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n this episode of Real Estate Insiders Unfiltered, Leo Pareja, CEO of eXp Realty, discusses the company's recent decisions in light of the NAR settlement. Pareja took over as CEO just five months ago and was faced with several key decisions, including how to handle newly required forms and whether to continue offering broker-to-broker compensation.
To address these issues, Pareja and his team took a proactive approach. They hosted a webcast just three days after the settlement was announced, which was viewed by approximately 50,000 people. This webcast was a masterclass on leadership, as Pareja quickly developed a buyer representation agreement that was easy to understand and felt comfortable for everyone involved. This move earned the company praise from consumer watchdogs.
Pareja emphasized the importance of making transactions as smooth as possible for clients. He believes that shoving an 8 to 12 page legal document in someone's face is not the way to go. Instead, they started with a blank piece of paper and created something new and more user-friendly. Pareja also made the decision to make this agreement publicly available, reflecting eXp's commitment to cooperation within the industry.
When it comes to broker-to-broker compensation, Pareja decided to take a bold step. If this form of compensation was no longer allowed on the MLS, eXp would simply stop facilitating this exchange. However, sellers who work with eXp agents can still compensate buyer agents if they wish to do so. The company's position is that they want the seller to have a seat at the table and be part of the decision-making process.
Pareja also shared his thoughts on buyer agreements. His recommendation to anyone holding a real estate license is to sign a buyer's agreement with the fee they are willing to work for to show property. This helps agents avoid any hint of steering and ensures a fair and transparent process for all parties involved. Pareja believes that real estate professionals who join eXp in the future will wonder why they ever did things any other way.
The views, thoughts, and opinions expressed in this podcast are those of the podcast creators and guests and do not necessarily reflect the views of Real Estate News.
