Home Sellers: Here's What the NAR Settlement Means for You

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The National Association of REALTORS has published the following on its website concerning what the NAR settlement means for all home sellers.  It is also fully expected that California will sign into law in 2025 that all licensed agents (not just REALTORS) will be required to form written agreements with their buyers before viewing properties with them, physically or online.  Note that August 17 is the practice change date for  all REALTORS nationally:
 

"As a home seller, you have a wide range of choices when it comes to listing your home. Agents who are REALTORS® are a trusted source of advice and stand ready to help you navigate this complex process and make the choices that work best for you. NAR’s recent settlement has led to several changes related to broker commissions that benefit sellers, and we wanted to clearly lay them out for you.
Here is what the settlement means for home sellers:

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You still have the choice of offering compensation to buyer brokers. You may consider doing this as a way of marketing your home or making your listing more attractive to buyers.
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Your agent must conspicuously disclose to you and obtain your approval for any payment or offer of payment that a listing broker will make to another broker acting for buyers.
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This disclosure must be made to you in writing in advance of any payment or agreement to pay another broker acting for buyers, and must specify the amount or rate of such payment.
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If you choose to approve an offer of compensation, there are changes to how this can happen.
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You as the seller can still make an offer compensation, but your agent cannot include it on a Multiple Listing Service (MLS)—MLSs are local marketplaces used by both buyer brokers and listing brokers to share information about properties for sale.
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Your agent can advertise your listing via off-MLS platforms such as social media, flyers and websites.
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You as the seller can still offer buyer concessions on an MLS (for example, concessions for buyer closing costs).
These settlement practice changes will go into effect August 17."

If you are thinking about selling, you don't yet have an agent, and would like to discuss working with an agent or find out more information about the California Association of REALTORS listing agreement and how the new buyer broker agreement may affect you and offers of broker compensation, please feel free to contact me without obligation for an initial conversation.

Julia Huntsman, REALTOR, Broker | http://www.abodes.realestate | 562-896-2609 | California Lic. #01188996