The biggest thing everyone is reading is that NAR, the National Association of Realtors, was sued and the settlement will change the industry. What you read in the media isn’t exactly accurate. We need to wait until July to see whether the settlement is approved by the judge in the case. This is what will change:
• Commission amounts for the buyers’ agent will no longer be allowed on the MLS. However, they can be published elsewhere.
• Realtors (which means paid-up members of NAR, the other people are real estate agents) will be required to have a signed buyer-broker agreement with each buyer. This will define the commission amount that the buyers’ Realtor and his/her brokerage will earn.
That’s it. Two things. Commissions have ALWAYS been negotiable.
Some parts of the country have had customary commissions that are different from other parts of the country. Some brokerages have a range within which their Realtors can negotiate. The commissions cover roughly 60 to 80 tasks which a brokerage and Realtor need to do for and with buyers and sellers to make sure the property transaction is completed. The “commission” is a fee charged to pay the brokerage, Realtor, transaction coordinator, office staff, Realtor’s assistant, plus the other costs of doing business, including office rent, professional insurance, (and cyber insurance these days), training costs, licensing fees, etc.
Check out the most recent Santa Clara County stats below. Note that prices are up, days on market is down.
Single Family Homes
Condos and Townhouses
Did you know that I can also show you NEW CONSTRUCTION, MODULAR HOMES, and MOBILE HOMES?
408-644-5159
Erin@BenfordRealEstate.com
18+ years of Licensed Experience
46+ years of Owner Experience
One can download information from the internet; but, one cannot download expertise. We look for the red flags and negotiate for a living. Hire the experts. We will tell you the truth.
