buying a home? find a realtor®
If you're planning to buy a home, it's important to learn about two recent changes to the Real Estate world that affect the relationship between homebuyer and buyer's agent.
buyer's agent compensation
Historically, property listings in Multiple Listing Service (MLS) databases commonly included a commission percentage offered to buyer's agents. Going forward, properties listed in MLS databases will not include an offer of compensation for buyer agents. This means you'll need to have direct conversations with potential buyer agents to discuss their services and how much they'll cost.
Bear in mind that many factors influence agent compensation such as market conditions; specifics of property you're interested in buying; the complexity of a prospective transaction; and an agent's experience. Also know that agent compensation has been, and continues to be, negotiable.
written agreement between buyer & broker
A written agreement that outlines a buyer's agent's services and fees is now required before touring a property in person or virtually. The amount of compensation stated in the agreement cannot be open-ended. For example, it cannot be "whatever compensation the seller is offering to the buyer." It must be defined. This will enable you to have complete clarity about agent services and costs.
the value of a realtor®
The value of a REALTOR® extends far beyond showing houses. Like a financial planner or accountant, a REALTOR® is a trusted professional advisor.
- REALTORS® subscribe to a Code of Ethics and protect client interests.
- REALTORS® know the language an steps of real estate transactions.
- REALTORS® offer guidance to make, evaluate, and negotiate offers.
- REALTORS® can keep you grounded during what can be an emotional process.
- REALTORS® help you avoid costly pitfalls and reduce risk.
- REALTORS® advise you on steps and services to close the transaction.
Not every real estate agent is a REALTOR®. There's a difference, and that difference matters. If buying a home is in your future, a REALTOR® will help you get there.