NAR Settlement truths and myths
Hello everyone! I wanted to share some truths about the recent settlement news from The National Association of Realtors which have been widely misinterpreted by the media
It’s time to set the record straight and debunk some of these misconceptions.
2 Big changes from NAR
- Offers of compensation will be prohibited from MLS – although Realtors will still be able to display compensation in their own websites and their own listings.
- Realtors working with buyers will be required to enter into written buyer broker agreements that show amount of compensation, how the amount will be determined and where said amount will come from
MYTH #1
Realtors will no longer be able to set commissions
FALSE – commissions have always been negotiable and will continue to be negotiable
MYTH #2
“Americans will be able to negotiate real estate commissions for the first time” – this one via President Joe Biden
FALSE – will all due respect Mr. president – real estate commissions have always been negotiable. This settlement will not alter that
MYTH #3
Settlement Forces Brokers to reduce their compensation
FALSE
The market has always had a wide variety of fees, reflecting different levels of service, marketing, and competence. This settlement doesn’t dictate how brokers set their fees
MYTH #4
Sellers will no longer offer compensation to buyer’s agents – or prohibits sellers from paying a commission to buyer’s agent
FALSE
Sellers will still offer compensation to buyer’s agents. The settlement prohibits offer of compensation to be displayed in MLS, but not to be removed altogether. Sellers may still elect to pay buyer compensation and differentiate their properties.
There you have it, four debunked myths about the NAR settlement. We hope this discussion has helped set the record straight and brought some clarity to the topic
Related Posts
Celebrating Our January 2024 Achievers: The Stars of Avanti Way Sunny Isles
In the dynamic world of real estate, where tenacity meets talent, our agents across the brokerage stand out for their relentless pursuit of excellence. This January, a special acknowledgment goes to our distinguished achievers from the Sunny Isles East Miami Branch, who have not only outshined among nearly 1,800 agents but also set new benchmarks […]
Exploring Miami Real Estate: The Importance of Comparing Broker Options
When you are an experienced real estate agent looking for a new brokerage, you are thorough about interviewing companies that will be the right fit. You analyze change not only in terms of commission splits, culture, marketing, and support, but also in terms of what feels good for your business. You look for companies that fit your goals and will be go
Securing Your Future in Real Estate: Why Joining Avanti Way Sunny Isles Is Your Best Move
In the ever-evolving world of real estate, staying ahead isn’t just an option; it’s essential. At Avanti Way, we don’t just keep pace with changes; we lead them. Here’s why aligning with us positions you not just for success today but secures your role in shaping the future of real estate. Imagine being part of […]
What You Really Need to Succeed as a Miami Realtor in a Tough Market
Summary This post speaks directly to Miami Realtors who feel stuck or unsupported in the current market. It explains that success in a tough environment requires more than tools. It requires a clear strategy, a simplified system, and leadership that shows up. You introduce the Agentpreneur approach to help agents work with intention and improve […]
Leave a Reply
You must be logged in to post a comment.