A class-action lawsuit settlement has dismantled the traditional real estate model where sellers automatically paid buyer broker fees. Now compensation is no longer transparent or guaranteed, forcing agents and buyers to actively negotiate and confirm fee arrangements with listing firms.
Now, today's world in real estate is different. It changed with the class action lawsuit and the pursuant settlement and all of the regulatory changes and the structural changes in real estate all over the board. It's a little bit of a hot mess. And so if you're in real estate, I implore you to please read your emails and stay up to speed. What changed for the consumer is that in the past, before this crazy class action lawsuit, our Multiple Listing Service had universal compensation, which meant if an offer was made from the listing agent, and thus the seller, to cover the fee for a buyer's broker, there it was. All for one, one for all, transparent, disclosed, easy peasy, baked into the price. The changes to the structure of the business after the settlement mean it's just not quite that easy or transparent. But there are still a lot of listing firms and sellers that are willing to pay the broker's fee, but you're going to have to call and ask. Say ringy dingy, what are y'all doing?
