@15:00 Kendall asked Holly "If you are working with a client now without a BA, what happens after 8/17? Holly didn't answer the question. She just said "have that conversation now".....I want to know what happens if I have a listing contract NOW with a 3% BA commission on the MLS....Is that listing agreement NULL and VOID. Does a new contract have to be written up then?
So essentially they are replacing the word commission with concession. Not allowed to offer a commission anymore... But here you can have this concession instead. Am I understanding this correctly?
Please answer come questions for us listing agents on these changes 1. Should a listing agent disclose if the Seller is willing to pay a concession/ commission or not? Shouldn’t we not disclose for the Selkers benefit let the offer be made and negotiate from there. 2. Sellers will possibly change their mind based on an offer. 3. In listing contract I am getting from prior info put the listing agent commission only and leave Buyer commission empty and let it be negotiated per each offer submitted. Is that right?
A buyer wants the best possible price. If the buyers agent can’t or won’t negotiate down the price then they don’t deserve to be paid. The sellers transaction and the buyer’s transaction need to be 100% completely separate transactions and never based on price. All commissions should be based on services provided.
Hi Can you make or do you have a Video with Question and Objections cripts that we can use for the Buyer Agreement when we have that firs meeting with Buyer ? Also where can search about how we should ask seller for compensation to cover the Buyer Agent fee ??Thank you
Check with your local leadership for effective dialogues with buyers when presenting the BBA and how to ask a seller to cover the cost of your professional fee. If that information is unavailable, I am happy to help. Let me know.
I am selling my property my agent failed to disclose anything about the lawsuit, when I ask about the commision he said it is a sellers responsibility I feel intentinaly being misled d@@damionboyce9187
Readjusting your compensation agreement based upon what the seller is willing to pay is very oily. Just because of builders willing to pay a percent more doesn’t mean you should collect that money when you’ve already agreed to collect a particular fee from your buyer that everyone agreed to. It looks better too give that money back to the buyer to lower their closing costs.
This whole ordeal is so ridiculous is not even funny. I can't fully understand how this came to be, I mean I do but I don't 😅😅. Is as if sellers where being taken advantage off, but then what about when those sellers were buyers? Is not like you are always a seller, at some point you are a buyer,at some point you are both. I can't believe whoever started this got away with it.
Just be a broker. No realtor affiliation and don’t worry about it. Give it a while and see what stories come out of what a PIA it is dealing with some of these listing agents and sellers. They’ll think 3% is a bargain.
If the buyer agreement lists a lower compensation than what the seller is willing to cover, can the buyer agreement be amended (assuming that buyer agrees) to list that higher amount the seller is willing to pay as a concession?
Why would a buyer do that? It seems to me they would just ask for the extra amount above the BA agreement just be credited to closing costs. Geez……people are really trying to fight any changes, they would rather go down like the titanic while still singing tunes the ship is going to float, rather than spend one ounce of time developing more life rafts for an alternate path. The wailing and cries of a dying dinosaur…..geez I need headphones. Commissions need to be completely decoupled. Period.
@damionboyce9187 -- good point. Thanks for putting it nicely and making that point. And I wasn't sure what would happen to the difference... Would the seller keep it or would automatically go to the buyer. I just didn't know. For others assuming my comment was an inquiry with malicious intent -- I'm not trying to cheat anyone. if I were trying to be sneaky or resisting the change, I would be more sneaky about it and not seak the buyers approval. Lol. It's a scenario that came to my mind that and would like to know the options if it were to happen. I'm all about transparency. In addition, I'm a relatively new agent so I'm not stuck in any old ways.
There are several problems with amending the BBA after the fact so the buyer agent themselves can receive the total higher compensation amount offered by the seller: 1) You have a fiduciary duty to your client. If it’s a seller concession, it should go directly to the buyer. If it is a higher set percentage to the buyer agent, the listing agent has a duty to their seller to not overpay if they don’t have to. 2) The amended BBA might not be enforceable because there was no bargain for consideration in making the amendment which is typically needed in service contracts. Again, this is just another example of why a full decoupling of commissions is needed.
Listing agents are already stating or communicating BA compensation, offered by the seller, in social posts and personal websites since MLS rules are changing in August. There doesn’t seem to be any rules against this type of advertising.
Then is the sellers agent going to also represent the buyer ? Do 2 full transactions & get paid for doing 1 job? Have an unhappy disgruntled buyer that then wants to complain about the seller agent who they helped buy the home & then possibly want to sue the agent later saying they were not represented & taken advantage of?
@15:00 Kendall asked Holly "If you are working with a client now without a BA, what happens after 8/17? Holly didn't answer the question. She just said "have that conversation now".....I want to know what happens if I have a listing contract NOW with a 3% BA commission on the MLS....Is that listing agreement NULL and VOID. Does a new contract have to be written up then?
NAR and the MLS will be gone. MyStateMLS will take over! Letssss gooooo!
This was good and very understandable
So essentially they are replacing the word commission with concession. Not allowed to offer a commission anymore... But here you can have this concession instead. Am I understanding this correctly?
We should have class action lawsuits against the government for straight forward simple-to-understand language in politics.
LOL! 100%
I'm confused about the new-construction sales. Are builders allowed to offer compensation to buyer agents, but nobody else can?
Who else would?
Is eXp going to opt into the Settlement or fight it?
