Quick Summary of Commission Changes in Real Estate

• The National Association of Realtors (NAR) reached a settlement changing how real estate commissions will work in 2024 and beyond.
• Key Changes: Buyer broker commissions will no longer be published within the MLS and new requirements for written buyer representation agreements.

Understanding the Changes

The real estate industry is evolving, and we’re here to help you navigate these changes. The recent NAR settlement introduces two major shifts:

1. Flexible Buyer Agent Commissions: Historically, listing agents would offer pre-set compensation to a cooperating buyer broker who represents a buyer who purchased a property. This was usually around 3% of the purchase price. Moving forward, this compensation will not be offered or published in the MLS. Instead, it will be a negotiation point. 
2. Written Buyer Agreements: Buyers must now sign a representation agreement with their chosen agent prior to viewing homes. This agreement must have a beginning and ending date. (Note: agreement could be parcel-specific, very short-term, or non-exclusive)

What This Means for You

If You’re Selling

• Potential for more flexibility in how/if you compensate buyer’s agents.
• Opportunity to lower overall commission costs.
• A need for strategic pricing to attract buyer’s agents and their clients.

If You’re Buying

• More transparency in how your agent is compensated.
• Potential for negotiating lower buyer agent fees.
• The option to pay for your own representation. 

Our Approach: Transparency and Value

We’ve always believed in fair, transparent pricing. Here’s how we’re adapting to serve you better:

For Sellers

• Savings. We offer a competitive 2% listing fee.
• We’ll help you strategize on offering buyer agent compensation (or not) outside of the MLS to attract strong offers.
• Our services still and will always include professional photography, videography, and a comprehensive marketing plan.

For Buyers

• Though these changes are still relatively new, we haven’t experienced difficulty obtaining fair compensation paid by the seller thus far.  
• If a seller is unwilling to compensate a buyer’s agent for their work, situations could arise where the buyer becomes responsible for compensating their representative. 
• We have strategies for offsetting this scenario. Contact us to discuss. 

Why Choose Us?

1. Experience: We’re native Nashvillians with over 20 years in the Nashville real estate marketplace.
2. Transparency: Clear, up-front pricing and no hidden fees.
3. Client-First Approach: Easy-out guarantee if we’re not the right fit.
4. Value-Added Services: Expert negotiation, market analysis, and personalized strategies.

Next Steps

Whether buying or selling, these industry changes make professional guidance more important than ever. Here’s how to get started:

1. Sellers: Schedule a free consultation to discuss your property’s potential in this new landscape.
2. Buyers: Book a free buyer consultation to understand your options and start your home search on the right foot.