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Understanding the

NAR Lawsuit Settlement

What You Need to Know

In March 2024, in response to a pending lawsuit judgment against them, the National Association of Realtors® released a set of proposed policy and practice changes that will reframe the relationship between real estate professionals and buyers. To be clear, the industry’s fiduciary commitment to the best interests of clients hasn’t changed, but the way agents and buyer clients formalize professional relationships will.

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Changes to the Homebuying Experience

As a homebuyer, this proposed settlement means there will be some changes to your real estate experience:

1. Required Buyer Agreements

Prior to this settlement proposal, it was acceptable (though not widely practiced) for buyer’s agents to forge relatively informal, unwritten agreements with their clients regarding service. Following these proposed changes, buyers must sign a service agreement with a real estate professional in order to be shown homes. 

2. Buyer’s Agent Compensation

Prior to the proposed changes in the settlement, buyer’s agents were compensated via a cooperation agreement with the seller and seller’s agent facilitated by the multiple listing service. While this sort of cooperation is still allowed, the MLS is no longer allowed to coordinate it. Buyer’s agents will now be responsible for negotiating their own compensation with clients.

FAQ

As a homebuyer, these changes will require new, important conversations between you and your real estate professional. A buyer service agreement will formalize your agent’s fiduciary responsibility to you, further protecting your interests. It will allow the opportunity for real, transparent communication with your agent around compensation, offering you a clear understanding of the cost of services and how those services benefit you. 

These conversations will ultimately set buyers up for greater success in their transactions. More buyers will start the home search process with a clear understanding of their strategy, how their agent will support them, and what it will take to get to the closing table. 

Two major changes: First, compensation offers to buyer’s agents will no longer be displayed on the MLS, and the MLS won’t be allowed to facilitate commission cooperation between the buy and sell sides of transactions. Second, all buyers will be required to sign a buyer agreement with their agent outlining service terms, including commission requirements.

Yes. Luxury Presence has created a strategy guide for agents seeking advice on negotiating buy-side compensation. Get your copy of The Future of Buy-Side Compensation here

The best agents have shifted their thinking from the top line to the bottom line. They're obsessed with the client experience. They're taking action very quickly to level up the technology in their businesses because they understand it's the only way to deliver strong profitability and a world-class client experience.

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How I Work With Buyers

As my client, you can expect nothing but the highest level of service and counsel. I take my fiduciary commitment to you extremely seriously and believe that the best way to advocate for your best interests is through preparation. For each property my clients consider, I create a complete set of market research, potential pricing and offer strategies, contract negotiation tactics, and more.

Before the NAR lawsuit settlement proposal, some buyer’s agents were able to get away with doing the bare minimum. Thanks to assumed cooperation with the seller, they might get paid for simply showing up, unlocking doors, and pushing papers. 

While that was never my approach, it is now no longer the world we live in. As my client, you can rest assured that I will provide you with expert-level service and advice throughout our professional relationship.

