New nar rules for agents. will alternative models destroy the ease of appraiser getting that info.

[David S]

Why would a buyer have 10 agents looking at the same house. You make less sense with every post

Not the same house. Spread around many places from SF to Morgan Hill. The problem is right now house inventory is very low, the buyer have to expend search areas to find a best house fit their needs. As you know most realtors are very local. The SF realtor may not work best in San Jose area. That's why the buyer contact several agents to tour the houses simultaneously. Seems you never worked in the RE field?

 

[Dublin ohio]

A buyer can work with 10 different agents to represent them for different properties. There's no loyalty to one agent. Buyers will realize that no loyalty mean not many agents want to work with them.
Before some buyers think if they deal directly with the listing agent, buyers can get a good deal with less commission intake from the buying agent side.
Buyers will want to deal directly with listing agent bypassing buyer agent.

Makes less sense

 

[Fernando]

Makes less sense

When I listed a house, buyer wanted me to be their buyer agent.
Since I'd be getting multiple offers, buyer think that I will "help" them be the winning bidder.
It put me in an awkward position. I rather not be a dual agent.

 

[Dublin ohio]

Not the same house. Spread around many places from SF to Morgan Hill. The problem is right now house inventory is very low, the buyer have to expend search areas to find a best house fit their needs. As you know most realtors are very local. The SF realtor may not work best in San Jose area. That's why the buyer contact several agents to tour the houses simultaneously. Seems you never worked in the RE field?

Try working on your grammar. You posts are like reading instruction translations from China. Sure if you are looking in areas 60 miles apart it would make sense to have different agents. But buyers around here are not typically looking in neighborhoods 60 miles apart. Maybe 20 miles at the most and that is basically driving distance from an east side suburb to a west side suburb.

 

[David S]

???

People are way overreacting. Tehri s NO change officially in RE commissions !! This is BS about a sea change, , as explained many times, very few true buyer-broker arrangements exist, most contracts state a listing broker and a selling broker or cooperating broker

The main difference is the commission splits will no longer be listed on MLS. and so what -We were never in the commission business wrt appraisals, we are in the price business - what was the price- which could include a commission of any percent or no commission if sold by owner.

It is only if the terms of sale impact the price in any way above or below typical that we have to dig around and account for it, or not use that sale.

nar just sent a letter to VA: https://narfocus.com/billdatabase/clientfiles/172/3/4849.pdf to request VA loan add buyer agent's commission to the loan amount.

 

[J Grant]

nar just sent a letter to VA: https://narfocus.com/billdatabase/clientfiles/172/3/4849.pdf to request VA loan add buyer agent's commission to the loan amount.

Below is the letter from your link - Nar DID NOT ask the VA loan add the buyer's agent commission to the loan amount !!
How do you appraise nob being able to understand contracts and commissions-?
Read the letter - the NAR is asking the VA by revising its policy that does not allow the vet to pay a commission fee to an agent when the compensation does not come from the seller.

Dear Executive Director Bell:On behalf of the National Association of REALTORS’® (NAR) 1.5 million members, Iwrite to urge the Department of Veterans Affairs (VA) to revise its policies pertainingto fees veterans cannot pay when using their VA home loan benefit. REALTORS®serve as advocates for homebuyers through the entire purchasing process, many ofwhom specialize in working with VA buyers. In this exceedingly competitive market,we are concerned that the VA’s current policies place veterans at a significantdisadvantage compared to traditional buyers.Under VA policies, buyers using their home loan benefit are prohibited fromcompensating their professional representative directly. In situations where no offerof compensation is offered from a seller, VA buyers are immediately at adisadvantage, potentially forcing them to forego professional representation, lose aproperty in an already limited inventory, choose a different loan product, or exit themarket entirely.From the initial home search, inspections, negotiations, and closings, REALTORS®work closely with their veteran clients to ensure their offers are seen and consideredin a competitive market. Nine out of ten consumers use the service of a real estateprofessional1. When representing veterans, REALTORS® explicitly ensure they canutilize the benefits promised to them for their service and sacrifice for our country

 

[Sadie]

Here in OR, about 30+ (?) years ago, the buyers agents became a thing. The buyer was to pay their agent as a separate deal outside of closing. What happened over time? The buyers agents continued doing their thing, but as agents, not as designated buyers agents. Fee split was negotiated between the agents. All the fees were paid at closing. A realtor a buyer is using will, the vast majority of the time, work for them and negotiate on their behalf. Why? its in their best interest. They work on referral and repeat business. Who wants a bad realtor? No one.

And as for the blooey that most agents work with the buyer only, who do you think lists the house, gets it ready for sale and negotiates on behalf of the seller? Why its a realtor/agent. Sometimes they get both sides of the deal. A good selling agent will get the best price for the property, will pick the best offer and make closing easier.

 

[Tom D]

The NAR agreed to settle after a series of lawsuits accused the organization of conspiring to artificially inflate home sale commissions.

However, many economists and real estate agents are concerned about the burden this will place on first-time homebuyers — especially moderate- to middle-class people, many of whom are Black and Latino families. According to the New York Times report, buyers and sellers are now responsible for paying their own agents (versus expecting the seller to pay a single commission).

In particular, Campins sees the situation becoming more difficult for the buyer.
“So, now what's going to happen is, basically, buyers are going to go directly to the listing agent, right? And think about all the misrepresentation that's going to occur at that point in time and then think about all of the kickbacks that are going to be given, all the bonuses,” she said.

 

[Fernando]

In a sellers market, sellers don't need to offer commissions to buyers agents. There will be buyers. Agents have to work harder for less asset buyers since cash buyers will be king/queen.
Sellers prefer "strong" buyers.

In a buyers market, I can see sellers offering commissions to buyers agents to get more demand and interest in their property. Buyers market usually in a down real estate market in which less asset buyers don't have the funds to buy. Sellers prefer "strong" buyers.

Less asset buyers will have hard time buying homes.

 

[Tom D]

buyer's agent commission will probable end up in a seller assist to hide it. then buyer pays the agent. sorta like the tax laws and their loopholes. the problem is with FHA and low income buyers. although who has 20% down & closing costs below the age of 30.