I
t's been a year since the Sitzer/Burnett verdict shook up the real estate industry, with far-reaching consequences for brokerages and agents nationwide. As HomeServices executive vice president Chris Kelly notes, this Halloween may be less stressful than last year's, thanks to changes in business practices that have refocused attention on consumers.

    For HomeServices, the biggest change has been a renewed emphasis on agent-consumer engagement at the start of transactions. This means clearer communication and expectations about how the process will work. According to Kelly, NAR's settlement has been a positive for agents and consumers alike, but implementing these changes was no small task.

    Compass is also navigating this challenge by relying on regional expertise and tailoring training to individual states' needs. "We've always married strong national training with equally strong regional training," says coaching leader Courtney Smith. "In a scenario like this, where the regional differences are so vast, we have really relied upon our incredible brokers of record and amazing sales leadership team to deliver on those regional nuances."

    NextHome CEO James Dwiggins agrees that agent education and coaching have been crucial in adapting to industry changes. However, he notes that some peers were woefully unprepared for the shift, highlighting a lack of leadership and guidance within the industry.

    At NextHome, agents are no longer engaging in cooperative compensation, instead asking buyers' agents to request compensation in their offers. Dwiggins sees this as an opportunity to educate sellers about the benefits of considering all buyer requests, while also navigating the complexities of regional differences.

    Unlike other firms, NextHome was added to a commission lawsuit in April 2024 and settled shortly after. Dwiggins believes that settlement is often cheaper than going to trial, especially when dealing with a rigged system.

    White-label brokerage firm Side has taken a different approach by continuing to pursue litigation. Co-founder Hilary Saunders argues that each company must make an educated decision about whether to settle or fight on. For Side, the merits of each lawsuit are carefully evaluated before deciding on a course of action.

    Despite the challenges faced by many firms, top agents continue to thrive in this new landscape. As Saunders notes, "there is a big cream-rises-to-the-top situation going on, where the top-performing, excellent Realtors in their given markets are rising." At HomeServices, Kelly sees another reason for optimism: the strong bond between agents and consumers remains intact, with consumers valuing educated professionals during high-stakes transactions.