Jacksonville, Florida – The National Association of Realtors (NAR) is making significant changes to its real estate policies following a series of lawsuits relating to the setting of agent commissions. The NAR recently agreed to pay $418 million in order to assist home sellers. One of the key changes involves the responsibility for paying the buyer’s agent. Under the new policy, the buyer will be required to pay their own agent unless the seller agrees to do so.
Another notable rule modification is the prohibition on disclosing the amount of money agents receive for selling a home on Multiple Listing Service. This aims to prevent real estate agents from prioritizing properties based on commission rates. In addition, the NAR is advocating for the implementation of a “buyer’s brokerage agreement” between the buyer, the buyer’s agent, and the agent’s office. This agreement would outline the duties of the buyer’s agent and specify the charges to be paid by the buyer.
Reactions to these new policies are mixed. Jacqueline Walker, a realtor with Florida Homes Realty and Mortgage, expressed a neutral stance, stating that she neither supports nor opposes the changes. She highlighted the potential impact on the many realtors in Florida, suggesting that these policies could significantly affect their livelihoods. However, Walker also emphasized the importance of realtors delivering high-quality services to clients and being compensated accordingly.
News4JAX insiders weighed in on the alterations, offering differing opinions. One insider voiced concerns about the added financial burden on buyers, which could make purchasing a home even more challenging. Conversely, another insider viewed the changes positively, believing that they would keep more money in sellers’ pockets. The insider also anticipated an uptick in the market as the commission is now negotiated between the seller and agent.
If approved by a judge, these policy changes are expected to take effect by the summer. The NAR hopes that these amendments will address the lawsuits and establish a fairer system for all parties involved in real estate transactions.