🤔
Purchasing a home is a HUGE step! You’ll want someone that will look out for your best interest, someone that knows the local market well, someone that understands the contracts and addenda, someone that can explain your contractual deadlines and someone that will answer your call or text! You DESERVE an expert 🧠.
A couple key points on the new changes:
- BUYERS AGENTS ARE STILL BEING PAID COMMISSIONS (now referred to as “Compensation”. There is just more transparency as to how they are being paid, and it is detailed in the Buyer Agency Agreement.
- Sellers can and in most cases WILL continue to pay the buyer agent compensation. Either directly to the buyers agent or indirectly through the listing Broker to the Buyers agent (as it has been done in most cases for over 100 years!)
- Seller's Agents can no longer openly advertise the compensation that they or the seller is willing to pay in the MLS.
- Sellers cannot pay the buyers agent more than what the buyer and their agent agree to in writing prior to showing homes.
- Should the seller choose not to pay the buyer's agent, the buyer is obligated to either pay their agent directly, negotiate the compensation amount within their purchase offer as a concession or choose a different house to purchase. All of these options are completely negotiable and detailed in the Buyer Agency Agreement.
- The length of the agreement and the specific terms within it are completely negotiable between the buyer and their buyer's agent so don't stress over being locked into some long and complex contract. Just have a great conversation with your buyer's agent and know exactly what you're signing before you start the process.
You can always call me if you’d like more details. Happy to answer absolutely any questions you may have!
