While some real estate experts are predicting a seismic shift in the housing market after a $418 million settlement regarding commissions paid to the listing agent and the buyer’s agent, several veteran Georgia realtors are saying that it’s much ado about nothing.
According to a statement by the National Association of Realtors on Mar. 15, the agreement would end “litigation of claims brought on behalf of home sellers related to broker commissions.”
However, the statement continues that the NAR denies “any wrongdoing in connection with the Multiple Listing Service (MLS) cooperative compensation model rule (MLS Model Rule) that was introduced in the 1990s in response to calls from consumer protection advocates for buyer representation.”
Several national publications predicted that the proposed settlement would dramatically drive down homebuyers’ costs — and push some real estate brokers out of business.
However, local agents are saying that because the Georgia Association of Realtors already has an established buyer-broker agreement in place, very little will change in the state regarding homebuyers or sellers.
A buyer-broker agreement, according to homelight.com, is an important and legally binding document that’s designed to protect both the buyer and the buyer’s agent.
“This agreement clearly outlines what the agent will do for you, the terms of the agreement, and how the agent will be compensated, which depends on what kind of buyer’s broker agreement you have,” the website said.
According to the terms of the settlement, the NAR will enact a rule that all MLS participants enter into written agreements with their buyers.
“NAR continues, as it has done for years, to encourage its members to use buyer brokerage agreements that help consumers understand exactly what services and value will be provided, and for how much,” the NAR statement said.
Not every state has had…
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