Many people have inquired about the NAR settlement announced earlier this year, which takes effect this week. Starting August 17, new regulations will change how Realtors are compensated for buying and selling homes. There are two main updates you should know about.

First, agents’ compensation or commissions will no longer be listed on Multiple Listing Services (MLS), the centralized databases used by Realtors to share property information. Compensation details can still be shared through other channels, such as personal communication or over the phone. This change is expected to increase transparency in commission structures and a reminder to all they are negotiable.

Second, buyers’ agents will now need to discuss their compensation upfront. Beginning August 17, buyer agents must establish a written agreement with prospective homebuyers before showing properties. This agreement clarifies that buyers are responsible for paying their agents if the seller does not cover these costs. This is a standard practice in the Northeast and should be familiar to many & my guess is we will see more buyers go directly to the listing agent.

If you have any questions, feel free to contact me directly.