Fact or Fiction??
Many of my Sellers and Buyers have been misinformed on how the NAR Settlement has impacted them, Realtors, the process of Buying and Selling homes, and the Real Estate industry in general. I would like to breakdown some of those Facts and Fictions for you. Please call me directly at (713) 899-7330, for a further conversation.
Fact or Fiction #1
If you want to tour a home with a realtor, you are NOT required to Sign a Residential Buyer/Tenant Representation Agreement with your Realtor, just to look at a property.
FICTION! Based on the new NAR (National Association of Realtors) Settlement, you ARE required to sign a Residential Buyer/Tenant Representation Agreement. This is a required national standard of practice and encourages transparency between the Buyer(s) and their realtor. It ensures that both parties are on the same page, and clearly outlines services provided, as well as any negotiated fees.
Fact or Fiction #2
Because of the NAR Settlement, Realtors are forced to reduce their fees.
FACT! But hang on, this is not a “Real Impact”. Realtors have always been able to negotiate their fees with clients. Fees are based on services provided, market, the overall value that the Realtor brings to the table for their client. For example: Is the Realtor able to understand, communicate and negotiate a complex contract? Do they have systems in place that help provide a smooth transaction? Do they have a proven track record with years of experience or are they new to the business.
Fact or Fiction #3
Sellers are no longer required to pay for the Buyers Agents Compensation Fee.
FACT! However, the Seller has NEVER been required to pay for the Buyers Fee. But, why wouldn’t you want to use this resource? As a Seller, working with Buyers Agents has statically proven that your home sells for more, and for less days on the market. After all, the end goal is to get your home sold the most money.
Fact or Fiction #4
Sellers are NOT able to advertise what they may pay for Buyers Agents.
FACT! Sellers still maintain control over what they are willing to pay in compensation, However, they are No Longer able to advertise what percentage of compensation on the MLS, or and services related to the MLS Listing. This is a positive to the Seller. It is easier now able to factor this cost in, based on the “negotiated offer”.
Fact or Fiction #5
I’m a home Buyer, and I’m now “forced” to pay my Realtor, for navigating me through he home buying process.
FICTION! In most cases, the Seller is still willing to pay for the Buyers Realtor Compensation. However, there are some caveats, so it is important to have this conversation with your realtor at the beginning of the home buying process. Remember, everything is negotiable.
When it’s all said and done, not a lot has changed due to the NAR Settlement. It encourages more transparency and promotes more conversation with your realtor, whether you’re the Seller or the Buyer. Fees for both Sellers and Buyers have always been and will continue to be negotiable.
For more information, call me. Tricia Neely (713)-899-7330
