New changes in buyer representation will take effect on August 17th, bringing significant updates to how real estate transactions are handled. We want to make sure you’re fully informed about what you need to know. These updates, introduced by The National Association of Realtors and our Local MLS Boards, focus on increasing transparency, especially when it comes to understanding commissions and the buyers agent commission.
Understanding the Buyers Agent Commission
In the past, some buyer’s agents advertised their services as “free” or at no cost to you, the buyer. However, commissions were typically shared between the buyer’s and seller’s agents, with the seller’s broker deciding the split. This often led to confusion about who was paying for the buyers agent commission and how much was being paid.
Starting August 17th, sellers must clearly outline both the buyer’s agent commission and the seller’s commission in their listing agreements. This change ensures that commission amounts for each party are clearly defined. Everyone involved in the transaction will know exactly how the funds are distributed, eliminating any confusion.
What These Changes Mean for Buyers
If you’re in the market to buy a home, here’s what you need to know: Before touring any homes, you’ll need to sign an agreement upfront. This services payable agreement guarantees that you’re represented throughout the entire process, whether you’re viewing a single property or multiple homes over time. The best part? You won’t pay anything until the job is done, so there’s no upfront cost.
A key point in this agreement is that your buyer’s agent will negotiate with the seller to cover their fees as part of the offer stage. This ensures transparency and helps you understand the buyers agent commission and what to expect at closing.
Our Ongoing Commitment to Transparency
At Nest Builders Collective, transparency has always been our priority. We believe in keeping our clients fully informed, so there are no surprises along the way. Even with these new changes, we’ll continue to ensure your home-buying journey remains seamless and stress-free. Trust us to handle the details while you focus on finding your dream home.
If you have any questions about these changes or how they might impact your home search, feel free to reach out. We’re here to guide you through every step, including understanding the buyers agent commission.