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"I had an INCREDIBLE experience working with Yasmin on my apartment search in Brookyln. From the moment I reached out, she understood exactly what I needed and was genuinely invested in getting me into a place quickly. What stood out most was how personal and attentive she was throughout the entire process. Yasmin moved incredibly fast. I submitted my application, and within 24 hours, she had reviewed everything, coordinated with the landlord, and had me approved and ready to move in. That kind of turnaround is rare, especially in the competitive Brooklyn rental market. She was responsive to every question, proactive about next steps, and genuinely made what could have been a stressful process feel manageable and straightforward!! There were no unnecessary delays or complications, if you're looking for someone who actually cares about getting you into the right place and will make the whole process smooth, Yasmin IS your person!! She is AMAZING!! Highly recommend her and TorsX to anyone apartment hunting in NYC."
"I had an INCREDIBLE experience working with Yasmin on my apartment search in Brookyln. From the moment I reached out, she understood exactly what I needed and was genuinely invested in getting me into a place quickly. What stood out most was how personal and attentive she was throughout the entire process. Yasmin moved incredibly fast. I submitted my application, and within 24 hours, she had reviewed everything, coordinated with the landlord, and had me approved and ready to move in. That kind of turnaround is rare, especially in the competitive Brooklyn rental market. She was responsive to every question, proactive about next steps, and genuinely made what could have been a stressful process feel manageable and straightforward!! There were no unnecessary delays or complications, if you're looking for someone who actually cares about getting you into the right place and will make the whole process smooth, Yasmin IS your person!! She is AMAZING!! Highly recommend her and TorsX to anyone apartment hunting in NYC."
Tiana P.
"Justin helped my spouse and I find an apartment in Brooklyn. As far as NYC brokers go, Justin was a breath of fresh air: he was honest, straightforward, responsive and kind. My experience with him and TorsX was the best NYC rental process I've experienced in over a decade of living in the city."
"Justin helped my spouse and I find an apartment in Brooklyn. As far as NYC brokers go, Justin was a breath of fresh air: he was honest, straightforward, responsive and kind. My experience with him and TorsX was the best NYC rental process I've experienced in over a decade of living in the city."
Samuel K.
"Jenna and Mike were super helpful through the entire process. My girlfriend and I were in a mad rush to find a place within a few days, and they were able to find us a unit at the last second, and we applied and got accepted in a few days! They were also super communicative the entire time, and they went out of their way to help us with anything that arose during the process. I cannot recommend them enough!"
"Jenna and Mike were super helpful through the entire process. My girlfriend and I were in a mad rush to find a place within a few days, and they were able to find us a unit at the last second, and we applied and got accepted in a few days! They were also super communicative the entire time, and they went out of their way to help us with anything that arose during the process. I cannot recommend them enough!"
Levi G.
"I worked with Justin Rice to find a place in Manhattan and it was an fantastic experience. Super personable guy and amazing communicator. He made all of the extreme struggles of finding an apartment in NYC feel like nothing. Providing not only the basic information needed to know by a tenant, but consistently checking in at each step of the process to provide tips or fill in knowledge gaps. Something that I have never experienced with any other broker. I would highly recommend Justin and the TorsX team to anyone looking for an apartment in the city."
"I worked with Justin Rice to find a place in Manhattan and it was an fantastic experience. Super personable guy and amazing communicator. He made all of the extreme struggles of finding an apartment in NYC feel like nothing. Providing not only the basic information needed to know by a tenant, but consistently checking in at each step of the process to provide tips or fill in knowledge gaps. Something that I have never experienced with any other broker. I would highly recommend Justin and the TorsX team to anyone looking for an apartment in the city."
Colby A.
"I worked with Alana Goodman to find my apartment. She was kind, thorough, and attentive, both when she showed me the apartment and when she made the extra trip to meet me there on move-in day to assure everything went smoothly. Would wholeheartedly recommend."
"I worked with Alana Goodman to find my apartment. She was kind, thorough, and attentive, both when she showed me the apartment and when she made the extra trip to meet me there on move-in day to assure everything went smoothly. Would wholeheartedly recommend."
Hazel B.
"Prashnat was incredibly helpful and attentive with finding me a space! The communication was great, and he was very considerate when it came down to what I was looking for in an apartment and roommates! Highly recommend for anyone looking for a new space or housing!"
"Prashnat was incredibly helpful and attentive with finding me a space! The communication was great, and he was very considerate when it came down to what I was looking for in an apartment and roommates! Highly recommend for anyone looking for a new space or housing!"
B. Del Valle
"I had the most AMAZING experience working with Taylin!!! As someone who moved across the country, Taylin helped me find the most beautiful space, educated me on the area, made the process quick and easy, and most of all, he was super kind and welcoming!! Highly recommend working with Taylin and his team!!!!!"
"I had the most AMAZING experience working with Taylin!!! As someone who moved across the country, Taylin helped me find the most beautiful space, educated me on the area, made the process quick and easy, and most of all, he was super kind and welcoming!! Highly recommend working with Taylin and his team!!!!!"
Maya M.
"Jamie was fantastic to work with. My roommates and I worked with her to rent a place in Williamsburg. She is very knowledgeable and made the application process much smoother than previous applications I've done. She also took our different schedules into account and was patient with us throughout the process. I would highly recommend working with her."
"Jamie was fantastic to work with. My roommates and I worked with her to rent a place in Williamsburg. She is very knowledgeable and made the application process much smoother than previous applications I've done. She also took our different schedules into account and was patient with us throughout the process. I would highly recommend working with her."
Louis C.
"Johnathan at toursx was a great help to me and even though I didnt end up going with the apartment, he was super communicative and made me feel like I was in great hands on my search for a new apt!"
"Johnathan at toursx was a great help to me and even though I didnt end up going with the apartment, he was super communicative and made me feel like I was in great hands on my search for a new apt!"
Michael D.
"Great company to work with for finding an apartment in Brooklyn! With their help, we were able to quickly move into a unit that fit our needs. Yasmin was incredibly personable, responsive, and helpful. This all happened during a holiday week too. Incredible service. I highly recommend working with TorsX."
"Great company to work with for finding an apartment in Brooklyn! With their help, we were able to quickly move into a unit that fit our needs. Yasmin was incredibly personable, responsive, and helpful. This all happened during a holiday week too. Incredible service. I highly recommend working with TorsX."
Steven S.