What the NAR Settlement Means

By Josh & Virginia Rowland

I’m Josh Rowland with my wife Virginia. We’ve closed 200 sales here in Colorado Springs and I’m very confident that I know what I’m doing to represent you in a sale.

Realizing the recent changes in Realtor commissions related to the NAR Settlement can be a daunting task, with confusion abound in the real estate market. Here are some facts for you to know surrounding this issue.

Despite the buzz in the news, not all information is accurate. While changes have occurred regarding how Realtor commissions are handled, there are still avenues for compensation for buyer broker services, although not through the MLS. This shift means that compensation discussions will now take place directly between parties.

For sellers, the option to offer compensation to a buyer’s broker still exists, besides with a revised process. On the other hand, buyers will need to have a written agreement with their agent before touring a home to ensure compliance with the new regulations.

These changes don’t mean the end of buyer agents or a sudden drop in home prices. The market will continue to fluctuate based on supply and demand dynamics. Sellers can still pay the buyer’s agent fee, through a more defined and documented process.

At our firm, we’ve already outlined clear processes in their working agreements to streamline this industry transition for clients. Despite the timeline for these changes, which are expected to kick in by mid-July 2024 if approved, we are committed to maintaining transparent and honest business practices.

Contrary to misconceptions, brokers representing buyers won’t be working for free. Compensation will still be negotiated, and there will likely be avenues to advertise these arrangements outside of the MLS.

Mainly, the goal is to ensure that clients are represented with the highest standards possible, and we believe these changes will contribute to a better future in real estate. So, clients are encouraged not to hesitate to buy or sell when the time is right, with the assurance that they are there to guide them through these transitions seamlessly. If you have any questions or concerns, feel free to reach out at (719) 271-5206. We’re looking forward to it!