NAR Provides New Guidelines and Clarifications for Settlement Changes

On April 24th, the judge in the Sitzer Burnett class action lawsuit granted preliminary approval of the settlement put forth by the National Association of Realtors.

Now that the settlement is moving forward, NAR is slowly starting to provide greater clarity and guidance around the new rules, timelines, and terms. In the latest update to their FAQ, NAR provided greater clarity around open houses, home tours when you represent the seller, where you can advertise seller compensation, and more.

We break it all down in this episode of the Chris and Garry Show!

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[jdanorthwest]

I feel sorry for anyone wanting to buy real estate now. If you thought things were a mess before (they were) you're going to be shocked by the levels of agent desperation we'll be seeing in the future. I look for corruption to skyrocket in the coming years.

[brettshegogue]

So much unknown right now, however, I have already seen sellers in my area listing with 0% buyer agency commission. I have yet to see any viable solutions to assist buyers from a financial standpoint. The most effected by this are first time buyers who are usually already strapped for cash. Makes an already tough market even harder from first time buyers.

[Yourhomegirl-Lisa]

This lawsuit sounds like the sellers agent did a poor job of effectively conveying how commissions are paid and distributed in a real estate transactions. 6% is split between the two agents and is distributed at closing which is usually covered by the loan the buyers obtain.

[francineloring]

What is the name & source of the document you are discussing? how do you obtain the list of points regarding buyers you are discussing ? TY

[tracythrowerconyers]

Good thing Garry's definition of working with a buyer isn't the standard. Then there would be no online lead generation. We're all sending listings working toward getting the kind of meeting Garry talks about. Also, I think the practice changes slipped in timing because they were tied to preliminary approval of the settlement, which slipped. Now that preliminary approval has been granted, I don't expect to see any more sliding in the schedule.

[CorinneGeiger]

It's not only about compensation, it's about representation. This is going backwards. Bringing back sub agency, and what about the CIS? Before speaking with a client at all!

[LuvvlyProperties]

Is there an agent/buyer script that agents can use to roleplay in regards to getting buyers to sign the buyer's agreement?

[MK-ftqt]

The lawyers make millions and people who sold their homes get $13. People selling a house in the future will make money by not having to pay the buying agent saving thousands.

This whole thing is a disaster.

[daniellesellsnj]

So if your a listing agent and a buyer comes to you, how does that work?

[MrBendOregon]

I’ve got hundreds of videos on YouTube. Property walkthroughs.

[stedmays]

UNCLEAR AND CONFUSING FOR BUYERS --- in cases where the seller doesn't pay the buyer's agent, how are buyers supposed to negotiate with their agents and decide upfront on buyer's agent commission when the industry hasn't established what the new norms are?

[FirstAmericanRE]

California law will be you must have an agreement prior to writing an offer.
Quit NAR!