3 Ways to Leverage New Real Estate Policies in Your Favor as a Homebuyer

3 Ways to Leverage New Real Estate Policies in Your Favor as a Homebuyer

In recent years, homebuyers have faced challenges like rising home prices, high interest rates, and intense competition in the real estate market. However, with a new real estate policy, buyers now have more control in the process.

For decades, sellers traditionally covered commission fees for both their listing agent and the buyer’s agent. But a recent settlement from the National Association of Realtors (NAR) has altered that practice, giving homebuyers more flexibility. Sellers are no longer required to pay the buyer’s agent fees, allowing buyers to negotiate terms directly with their agent.

Here’s how homebuyers can take advantage of these changes:

1. Sellers Can Still Pay the Buyer’s Agent Fees
   Although sellers aren’t obligated to cover the buyer’s agent commission, some may still offer to do so as an incentive, particularly in slower markets. This can be used to your advantage, especially if you’re negotiating in a buyer’s market where sellers may be eager to close a deal.

2. Make Competitive Offers
   By negotiating agent fees separately, buyers can make more competitive offers without the seller needing to cover the buyer’s commission. This flexibility can give you an edge in tight markets, as your bid may be more attractive to sellers when compared to others that include the added cost of agent fees.

3. More Transparency for First-Time Buyers
   For first-time buyers, the new policy provides an opportunity to negotiate agent fees upfront. This gives you a clearer understanding of costs before beginning your home search, and while you’ll now need to account for these fees in your budget, there may be future efforts to include agent commissions in mortgage financing.

The Bottom Line
The recent changes to real estate policies provide more flexibility for homebuyers, offering potential cost savings and greater transparency in the homebuying process. While there may be some additional considerations, such as negotiating agent fees, this shift empowers buyers to take more control over their home purchase.