Acknowledging My Valued Clients and Addressing the NAR Settlement on Commissions
I extend my heartfelt gratitude to all my clients who continue to support me. Many of you have inquired about how the recent National Association of Realtors (NAR) settlement regarding commissions will impact my business as a Realtor. As the Broker and Owner of Lei Homes LLC, I operate independently, generating my income through successful property sales.
Background:
Recently, the NAR settled a class-action antitrust lawsuit. The lawsuit alleged that NAR and major brokerages colluded to artificially inflate seller commissions. In response, the settlement aims to address these concerns and create a fairer marketplace.
Key Changes:
Negotiating Commissions:
Sellers have always had the ability to negotiate commissions with their listing agents. However, there’s a new twist: Agents can no longer advertise a commission to a buyer’s agent through the MLS (Multiple Listing Service). Instead, compensation must be negotiated outside of our MLS system.
Sellers now have the option to directly negotiate with the buyer’s agent regarding compensation. I continue to advise my clients to offer compensation to the buyer’s agents. This ensures that buyers are fully represented by their own agent, guiding them through the transaction.
Buyers who choose NOT to be represented by an agent may face risks due to limited understanding of contracts, inspections, and paperwork. This is a concern for the seller as you could have an unhappy buyer who felt there should have been more disclosure or key information was not given to them. Sellers have always had the option not to pay for a buyers agent but with transactions that are becoming increasingly complex, it is more important than ever to make sure the buyers understand the biggest purchase of their lives and have their own representation to help them with making decisions and negotiations. 2. Buyer’s Agent Representation Agreement:
Buyers will be required to sign a buyer’s agent representation agreement. This agreement outlines how the buyer’s agent will be compensated for representing the buyer.
Additionally, the agreement addresses scenarios where the seller does not offer compensation. In such cases, it clarifies how the buyer’s agent will be paid.
As part of my process, I now require a buyer’s representation agreement before showing any property. This transparency ensures clarity on how I allocate my time and what compensation I receive upon a successful transaction closing.
Opportunities Ahead:
These changes present excellent opportunities for consumers. They shed light on how real estate agents are compensated and empower buyers to hold agents accountable. As we navigate this evolving landscape, I remain committed to providing exceptional service and transparency to my clients.
Thank you for your continued trust and support.
KUILEI PLACE UPDATE
Kuilei Place is undergoing an exciting transformation, and the ground-level restaurant space is a key part of it. The Aoki group, which also owns Doraku Sushi, Herringbone Waikiki, Bluetree Cafe, and 1938 Indochine, is thrilled to convert the 7,000 sq. ft. retail area into an exceptional experience for both residents and visitors
If this vibrant community sounds exciting to you, there's still a chance to buy a unit at Kuilei Place!
Availability of units are as follows and are subject to change:
Available One bedrooms range from $671,500 on the 3rd floor up to $795,000 on the 40th floor. Estimated HOA fee is $435/mo excluding utilities
Available Two bedrooms range from $893,500 on the 2nd floor up to $1,005,500 on the 30th floor. Estimated HOA fee is $601/mo excluding utilities
Available Three bedrooms range from $989,000 on the 2nd floor up to $1,133,500 on the 31st floor. Estimated HOA fee is $731/mo excluding utilitiesÂ
Call me if you are interested in learning more or visiting the sales gallery!
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