NAR Changes for Buyers

What changes on August 17, 2024?

 

Beginning August 17, all agents will need to use a buyer representation agreement to show you properties. This practice is already in place in many markets and will now apply across the country.

 

A seller is not obligated to offer compensation to a buyer’s broker and these offers of compensation can no longer be advertised on the MLS.

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What is a buyer representation agreement (as defined in your state)?

 

The buyer representation agreement defines the scope of work your agent is going to provide including the contract duration, services and compensation. This means you will know the services and costs upfront with the agent you’ve chosen to represent you.

 

Will I have to pay my agent out of pocket?

 

Not necessarily. It will now be up to you to negotiate what and how you compensate your agent. There will be a variety of options available to you. For example, many buyers will ask the seller to credit them at close of escrow to pay their buyer broker fees while others will ask the sellers to pay their buyer broker fees directly.