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lexandria, VA - Hello everyone! We hope you had a wonderful summer and made some amazing memories. In real estate, we're entering a new season with many legal changes and challenges.

    For many decades, and certainly since I've been in the business (which is now in its 19th year), it has been customary for sellers to offer cooperative buyer agency compensation to a buyer's agent who represents the buyers' fiduciary interests in a real estate transaction.

    Until August 17, 2024, buyers were able to purchase a home without having to pay a buyer agent compensation (generally). When these same buyers went to sell their home, they would customarily offer cooperative compensation to the buyer's brokerage. This allowed sellers to take advantage of this customary system when purchasing their new home.

    Recent class action lawsuits and a lawsuit settlement are changing the landscape of our industry and how buyer representation and compensation are handled. For more details, you can visit these online resources:

    - Homebuyers: Here’s What the NAR Settlement Means for You

    - Home Sellers: Here’s What the NAR Settlement Means for You

    What these changes mean for homebuyers:

    - Written buyer-broker agreements are now required before touring a property. This is something we've been doing in the DMV for years.

    - Offers of compensation to Buyer’s Brokers cannot be advertised on the MLS. Sellers may still offer buyer agency compensation, but it is not required and is negotiable up until the contract's full terms have been ratified.

    - Offers of compensation can still be advertised off MLS, i.e., brokerage websites.

    - Agents must disclose to prospective sellers and buyers that broker commissions are not set by law and are fully negotiable.

    These legal changes will impact the buying and selling process. We will continue to update our readers as we navigate these changes. We will always lead with integrity and transparency while representing our clients' highest and best interests.

    Buying or selling a home is a significant investment, and you should have professional representation. It's a complicated process with many potential pitfalls, twists, and turns.

    If you or someone you know needs help navigating these new laws, we're here to help. Contact us at [email protected], visit our website at www.seward-group.com, or call us at (703) 298-0562.

    Article written by Lyssa Seward, Team Lead of The Seward Group at TTR Sotheby’s International Realty, Alexandria, Virginia 22314. The Seward Group offers full-spectrum concierge real estate service at all price points and would be honored to help you, a family member, or friend with any of your real estate needs.