Ahead of the August 17 implementation of NAR’s practice changes, we wanted to provide a few reminders of actions that are required to obtain a release of liability and protect your organization from claims related to broker commissions:

  • We recommend all MLSs implement practice changes by August 17. REALTOR® MLSs (those owned exclusively by one or more REALTOR® Member Boards) must implement the changes by this date to remain in compliance with NAR policy.
  • Offers of compensation are prohibited on MLSs. Offers of compensation will continue to be an option consumers can pursue off-MLS through negotiation and consultation with real estate professionals. Offers of compensation help make homeownership and the benefits of professional representation more accessible to buyers, including first-time homebuyers, increase homeownership opportunities for historically underserved groups, and benefit sellers by expanding the potential buyer pool.
  • Agents working with a buyer must enter into a written agreement before touring a home. Ahead of August 17, NAR encourages all members to address form changes and prepare to educate real estate professionals and consumers about revised forms. NAR policy does not dictate terms of buyer agreements, including the type of relationship – e.g., agency, non-agency, exclusive, or non-exclusive – or the length of the term. NAR has created resources to assist with implementation of the settlement terms—such as tips on clarity and emphasizing consumer choice—including our “Written Buyer Agreements 101” resource, available here.

The practice changes are detailed here, and clarifying information is available in our FAQ on facts.realtor.

We also want to make you aware of several recent updates to facts.realtor:

Updates made to our FAQ on facts.realtor, including:

  • Information for MLS Participants who list properties to MLSs that did not opt-in to the settlement (#38)
  • An addition to the ‘Written Listing Agreements’ and ‘Written Buyer Agreement’ sections regarding which pre-closing form disclosures are required (#57 and #79, respectively)
  • Clarification on the requirement for written buyer agreements for all subscribers to MLSs that have opted into the settlement (#16)
  • An addition to the ‘Offers of Compensation’ section regarding how the REALTOR® Code of Ethics addresses off-MLS offers of compensation (#48)
  • Additional detail explaining the parameters of allowable links to brokerage websites that are on an MLS (#45)
  • A new question on procuring cause in arbitration (#47)
  • Updated information on amended agreements (#74)
  • Updated information on the appraisal process (#98)

NAR has updated how we host settlement-related content on our website. Facts.realtor is now the sole online home of all NAR settlement related content. Competition.realtor and realestatecommissionfacts.com have both been retired, and its contents have been migrated to facts.realtor.

This information is only accurate as of 08/09/24. You must contact SCR for updates and changes to this information after 08/09/24 as laws and regulations may change over time. SCR 803-772-5206 or email info at screaltors.org or email byron at screaltors.org)

This information is not legal advice. This information is intended only to provide general information and may not be relied upon as specific legal guidance. Legal counsel should always be consulted before acting in reliance on this information.