New rules just took effect, changing how you buy and sell a home

Changes to real estate commissions just went into effect, which could potentially give sellers more negotiating power — and buyers a little extra work.

In March, a $418 million settlement was reached with the National Association of Realtors. The settlement, Kristin Francis with KW Metro Center Arlington said, stops Realtors from posting commission on any multiple listing service.

“We can’t publish our commissions. So now we have to have individual discussions house by house,” Francis said.

Before these rule changes took effect, sellers had to pay commission to their agent, who then split that fee with the buyer’s agent. Now, sellers can negotiate those fees down.

“The buyer and the buyer’s agent still have to have that conversation to say, ‘Hey, my professional fee is X,’ and we can go and ask the seller to cover that, and they may say yes, or they may say no,” Francis said.

But commissions aren’t the only thing changing. Michelle Sloan, a broker at RE/MAX TIME in Cincinnati, said buyers can no longer see a home without a written agreement.

“They will need a buyer’s agreement with a buyer’s agent in order to see that property,” Sloan said.

She said this change will help agents keep clients who are serious about buying a home.

“Just like a seller is bound to the listing agent by contract, now the buyer is going to be bound to their buyer’s agent by contract,” Sloan said.

Some experts say, in the end, these changes are really about transparency and they should give both buyers and sellers a clearer idea of how they’re compensating brokers.

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