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

[Tom D]

before i started in r.e., it was a weekday only 9-5 business. full time men only. the opening 24/7 and the influx of part timers ruined that livelihood, only a small percentage now make a decent living. sorta like before certification, nice, easy and money making. now it's us against the over numbered AMC lackies, and of course FNMA appraisal minimalism.

 

[Fernando]

After licensing required, many became appraisers but the system was set up for Non diversity.
A trainee had to find and work for a supervisor. It worked against women and minorities.
Thirty years later and still dominated by White males.
PAREA is a result to address the inequity the prior system created.

 

[Terrel L. Shields]

trainee had to find and work for a supervisor. It worked against women and minorities.
Thirty years later and still dominated by White males.

What percent of the population was white when licensing happened? And when i started, there were 4 male appraisers and 4 female appraisers working this side of the county. As far as I know only 3 males are here now and 4 females are listed. When did USPAP NOT emphasis that decisions based upon race were illegal. When did banks ever pay appraisers less for being black or female?

So, what law, act, etc. prevented any non-white appraiser from taking the classes and getting the certification? And in NE Oklahoma, how could you tell if a person was a card-carrying member of the Cherokee Tribe? How do you tell a full-blood Indian from a Hispanic? Inquiring minds want to know.

 

[J Grant]

Off topic every0one - the topic is RE agents and commission, not appraires and diversity

WRt commissions - an agent I met today said that if the law reads it as any agent that brings a buyer is a buyer broker and not able to collect a commission from the seller, he believes that sellers will instead offer a concession to the buyer so they can use it to pay their broker/agent. Which will skew prices and make things more difficult.

 

[Fernando]

Off topic every0one - the topic is RE agents and commission, not appraires and diversity

WRt commissions - an agent I met today said that if the law reads it as any agent that brings a buyer is a buyer broker and not able to collect a commission from the seller, he believes that sellers will instead offer a concession to the buyer so they can use it to pay their broker/agent. Which will skew prices and make things more difficult.

Sorry, I sometimes lose focus. I'll deal with Terrell in another thread in another time.

Many agents are confused with the NAR settlement which still hasn't been finalized. There are so many creative ways in how a buyers agent can be compensated. More work for appraisers to figure out these details for subject and comps if significantly affects their selling price.

 

[J Grant]

What does this mean for homebuyers?​

The key potential change centers on who foots the bill for real estate agents who represent homebuyers.

Currently, an agent or broker representing a home seller typically splits a commission — often around 5% to 6% of the home's sale price — with the agent working on behalf of the homebuyer. Such an arrangement is known in the industry as “cooperative compensation.”

Under the proposed NAR settlement, a broker who represents a seller would no longer be allowed to include a blanket offer of cooperative compensation to a prospective buyer's agent when they advertise the property on NAR-affiliated Multiple Listings Services, where a majority of U.S. homes are listed for sale. This is meant to remove any incentive from a buyer's agent to steer their client away from home listings that don't include a cooperative compensation offer.

However, the proposed rule change leaves it open for individual home sellers to negotiate such an arrangement with a buyer’s agent outside of the MLS platforms, essentially creating a loophole for agents to keep things as they are now.

Homebuyers could also ask the home seller for a concession that includes money to help cover the buyer’s agent compensation.

 

[Mark K]

However, the proposed rule change leaves it open for individual home sellers to negotiate such an arrangement with a buyer’s agent outside of the MLS platforms, essentially creating a loophole for agents to keep things as they are now.

The buyer's agent will simply include an agreement for compensation along with the purchase agreement. The listing agent will prepare them for this in advance and the seller will continue to pay the buyer's agent commission via a separate agreement. Buyers are not going to start paying their agents' commissions so the seller will pay, the same as it is today. Much ado about nothing.

The biggest change will be that the monopolistic parasite, the NAR, will lose some of its clout and a lot of members since the MLS system will be open to non-members. The NAR does nothing for the average agent except make their wallets lighter every year. When they lose their stranglehold on the MLS, their only useful service, it will be interesting to see how many agents willingly join the NAR just for the privilege of calling themselves 'realtors'.

 

[Mile High Trout]

The buyer's agent will simply include an agreement for compensation along with the purchase agreement. The listing agent will prepare them for this in advance and the seller will continue to pay the buyer's agent commission via a separate agreement.

Yes. Already seeing this in contracts. At the end under additional provisions. Buyers agency fee paid by seller.

My thrifty side says when we do sell, counter offer with a lower buyers fee... Because I'll have already negotiated a lower listing fee with promise they'll also be my buyers agent.

Sales people tend not to like me because all I talk about is wanting a better deal. Flat rate listing is looking more appealing when the margin slims down.