A recent headline-making settlement by the National Association of Realtors (NAR) is poised to substantially change the way residential real estate brokerage fees are structured. The changes are a result of a $418 million settlement that the National Association of Realtors agreed to this month to resolve several ongoing legal disputes related to buyer broker commissions. This landmark agreement would eliminate real estate brokers' automatic commissions of up to 6%, potentially saving home buyers and sellers significant amounts of money.
After a successful challenge to an age-old system that rewards commissions to real estate brokers who sell properties through Multiple Listing Services (MLS), the NAR settlement will reshape nearly every aspect of the homebuying process. Realtors get paid via commission, which is a percentage of the home's sale price. The way real estate commissions work is about to change, as the agreement aims to make the home buying process more transparent and cost-effective for all parties involved.
On the heels of its $418 million settlement, NAR urged the VA to revise its policies that ban veterans from paying buyer broker commissions. This move is part of a broader effort to ensure that all home buyers have access to fair and competitive real estate services. Investment fees reduce your returns. Here are the fees you need to know – brokerage fees, stock trading fees, and mutual fund costs — and how to reduce them. A landmark settlement changing the real estate commission structure will reshape nearly every aspect of the homebuying process — from the way homes are listed and sold to how buyers and sellers negotiate prices.