I'm planning to put my house for sale in May as I plan to move out of state in July. Since nothing should be in place before July. How should I approach the sale of my house with the NAR settlement?
I'm still suggesting to my clients selling in SD, to get the best price and terms for their property, is to offer a strong commission to buyer agents. For the same reasons I suggested this before the settlement.
The NAR settlement mainly focuses on how buyer brokers get paid, which shouldn't change your selling approach as a seller. Ask about the current market conditions in San Diego to decide on your pricing strategy. Discuss any potential impacts of the NAR settlement on buyer broker marketing or commissions. With your May listing and July move-out plan, your agent can suggest strategies for a smooth sale within your timeframe, including flexible closing options. If the San Diego market is very hot for sellers, you might have flexibility with the timeline. Discuss this possibility with your agent.Explore iBuyer options for a fast sale that aligns with your move-out date, but keep in mind you might get a slightly lower price than on the traditional market.
Gregory - Keep in mind that this is only an NAR "proposed" settlement. We don't know what the response of the court / DOJ will be. The way we do business WILL change, but for now, it's business as usual. I put a property on the market in San Diego 2 days ago and offered the Buyer Broker 2.5% commission via the MLS. I also looked around at other nearby listings to see if there were any changes. I didn't see any - at least not yet.
I think we'll immediately see an increase in the use of Buyer Broker Agreements, and we'll slowly start to see more off-mls negotiating. This may include sellers offering off-mls Buyer Broker compensation, similar to commercial experiences I've had. I'm sure your agent will stay on top of things as the market evolves.
@Gregory Saysset commissions have always been negotiable on both sides. You don't need to wait until July if you do not want to offer a commission percentage to the buyer's agent. What I will say is by not offering one you are esstentially hurting your property and the number of offers you will get because you are diminishing your buyer pool to just those that are willing and able to pay their buyer's agent. So most VA and FHA buyers won't have extra money to pay a buyer's agent commission when they are coming up with a down payment and closing costs. Just my two cents.
I'm still suggesting to my clients selling in SD, to get the best price and terms for their property, is to offer a strong commission to buyer agents. For the same reasons I suggested this before the settlement.