As a result of the settlement of a major lawsuit involving the National Association of Realtors there are new NATIONAL real state laws that will become mandatory in August 2024. Here is an explanation of the new rules …
- The new NATIONAL real estate rules require Buyers to sign an “Agency Agreement” with a Buyer’s Agent BEFORE the agent can show the Buyer ANY home for sale.
- The Agency agreement will include the Buyer Agent’s commission rate. The commission which in the past was paid by the Seller can now be paid by the Buyer if the buyer wants to purchase a home where the Seller chooses to not pay the Buyer’s Agent.
- If the Seller does not agree to pay the Buyers Agent commission in advance of receiving offers for the Seller’s property, the Buyer can submit offers which are CONTINGENT on the Seller paying the Buyer Agent’s commission.
- While it may be premature, most Realtors feel Sellers will continue to pay the Buyer Agent’s commission so it will be unlikely that Buyers will have to pay the Buyers Agent commission except on rare occasions at the Buyer’s discretion.