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
Join Avanti Way: Where Leadership and Innovation Define Your Success
At Avanti Way, leadership goes beyond the traditional role of managers. Our leaders actively engage in shaping the real estate landscape not just locally, but also at the state and national levels. Take Ines, for example, who served as the 2023 Chairman of the Board for Miami Realtors. Her involvement doesn’t stop there; she’s deeply […]
Are You the Real Deal? Join Avanti Way’s Team of Mavericks
Miami’s real estate scene is buzzing, and at Avanti Way Realty, we’re playing a big part in that. But here’s the thing—we’re not looking for just anyone. We’re on the hunt for mavericks: agents who think differently, act boldly, and are ready to redefine what’s possible in real estate. Technology That Puts You Ahead We [&he
Unlock Your Potential: Expert Training on Avoiding Common Mistakes for Miami Real Estate Agents
In the dynamic world of real estate, knowledge is not just power—it’s protection. At our Sunny Isles Branch, we recently delved into an essential training session focused on common real estate agent mistakes, top violations, and the strategies to avoid them. The importance of understanding the rules, recognizing common pitfalls, and the consequences of
Celebrating Excellence at Avanti Way Sunny Isles: February 2024’s Top Achievers
In February, Avanti Way Sunny Isles was home to standout performances that underscore our commitment to excellence in real estate. Our agents’ drive and professionalism shone brightly, with two individuals leading the way: Juan Ramirez topped the charts in transactions, demonstrating seamless deal facilitation and client dedication. Sandra Centeno excelle
Leave a Reply