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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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"Angel white was our Realtor on a property in Beverly Hills. We interviewed few top agents before choosing Angel, she came across as sincere, warm, and friendly. Those qualities along with her professional, positive spirit and hard work ethic made her the right choice for us, she sold the property in a very short time and walked the process along without a hitch. We highly recommend her to anyone who wants to sell or buy with top representation."
"Angel white was our Realtor on a property in Beverly Hills. We interviewed few top agents before choosing Angel, she came across as sincere, warm, and friendly. Those qualities along with her professional, positive spirit and hard work ethic made her the right choice for us, she sold the property in a very short time and walked the process along without a hitch. We highly recommend her to anyone who wants to sell or buy with top representation."
Seller
"I moved to LA from NYC and had decided not to use a broker, mostly because I had unpleasant experiences with them in the past. Angel was the listing agent for a property that caught my eye. Although I passed on that property, we hit it off tremendously, and I decided to use her services to purchase a home. Being a New Yorker without a car, Angel was nice enough to drive me all around LA, helping me learn about the city, until we found the perfect spot for me. Angel was perfect throughout the entire experience, and we have kept in touch as friends even now, two years after my purchase."
"I moved to LA from NYC and had decided not to use a broker, mostly because I had unpleasant experiences with them in the past. Angel was the listing agent for a property that caught my eye. Although I passed on that property, we hit it off tremendously, and I decided to use her services to purchase a home. Being a New Yorker without a car, Angel was nice enough to drive me all around LA, helping me learn about the city, until we found the perfect spot for me. Angel was perfect throughout the entire experience, and we have kept in touch as friends even now, two years after my purchase."
Buyer
"Angel is good. Really good, actually. She helped me sell my first real estate development. A full scale remodel of a craftsman home in Leimert Park section of Los Angeles. She navigated me through the trials of a slow buyers market riddled with economic uncertainty, as her experience and professionalism was evident and on full display. If you are in the market to sell your home, call her!"
"Angel is good. Really good, actually. She helped me sell my first real estate development. A full scale remodel of a craftsman home in Leimert Park section of Los Angeles. She navigated me through the trials of a slow buyers market riddled with economic uncertainty, as her experience and professionalism was evident and on full display. If you are in the market to sell your home, call her!"
Ramon S.
"One way to view real estate, I've always considered it a collection of nouns, metrics and essentials, dollars and timetables offers and counter offers, I chose Angel precisely because her reputational and professional integrity was made know to me by some colleagues and thankfully but unsurprisingly she was the real deal. All the more reason a friendship and a continuing association is here."
"One way to view real estate, I've always considered it a collection of nouns, metrics and essentials, dollars and timetables offers and counter offers, I chose Angel precisely because her reputational and professional integrity was made know to me by some colleagues and thankfully but unsurprisingly she was the real deal. All the more reason a friendship and a continuing association is here."
Bill F.
"Angel was an absolute pleasure to work with from start to finish. Having her in our corner made all the difference—she was proactive, knowledgeable, and incredibly dedicated throughout the entire process. She went above and beyond to get our home sale-ready, guided us step-by-step, and made everything feel organized and manageable. Her communication was excellent, her strategy was spot-on, and we always felt supported and confident with her leading the way. We’re truly grateful for all her hard work—Angel is not only an outstanding realtor, but a genuinely wonderful person inside and out. Highly recommend!"
"Angel was an absolute pleasure to work with from start to finish. Having her in our corner made all the difference—she was proactive, knowledgeable, and incredibly dedicated throughout the entire process. She went above and beyond to get our home sale-ready, guided us step-by-step, and made everything feel organized and manageable. Her communication was excellent, her strategy was spot-on, and we always felt supported and confident with her leading the way. We’re truly grateful for all her hard work—Angel is not only an outstanding realtor, but a genuinely wonderful person inside and out. Highly recommend!"
Christopher A.