On The Market

204: Agents React to NAR Lawsuit Commission Change

Apr 1, 2024

Top investor-friendly agents discuss the impact of NAR lawsuit settlement on real estate commissions. They explore the changes in commission structures, strategies for adapting to the new rules, and the importance of buyer agents in successful real estate investing. The episode also covers challenges in negotiating contracts, high interest rates impact, and potential consequences of the lawsuit on the industry.

39:48

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Quick takeaways

The NAR lawsuit settlement highlighted the need for agent expertise and weeded out less competent agents.

Buyer's agents may no longer receive the standard three percent commission, prompting market transparency discussions.

Investor-friendly agents advised adapting to increased transparency and providing valuable insights for informed decision-making.

Deep dives

Implications of the NAR Antitrust Lawsuit: Initial Coverage and Jury Decision

The podcast episode delves into the NAR National Association of Realtors Antitrust Lawsuit, providing initial coverage and discussing what the jury decided. It offers a factual account of the lawsuits and the settlement that NAR agreed to, shedding light on the implications of the settlement on real estate practices.

Introduction

2min

Evolution of Real Estate Commissions

10min

Agents React to Lawsuit Settlement and Real Estate Market Challenges

3min

Navigating the Impact of NAR Settlement on Real Estate Agents

2min

Speculating on NAR Lawsuit's Impact and Commitment to Real Estate

2min

The Importance of Buyer Agents for Investor Success

6min

Various Advertisements for Lead Generation, Tax Filing, Automotive Parts, and Real Estate Investing

4min

Navigating Changes in Real Estate Industry

9min

Adapting to Industry Changes and Adding Value in Real Estate

2min

The NAR lawsuit changed the real estate industry overnight. Just like that, buyer’s agents were no longer getting their standard three percent commission, and many investors began imagining what buying and selling homes would be like without realtors. But is this massive NAR settlement as dramatic as the headlines are making it out to be? Is there really an agent exodus on the horizon, or is this just a way for the bad agents to exit the industry quickly? We brought on a panel of top investor-friendly agents to find out.

Joining us are four agents from across the nation: Avery Carl, Craig Curelop, Juliet Lalouel, and Mike Savegnago. All of these agents are affected by the recent NAR lawsuit settlement, but they don’t seem so shaken up. For many of these agents, this lawsuit simply thinned the competition, putting the expert agents back on top while showing the less-than agents the door. Plus, after the recent deals they’ve done, they’re not too concerned about a lack of buyer’s agent fees.

Today, we’re asking each of them their thoughts on the changes to the NAR’s rules, how this will affect buying and selling homes, what this means for real estate agent commissions, and what agents should do NOW to get ahead of the game. Plus, since our agent panel is all investors as well, they give some crucial advice on finding an agent in your area that will help you build your real estate portfolio even bigger.

In This Episode We Cover:

The NAR lawsuit explained and what it means for real estate agent commissions

A “huge exit of agents” and how this could change the real estate industry forever

What to do when a seller offers you or your buyer’s agent a zero-percent commission

What real estate agents need to start doing NOW to ensure they still get paid

The key signs of an investor-friendly agent that any landlord should be looking for

Massive downsides of buying or selling without an agent (it will cost you…)

And So Much More!

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