How the NAR Settlement: Key Changes You Should Know

Two key changes stand out: new rules around buyer agent compensation information and mandatory written agency agreements. Here's what you need to know about these changes:

 

Effective August 17th 2024, listing agents are prohibited from including buyer agent compensation details in the Multiple Listing Service (MLS). This historic practice made it easy for buyer agents and their clients to see the commission offered by the seller through cooperative compensation. Now, agents must obtain this information directly from listing agents, adding extra steps to the home-buying process.

 

Effective July 1, 2024, all homebuyers will be required to sign a written Buyers Agency Agreement with their agent before touring any homes, whether in person or via live virtual tours. Previously, agents could use verbal agreements, allowing buyers to explore homes without initial paperwork. This new requirement ensures that buyers understand a buyer's agent's services are not free, and buyers will be responsible for paying the agreed commission, either partially or in full, to their agent if the seller offers only partial or no cooperative compensation.

 

These changes might add new steps, but real estate agents are working hard to adapt and ensure a smooth experience. If you're buying or selling on the OBX, and reach out to me, your local real estate expert, for guidance through these new requirements.