Real Estate
If you are thinking about selling your home, you likely heard about NAR guidelines that started over the weekend. There are many opinions and doomsday thoughts that have been thrown around about the changes. So let’s take a look at what the decision actually means for you as you think about selling your house.
New NAR Guidelines
The lawsuit revolved around agent commissions. According to The Daily Record, the lawsuits are “claiming homeowners have been unfairly forced to pay artificially inflated agent commissions when they sold their home.” While working to settle the case, the National Association of Realtors say, “The settlement, which is subject to court approval, makes clear that NAR continues to deny any wrongdoing in connection with the Multiple Listing Service (MLS) cooperative compensation model rule (MLS Model Rule) that was introduced in the 1990s in response to calls from consumer protection advocates for buyer representation.”
But What Does This Mean For You?
NAR has been in and out of litigation all over the country for years on this topic. The recent settlement puts to rest the long term lawsuits. And it shook the world of real estate quite a bit. The ultimate goal surrounding this was transparency. It’s meant to help buyers and sellers know where money goes when a real estate transaction takes place.
The first thing to know is that it is not really new. Though this just went into effect, agents have known this was coming for months so they should be prepared. You are looking at 2 different aspects of this rule that could affect you or your potential agent.
MLS Listing
NAR describes the first portion by stating, “NAR has agreed to put in place a new MLS rule prohibiting offers of broker compensation on the MLS. This would mean that offers of broker compensation could not be communicated via the MLS, but they could continue to be an option consumers can pursue off-MLS through negotiation and consultation with real estate professionals.” Essentially this means that the rules have not changed. The way that agents can communicate about sellers potentially paying for the buyer agent fees has changed.
Buyer Agreements
NAR describes the second by stating, “NAR has agreed to enact a new rule that would require MLS participants working with buyers to enter into written agreements with their buyers.” Agents already do this with sellers, so now buyers get the same protections!
Avoiding The Changes
The best part of this, is that there is an easier way. When you sell your home for cash with Eric and ASDM Homes, we don’t deal in agent fees. If you don’t have an agent, the offer we give you is the full amount you get! If you do have an agent, we cover their fees! We also handle closing fees, so aside from your loan, the money is yours! If this sounds like the right fit for your next transaction, contact Eric today to get your cash offer!