How will the National Association of Realtors settlement affect you as a seller?

In case you missed it, in early March (2024) there was a landmark settlement agreement resulting from the verdict in the Sitzer-Burnett's class action lawsuit against the National Association of Realtors (NAR) and other major real estate brokerages including RE/MAX, Keller Williams, Anywhere and Berkshire Hathaway HomeServices. If you haven’t been following along, the suit contended that NAR’s policies drove up commissions and therefore disadvantaged home sellers.

The result of this settlement is that MLSs can no longer be the conduit to offer commissions (“compensation”) from listing agents (“LAs”) to buyer’s agents (“BAs”). The only data field permissible in the MLS going forward will be concessions to buyers. Buyers can use concession money as they see fit. This new concession field will be shown on all real estate sites, including the MLS. Many believe the concession field will replace the no longer legal “offer of compensation” field. No one is entirely sure how this will all play out.

Key changes resulting from the settlement:

• MLSs can no longer display offers of compensation from LAs to BAs. Instead, a "concessions" field will be shown.
• Listing agents are allowed to publicly display compensation on their own website(s) only.
• Listing agreements can still specify compensation for listing and buyers' agents, but with updated language and a new concession field.

How does this affect a seller’s ability to offer compensation to Buyers’ Agents?

• Altru Realty® has always promoted the idea that sellers can choose what compensation offer they wish to make to BAs.
• Sellers will have the opportunity to enter this amount on their property’s listing data form on Altrurealty.com.

How will we handle the marketing of compensation to BAs and Concession to buyers?

• Altru Realty® will display any offers of compensation to BAs along with concessions to buyers on the public property details page of the your listing on Altrurealty.com.
• We will convey any offers to agents or buyers when they contact us directly.
• Altru Realty® will provide optional vinyl decals on our yard signs that will contain a QR code that will resolve directly to property listing page with any compensation and concession details.
• Our soon-to-launch affiliate showing platform, “Showing Bee” will communicate compensation and concessions in a way that is compliant with the settlement.

Our Commitment:

We will handle increased communication responsibilities, ensuring transparency and support throughout this transition. With over 20 years of experience and a 5-star reputation, we are prepared to assist you through these unprecedented changes.

Should you need further clarification, feel free to call 888-392-4806 and ask to speak to the broker, Keith.