ST. LOUIS – Earlier this year, FOX 2 raised the topic of how the National Association of Realtors settled a series of lawsuits totaling $418 million. The settlement ushered in sweeping changes aimed at improving communication and clearly defining the compensation paid to real estate agents.
Scott Haggerty with St. Louis Realtors admits change isn’t easy.
“At first, we were tentative, but that’s because it’s change. Change is always a little bit difficult. Once you understand it, there hasn’t been a lot of difference. I think it’s been better, but there’s not a lot of difference,” Haggerty said.
Among the changes, homebuyers need to sign a written agreement with their agent before touring a home. The agreement is intended to help consumers understand the services they’ll get and what they will cost.
Also, buyer-agent compensation offers are no longer included on a multiple listing service or MLS. This compensation can still be advertised elsewhere and negotiated between buyers and sellers.
“I think as realtors, it probably brought to the forefront maybe what we should have been doing on a consistent basis prior to all the changes taking place. I think for the consumer, they are probably a little bit at ease knowing exactly what it is we’re doing now,” Haggerty added.
He believes pre-existing Missouri real estate laws and early adoption of the new rules have helped smooth the transition for St. Louis realtors and consumers.
“A lot of other areas have not started it nearly as soon as we did. I think that’s a real compliment to our association, but really, it’s a benefit to the consumer where we’re at,” he said.
With the new rules in place for less than two weeks, questions remain about how these changes will impact real estate transactions moving forward. Haggerty believes a customer-focused approach will help ease any growing pains.
“Our focus has always been on the consumer. Never what we make. Our business model, anything like that, its always been about the consumer. We treat them right, and then we do right,” he said.
