Reply to New Commission -3%

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[quote=Anonymous][quote=Anonymous][quote=Anonymous][quote=Anonymous]Here is the Chat GPT summary of the settlement.

The National Association of REALTORS® (NAR) has agreed to implement several changes as part of a settlement agreement. These changes include:

1. **Compensation Requirements**: NAR will eliminate the requirement that listing brokers or sellers must make offers of compensation to buyer brokers. It will also prohibit the disclosure of listing broker compensation or total broker compensation on the MLS.

2. **Participation Conditions**: NAR will eliminate any requirements conditioning participation or membership in a REALTOR® MLS on offering or accepting offers of compensation to buyer brokers.

3. **Non-MLS Mechanisms**: NAR agrees not to create or support any non-MLS mechanism for listing brokers or sellers to make offers of compensation to buyer brokers.

4. **Written Agreement Requirement**: NAR will require that all REALTOR® MLS Participants working with a buyer enter into a written agreement specifying the compensation they will receive.

5. **Representation of Brokerage Services**: NAR will prohibit REALTORS® from representing to a client that their brokerage services are free unless they will receive no financial compensation.

6. **Disclosure to Sellers**: NAR will require disclosure to sellers and obtain their approval for any payment to another broker acting for buyers.

7. **Negotiability of Commissions**: NAR will require disclosure to prospective sellers and buyers that broker commissions are not set by law and are fully negotiable.

8. **Filtering of Listings**: NAR will require that REALTORS® must not filter out or restrict MLS listings based on the compensation offered to the buyer broker.

9. **Educational Materials**: NAR will develop materials consistent with these practice changes.

These practice changes are to be implemented as soon as practicable, no later than the date of class notice, and are intended to last for 7 years after the class notice date. 
[/quote]

This is not quite accurate. The settlement allows for offers of compensation to continue off of the MLS. This means that while such offers cannot be communicated via MLS platforms, they can still be part of negotiations and consultations conducted OFF the MLS.

https://www.nar.realtor/magazine/real-estate-news/law-and-ethics/the-truth-about-the-nar-settlement-agreement

Not much will change, agents will just need to get creative.  [/quote]

You gloss over the fact that this settlement will prohibit a [b]requirement[/b] that sellers offer compensation to the buyers agent. In a sellers market, there will be no need to make this offer, even off MLS. You say "agents will just need to be creative" - do you really mean, they will just need to apply a heavy pressure campaign to sellers in order to get them to offer compensation off-MLS? If so, this would be regarded an illegal collusive tactic that will land you back in court, or at the very least, make you famous on Youtube when someone records you trying it. Good luck. I, for one, will never pay buyers agent commissions in a sellers market again. [/quote]

+1[/quote]

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