New Real Estate Rules Transforming Commission Structure for Home Sales
The Impact of New Real Estate Rules
The new real estate rules starting this weekend change the way commissions are handled in home sales. Realtors will no longer offer compensation on multiple listing services (MLS), which complicates negotiations.
Key Changes to Commissions
- Starting Saturday, no commission offers on MLS
- More negotiating power for sellers
- Potential costs shifts towards buyers
As a result of these changes, home sellers can now negotiate more flexible commission rates, possibly leading to lower costs associated with selling a home. This historic shift, following a $418 million settlement with the National Association of Realtors (NAR), instills both excitement and anxiety across the real estate landscape.
Buyers Face New Challenges
With the MLS no longer facilitating commission disclosures, homebuyers must navigate this new landscape of potential extra costs.
- Written agreements with agents are now necessary before showing homes.
- The possibility of higher buyer costs could be a deterrent for first-time buyers.
Industry experts note that understanding these new rules will be vital as they will likely lead to increased transparency and might ultimately lower commission fees over time.
This article was prepared using information from open sources in accordance with the principles of Ethical Policy. The editorial team is not responsible for absolute accuracy, as it relies on data from the sources referenced.