How the NAR Settlement: Key Changes You Should Know
If you're keeping an eye on the real estate world, you might have heard about the recent settlement involving the National Association of Realtors® (NAR). While the specifics of the settlement might be complex, its effects are already rippling through the industry nationwide, including here on the Outer Banks. 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: Changes in Buyer Agent Compensation Public Disclosure 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. Mandatory Written Agency Agreements 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.
Working With Real Estate Agent SCENARIOS (Sellers)
When you're selling your property, understanding the different types of agency relationships can help you navigate the process smoothly. Let's break down 3 common scenarios you might encounter: Scenario 1: Seller Agency - Two Firms, Two Agents. You're working with CB Seaside Realty, and I'm your listing agent. Suppose an agent from XYZ Realty shows your property to their client-buyer and prepares to present an offer on behalf of their client. In this situation, there are:- **Two Firms:** CB Seaside Realty (representing you) and XYZ Realty (representing the buyer).- **Two Agents:** One from each firm. This setup ensures that both the buyer and seller have separate representation, with their interests advocated by different firms and agents. Scenario 2: Designated Dual Agency - One Firm & Two Agents You're working with CB Seaside Realty, and I'm your listing agent. An agent from CB Seaside Realty, representing a client-buyer, shows your property and plans to present an offer.Here, the scenario involves:-**One Firm:** CB Seaside Realty, acting as a dual agent.- **Two Agents:** Both agents are from CB Seaside Realty, but each represents a different side (buyer and seller). In this arrangement, CB Seaside Realty acts as a dual agent, but the two agents within the firm represent opposing sides, ensuring that each party's interests are still individually advocated for, albeit within the same firm.Scenario 3: Dual Agency - One Firm, One Agent In this case, you're working with CB Seaside Realty, and I'm your listing agent. I also happen to have a client-buyer who is interested in your property and ready to present an offer. Here, the scenario involves:-**One Firm:** CB Seaside Realty.-**One Agent:** I'm representing both the seller (you) and the buyer. In this situation, CB Seaside Realty, and I as your agent, represent both sides of the transaction. While this can streamline communication and negotiation, it also means that I have to balance the interests of both parties, maintaining fairness and transparency throughout the process. In a listing agreement, the sellers have the option to choose the type of agency relationship they agree to. It's important to note that excluding any particular type of agency relationship can limit the pool of potential buyers, potentially affecting the sale of your property. Therefore, it's beneficial to understand the implications of each type of agency relationship before making a decision.
New Septic Rules Effective 01/01/2024
Friends & Clients, I'm posting this to inform you about some crucial updates regarding new septic rules that came into effect on January 1, 2024. These changes are retrospective and may have significant implications for homeowners on the Outer Banks.One of the most important changes pertains to the repair of failing septic systems. If the county health department has designated a septic repair area for your property in their records, it's now mandatory that any new system be installed in that specific area. However, this requirement poses challenges when the designated area is insufficient for a conventional septic system. In such cases, homeowners are obligated to install an engineered septic system, which can substantially increase replacement costs and maintenance expenses. For properties where there are no designated repair areas in the county records, the county will now use their best professional judgment to determine the appropriate course of action for repairing failing septic systems. Unfortunately, there is currently a lack of clarity on several important matters. It's unclear what steps should be taken if a designated repair area is inaccessible or if reassignment of repair areas is possible. Additionally, there are no specific guidelines on how to proceed if a newly installed system in the designated repair area also fails. To address these concerns, county officials are collaborating with legislative committees to develop solutions tailored to our region's needs. Request Dare County septic records for your property: Click HERE Watch OBAR Septic Rules Presentation:Click HERE In light of these changes, I strongly encourage you to reach out to the county to inquire about any designated repair areas for your property. Additionally, it's essential to ensure that your current septic system is well-maintained and regularly pumped to prevent any potential issues.For details call the Dare Environmental Health Department at 252-475-5080.
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