Please answer come questions for us listing agents on these changes
1. Should a listing agent disclose if the Seller is willing to pay a concession/ commission or not? Shouldn’t we not disclose for the Selkers benefit let the offer be made and negotiate from there.
2. Sellers will possibly change their mind based on an offer.
3. In listing contract I am getting from prior info put the listing agent commission only and leave Buyer commission empty and let it be negotiated per each offer submitted. Is that right?
Lawyers' fees should be negotiable too, instead of cutting 30-40% from their clients.
We as NAR decide we do not want to be part of the lawsuit anymore. Sounds fair with the rules DOJ is playing with. 👋🏼
A buyer wants the best possible price. If the buyers agent can’t or won’t negotiate down the price then they don’t deserve to be paid. The sellers transaction and the buyer’s transaction need to be 100% completely separate transactions and never based on price. All commissions should be based on services provided.
I would have a separate agreement for New Con Vs. Resale or added verbiage
Hi Can you make or do you have a Video with Question and Objections cripts that we can use for the Buyer Agreement when we have that firs meeting with Buyer ? Also where can search about how we should ask seller for compensation to cover the Buyer Agent fee ??Thank you
Check with your local leadership for effective dialogues with buyers when presenting the BBA and how to ask a seller to cover the cost of your professional fee. If that information is unavailable, I am happy to help. Let me know.
Thank I will
I am selling my property my agent failed to disclose anything about the lawsuit, when I ask about the commision he said it is a sellers responsibility I feel intentinaly being misled d@@damionboyce9187
What happens now I dont want to pay a buyers commision is my selling contract void?
Where do residential leases fit into all this? I’m assuming the same rules will apply?
Readjusting your compensation agreement based upon what the seller is willing to pay is very oily. Just because of builders willing to pay a percent more doesn’t mean you should collect that money when you’ve already agreed to collect a particular fee from your buyer that everyone agreed to.
It looks better too give that money back to the buyer to lower their closing costs.
This whole ordeal is so ridiculous is not even funny. I can't fully understand how this came to be, I mean I do but I don't 😅😅. Is as if sellers where being taken advantage off, but then what about when those sellers were buyers? Is not like you are always a seller, at some point you are a buyer,at some point you are both. I can't believe whoever started this got away with it.
Real estate commissions have been screwed up for decades. This is the first step in trying to unscrew it. It's going to be a messy process.
Just be a broker. No realtor affiliation and don’t worry about it. Give it a while and see what stories come out of what a PIA it is dealing with some of these listing agents and sellers. They’ll think 3% is a bargain.
If the buyer agreement lists a lower compensation than what the seller is willing to cover, can the buyer agreement be amended (assuming that buyer agrees) to list that higher amount the seller is willing to pay as a concession?
Why would a buyer do that? It seems to me they would just ask for the extra amount above the BA agreement just be credited to closing costs. Geez……people are really trying to fight any changes, they would rather go down like the titanic while still singing tunes the ship is going to float, rather than spend one ounce of time developing more life rafts for an alternate path.
The wailing and cries of a dying dinosaur…..geez I need headphones.
Commissions need to be completely decoupled. Period.
Yes. There isn’t a rule prohibiting a new EBBA from being signed. Part of your value proposition might be that you use the difference for the buyer.
@damionboyce9187 -- good point. Thanks for putting it nicely and making that point. And I wasn't sure what would happen to the difference... Would the seller keep it or would automatically go to the buyer. I just didn't know.
For others assuming my comment was an inquiry with malicious intent -- I'm not trying to cheat anyone. if I were trying to be sneaky or resisting the change, I would be more sneaky about it and not seak the buyers approval. Lol. It's a scenario that came to my mind that and would like to know the options if it were to happen. I'm all about transparency. In addition, I'm a relatively new agent so I'm not stuck in any old ways.
There are several problems with amending the BBA after the fact so the buyer agent themselves can receive the total higher compensation amount offered by the seller: 1) You have a fiduciary duty to your client. If it’s a seller concession, it should go directly to the buyer. If it is a higher set percentage to the buyer agent, the listing agent has a duty to their seller to not overpay if they don’t have to. 2) The amended BBA might not be enforceable because there was no bargain for consideration in making the amendment which is typically needed in service contracts. Again, this is just another example of why a full decoupling of commissions is needed.
Do I need a Buyer Agreement if I have my buyer in a MLS subscription?
Yes when you start showing properties with intent to earn a commission
does it affect rentals?
Does this mean we cannot state BA commission on our own personal website?
Probably
Listing agents are already stating or communicating BA compensation, offered by the seller, in social posts and personal websites since MLS rules are changing in August. There doesn’t seem to be any rules against this type of advertising.
Excellent - this will make our industry more professional so its an opportunity with a temporary bump in the road to get to the prize
34:30 well well well... So you're saying "No doesn't mean no?" 😁
NAR will cease to exist as buyers are just gonna go directly to sellers. Makes no sense at all to hire a buyer agent.
Then is the sellers agent going to also represent the buyer ? Do 2 full transactions & get paid for doing 1 job?
Have an unhappy disgruntled buyer that then wants to complain about the seller agent who they helped buy the home & then possibly want to sue the agent later saying they were not represented & taken advantage of?
For Sale By Owner!!! AI will replace all of you. Uber is hiring!!!!
This is useless. Realtors don't educate people on the property they just want their Commission