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s the real estate industry reflects on the past year since the National Association of Realtors' (NAR) commission lawsuit settlement agreement business practice changes took effect, opinions vary on what's changed. Some see significant shifts, while others believe little has altered.

    "I think there have been some substantial changes, particularly in how Realtors get paid," said Art Carter, CEO of California Regional MLS. Rick Haase, president of United Real Estate, shares a similar view: "A lot has changed, including business practices surrounding buyer understanding and agent compensation, forms, and disclosures."

    However, Phillip Cantrell, founder of Benchmark Realty in Tennessee, offers a more nuanced perspective: "There's a disparity between those who've accepted the changes and are working with them and those who think nothing has changed." He believes some brokers resist adapting to new compensation models, which will ultimately harm them as plaintiffs' attorneys begin auditing MLSs.

    While Haase acknowledges initial pushback against the practice changes, he thinks most brokers and agents realized they couldn't oppose the changes once they took effect. Forms proved to be a challenge, with some state Realtor association forms not aligning with settlement rule changes. This allowed some brokers and agents to continue practices that don't meet the settlement's intent.

    To address this issue, companies like eXp Realty created their own forms, prioritizing consumer understanding and streamlining the process. Holly Mabery, senior vice president of brokerage operations at eXp Realty, said: "The biggest frustration is that provided forms are often hard to read and understand. We'll continue creating our own forms until the industry moves towards something more palatable for consumers."

    Despite predictions of doomsday scenarios – including agents not getting paid, disappearing buy-side representation, and declining commission rates – none have materialized. Industry participants attribute this to a growing understanding of new workflows and consumer needs.

    Art Carter notes that brokers and agents in California have adapted to the changes, with buyers now negotiating payment for their agent's services. Rick Haase agrees that this negotiation process has enhanced his agents' ability to articulate their value proposition to clients: "Buyers now scrutinize the list of services provided by their agent, knowing they might pay for it themselves."

    The industry is better off prioritizing buyer representation, with these changes serving as a catalyst for improved communication and value articulation. Despite initial concerns about commission rates, United Real Estate has not felt a significant impact.

    While some believe more time is needed to assess the full impact of these changes, others see new models for buyer agent compensation and technologies emerging to support unrepresented buyers. Ultimately, consumers want help getting into a home, and transparency has been elevated, but their core needs remain unchanged.