New Homebuyer Agreement Requirements You Should Know About

Recent changes in the U.S. real estate landscape are affecting the way agents and buyers approach the home-buying process. With the proposed $418 million settlement in the National Association of Realtors lawsuit, significant shifts are occurring that impact buyer agreements and agent commissions. Attorneys and large corporations like BlackRock stand to benefit from these changes, leaving many wondering how buyers fit into the picture. This article breaks down the implications for buyers, including new requirements for signing agreements before viewing homes, and how to navigate commission negotiations with agents.

Who Are the Real Winners?

The U.S. real estate process was once the envy of the world, but now agents can’t even show a home to their own family without having a buyer agreement signed due to the proposed $418 million settlement in the National Association of Realtors lawsuit. Who are the real winners here? Unfortunately, the biggest winners appear to be a few specific groups. First, the attorneys are set to collect around $256 million from the settlement. As is often the case in lawsuits, they come out ahead.

The second group that may benefit is large corporations like BlackRock. There’s a growing movement toward corporate ownership of housing, with companies like BlackRock buying homes in various neighborhoods. It seems possible that these companies are behind this settlement, hoping to gain from potentially lower commissions if those changes are implemented.

In my opinion, these are the two main winners. Buyers, on the other hand, don’t seem to benefit much from this settlement.

How Does This Impact Homebuyers?

If you’re considering buying a home, how does this affect you? The biggest change is that a buyer agreement must now be signed before viewing a home. I think this could be beneficial because buyers should take their time before jumping into the home-buying process. We always encourage buyers to schedule a consultation. During a buyer consultation, we walk you through the entire process, help you plan, and review some of the costs involved. We’ll discuss the benefits of owning versus renting and help you form a winning strategy, especially in the case of multiple offer situations.

So, the buyer consultation could be one positive result from this change. You will need to sign the buyer agreement upfront. However, if you’re not sure about hiring the agent, you can adjust the agreement to cover a specific home or shorten the period. At Matt Curtis Real Estate, you can even cancel the agreement if you’re uncomfortable with the agent you’re working with. It may sound like a significant change, but we’ll make the process straightforward and easy for you.

Changes in Buyer Agent Commission

Another change is the way buyer agent commissions are handled. The commission will no longer be listed in the MLS. What does this mean for you as a buyer? Some agents may panic because they won’t know how much they’ll be paid, which could lead to them calling other agents to find out commission rates. I believe this is the wrong approach. Instead, work directly with your agent to determine a reasonable fee for their services. If you don’t have the funds to cover this, you can ask the seller to include these costs as part of your offer.

Your agent can negotiate these funds so you don’t have to pay out of pocket. We have this figured out at Matt Curtis Real Estate, and we’ll guide you through it. We aim to ensure you understand the process and provide an excellent experience.

We're Here to Help

At Matt Curtis Real Estate, we have this process figured out, and we’ll guide you through it. You can always adjust or cancel the buyer agreement if you’re unhappy with our services. We want to make this process as smooth as possible for you, and our goal is to earn your five-star review at the end.

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