The Impact of the NAR Ruling and How Home Inspectors Can Help
If you plan on moving in the near future, there have been some industry changes that you may not be familiar with. The recent NAR (National Association of Realtors) ruling has shaken up the industry a bit with these changes, which will modify the current business model for buying and selling a home. Let All-Pro Home Inspections dive into this with you and discuss how it affects you as a home buyer or seller, as well as how it affects real estate agents. We’ll explore how home inspectors can help with this change in the real estate landscape, which may benefit you.
What Is the NAR Ruling?
NAR has been accused of setting rules that inflated real estate commissions. Recently, it reached a settlement with groups of home sellers by agreeing to pay $418 million in damages to settle the antitrust lawsuits. This settlement goes into effect in mid-July for NAR’s more than one million members in the real estate industry. With this settlement, NAR seeks to protect its members and preserve consumer choice.
What Does the NAR Ruling Mean for Consumers?
The NAR ruling could significantly reduce the cost of buying or selling a home. Housing prices were believed to be artificially inflated by the expectation that sellers had to pay their broker and the buyer’s broker. This new agreement could mean that home buyers would set their own agents’ pay, and sellers could keep more of the proceeds from home sales due to the possibility of lower commissions.
What Does the NAR Ruling Mean for Agents?
The settlement resolves claims made against NAR and other realtor associations, as well as brokerages with a NAR member principal whose 2022 residential transaction volume was at or below $2 billion. The agreement mandates that real estate agents’ compensation will no longer be included in listings placed on Multiple Listing Services (MLS), and MLS participants must enter into written agreements with buyers.
How Can Home Inspectors Help?
The hardworking, diligent agents, along with the thorough home inspectors they trust, will adapt and stick around. As a buyer in this new era of commissions, your home inspector could even be your first point of contact in the real estate transaction. This change allows better collaboration between you, your agent, and your inspector in a more consumer-focused market. However, the market may proceed in the coming months, so remember that a home inspector is an unbiased party with a duty to provide the facts that will help you make an informed decision.
Schedule Your Home Inspection
After 15 years in business, All-Pro Home Inspections has seen a few industry changes. However, our exceptional customer service and commitment to integrity remain unchanged. Contact us at (615) 337-1277 for an instant quote or to schedule your inspection. We serve Nashville and the surrounding areas of Franklin, Brentwood, Hendersonville, Mt. Juliet, and Murfreesboro, as well as the counties of Davidson, Robertson, Sumner, Wilson, Rutherford, Williamson, and Cheatham.