HOME BUYERS: NEW BUYER REP AGREEMENT REQUIREMENT
On August 17th any REALTOR WILL NOT be legally permitted to show you a home unless you have a signed Buyer Representation Agreement with them. (Unless you request a showing through the listing agent - although this will likely require a signature as well).
JUST SHOW ME THE HOUSE!!
Usually it’s not a problem and we can zip over, show it to you and be done, however, starting August 17th NO REALTOR will be able to unlock a door for you without you first signing that agreement This will be non negotiable for any person with a Realtor designation. WTH!?
Wait…WHAT DO I HAVE TO SIGN??
The agreement between buyer and Realtor is a Buyers Representation Agreement, the contract between you and that realtor saying you will be using them to buy a home and breaking down the roles, duties and responsibilities owed to you by your agent etc. This form also spells out what broker commission are to be paid by you and/or the seller. Whatever commission is on this agreement is the MAXIMUM commission your broker/agent can receive out of the transaction.
I HAVE TO PAY COMMISSION?
Well yes…but actually maybe no…
With the new NAR ruling going into effectadvertising cooperating broker and buyer broker commissions will now be BANNED on the MLS.
So, now when your agent shows a home they may likely not have any idea if they are going to get paid from the transaction. Commissions are always negotiable of course, and there are a number of ways your agent can get paid. By the seller either in the form of direct compensation to Buyer brokerage or as a form of concession/credit to buyer. In some cases the buyer will be paying the commission for their agent out of pocket and this will be spelled out in the buyers representation agreement.
HIRE A PROFESSIONAL AGENT
Picking the agent you want to use to help you buy a home is an important decision and not one that should be forced upon you just to see a home.
The good news is that we get to decide when it expires, so although you may have to sign one, if you’re not ready yet to fully commit to a Realtor, you can always request an agreement that expires in a day, a week, a month, etc..
As the 8/17 date is quickly approaching a lot of changes will happen behind-the-scenes. This new rule with a buyer representation agreement is just one facet of the NAR ruling which will change the landscape of how real estate is sold in the United States. 
ALIGNMENT & COMMUNICATION
Now, more so than ever, aligning yourself and your family with a full-time professional realtor will be vitally important for the success of your home purchase. These rulings will likely change the landscape of our agent community and many agents will find themselves out of work.
Having questions is natural and having an agent that will clearly communicate expectations and the path forward to homeownership is more important than ever.
Final Thoughts: Our team here at eXp Realty and The Green Team Cincinnati are trained on these changes and stand fast at the ready to serve your needs
Please feel free to ask any questions, if we do not know the answer we will find it! We are proud to serve our community and look forward to helping you on your next home purchase!
#TheGreenTeam #CincinnatiRealtor #NARRuling