A recent $418 million settlement by NAR took agents and leaders by surprise, prompting mixed reactions and existential fears. The settlement has raised concerns about the future of business revenue in the real estate industry. Early responses from a survey conducted by Inman Intel Index indicate that over 1,000 real estate professionals shared their insights on the settlement.
The general expectation is that the industry will experience a shift towards a more negotiable commission environment, leading to a decrease in the brokerage’s share of the transaction. Some brokerage leaders expressed concerns about potential confusion among clients due to the variety of new models being explored in the industry.
The reactions to NAR’s settlement are varied, with only 11% of agents reporting satisfaction with the terms, while 41% were unsatisfied. Brokerage leaders, on the other hand, were more positive about the industry’s future post-settlement, with 42% expressing optimism.
Many professionals anticipate a decline in real estate commissions following the settlement, with only a small percentage expecting an increase. Brokerage leaders believe that buyer’s agents will receive negotiated commission rates based on the sale price of the home, indicating a shift in compensation models.
Overall, there is a sense of uncertainty and concern about the implications of the settlement, with many anticipating a period of competing models and potential lawsuits. The industry is bracing for changes that could impact both professionals and consumers. The Intel Index will continue to provide insights on this evolving landscape in the coming weeks.
The real estate industry is facing uncertainty and change following a $418 million settlement by the National Association of Realtors. A survey conducted by Inman Intel revealed that real estate professionals have mixed reactions to the settlement, with concerns about declining commissions and confusion over new models. Many agents and brokerage leaders are unsure about the implications of the settlement, with some expressing fears of a chaotic and competitive environment. Brokerage leaders believe that buyer’s agents will be paid a negotiated commission rate based on the sale price of the home, leading to potential volatility in the industry. Overall, the settlement has raised questions about the future of real estate commissions and the need for clarity in the industry.
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