Apart from the release of liability, what are the other key terms of NAR's settlement agreement?
1. Compensation offers moved off the MLS. NAR has agreed to put in place a new rule prohibiting offers of compensation on the MLS. Offers of compensation could continue to be an option consumers can pursue off-MLS through negotiation and consultation with real estate professionals. And sellers can offer buyer concessions on an MLS (for example, concessions for buyer closing costs), as long as such concessions are not limited to or conditioned on the retention of or payment to a buyer representative. This change will go into effect in mid-July.
2. Written agreements for MLS participants acting for buyers. While NAR has been advocating for the use of written agreements for years, the association agreed in this settlement to require MLS participants working with buyers to enter into written agreements with their buyers. This change also will go into effect in mid-July.
3. Settlement payment. NAR would pay $418 million over approximately four years. This is a substantial sum, and NAR says it will be incumbent on the association to use its remaining resources in the most effective way possible to continue delivering on its core mission. NAR will not change membership dues for 2024 or 2025 because of this payment.
4. NAR continues to deny any wrongdoing. NAR still maintains that cooperative compensation and the association's current policies benefit buyers and sellers. They promote access to property ownership, particularly for lower- and middle-income buyers who can have a difficult-enough time saving for a down payment. With this settlement, NAR says it is confident that the association and its members can still achieve those goals.
Get more facts about the settlement at facts.realtor.
Please call the Baxter Luxury Home Team for any questions you may have about the NAR Settlement. We also would love to assist you in finding your next Dream Home or selling your existing home. Contact us TODAY.