Yesterday’s topical webinar, part of the Presence Panels series hosted by our very own Chris Linsell, took a deep dive into the implications of the settlement recently implemented by the National Association of Realtors (NAR). Our panelists — Jeff Biebuyck, co-founder of Frontgate Real Estate, Ben Belack of The Agency in Beverly Hills, and Holly Meyer Lucas, a top agent from Jupiter, Florida — offered candid insights and actionable advice, framing the settlement as both a challenge and an opportunity for agents across the United States.
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Key takeaways: A new era of buyer representation
One of the most immediate changes driven by the settlement is the shift in how agents represent buyers. Traditionally, many buyer’s agents would show homes without any formal compensation agreement in place.
Now that agents need to lock in their compensation before any tours take place, Belack predicted the low barrier to entry, which has allowed less committed agents to flood the market, will be raised. “The days of swinging your arms in markets like New York and Los Angeles and hitting a real estate agent are over… this is a skills-based business now,” he said, adding that the settlement could push out those who only dabble. “I think there isn’t a place for them anymore. Which is a good thing.”
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The commission debate: Reduced leverage for buyer’s agents
When it comes to the new regulations concerning commissions and buyer’s agreements, Belack warned it could impact buyer’s agents’ pay. “The agent representing the buyer has lost some very important leverage,” he said. “Now we’ve added in a new negotiation at the time of offer.” He predicted that the changes will put downward pressure on buyer agent commissions, making it essential for real estate professionals to clearly demonstrate their value upfront.
Meyer Lucas shared her experience with this issue, having adapted to these new norms years ago by eliminating dual representation in her transactions. “What kept me in the business was just doubling down when it works and bailing when it doesn’t,” she said.
Meyer Lucas added that the shift to upfront discussions about compensation should feel natural: “It’s forcing us to have conversations on the front end, rather than the back end. It’s the same way we talk to sellers about commissions, and I think it’s about time we did this with buyers.”
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Clear Cooperation: An industry divide
The panelists also tackled the Clear Cooperation policy, which requires agents to list properties publicly within 24 hours of marketing them. This rule, adopted by NAR four years ago with the intention to prevent off-market deals, pocket listings, and discrimination, has sparked controversy.
Belack was critical, arguing that such a policy is irrelevant in many niche markets. “Most markets don’t even have pockets,” he said. But, “if someone wants to list their property privately in markets where there are pockets because they want to have discretion or there’s potentially press ramifications, they should be able to.”
Meyer Lucas was even more blunt. “Clear Cooperation is asinine,” she said, sharing how off-market deals are essential in her luxury market, particularly when privacy is a concern. “Where I disagree with Ben, though, is that certain markets don’t have pockets… every market has a reason to have pockets: divorces, deaths, hoarder situations. I sold a house that was a hoarder situation a couple of weeks ago and that home did not belong on the internet.”
Belack agreed that the policy limits agents’ ability to cater to clients with a need for discretion, particularly in high-profile markets like Beverly Hills. “If I want to sell something quietly just to a select group of Realtors who I know likely have the buyer… the seller should be allowed to make that choice.”
Biebuyck also weighed in, explaining that, while transparency is critical, the policy might be overreaching. “Clear cooperation was supposed to be about cooperating clearly, right? But is this really clear to the consumer, or is this just for class-action attorneys collecting fees?” He emphasized that this policy might be doing more harm than good by limiting flexibility in markets that thrive on personal relationships.
Navigating buyer and seller expectations
Both Biebuyck and Meyer Lucas underscored the importance of setting clear expectations with buyers and sellers under the new rules. Meyer Lucas provided practical advice for agents having trouble with compensation agreements, encouraging them to role-play these discussions in order to approach them with confidence: “If you’re struggling having these conversations, I promise you it gets easier. Practice makes perfect.”
Meyer Lucas pointed out that agents typically provide the most value to buyers by saving them time, money, or energy, as each buyer’s motivation is unique. “The vast majority of agents right now, and this is actually kind of terrifying, don’t know what their value actually is when they represent a buyer because we haven’t had to really practice it in the past,” she said. “I can’t emphasize this enough: Practicing and getting comfy with it makes it easier.”
Biebuyck echoed this sentiment in situations with sellers as well, particularly if they are simply looking to avoid paying the buyer agent’s commission: “If I have a seller that’s using [the new NAR settlement policy] as an advantage to be cheap… I don’t know if I’d work with them. You’ve got to explain the rules of the road.” He shared that, while the new policies may introduce additional paperwork, the fundamentals of negotiation and representation remain unchanged.
Adapting to a new reality
The panel closed with a message of optimism. While the NAR settlement introduces new complexities, it also provides an opportunity for agents to adapt, evolve, and differentiate themselves in an increasingly competitive market.
Belack stressed the importance of consistency, sharing, As “Rayni Romito [Williams] said on my podcast, there’s buyers markets, there’s sellers markets, and there’s salesperson’s markets. And it’s always a salesperson’s market.” He encouraged agents to focus on refining their skills and creating value for their clients, especially as the market continues to shift.
Meyer Lucas urged agents to “shut the noise out” and focus on the fundamentals that drive success. She emphasized that agents who commit to a single strategy and execute consistently will thrive in this new environment. “Pick something — whether it’s open houses, calling your sphere, or working expired listings — and do it for 90 days,” she said. “I swear to God, you’ll be a millionaire.”
Biebuyck, reflecting on his experience navigating past industry disruptions, reassured agents that the future remains bright for those willing to be flexible: “We’ve seen these changes before. You adapt or you die.”
Embrace the changes
For real estate agents navigating this evolving landscape, the message from the panelists is clear: Embrace the changes, master new skills, and remain client focused. The NAR settlement may be a major shift, but it also creates space for innovation, professionalism, and growth in the industry.
“The market hasn’t found its footing yet, but those that stay focused and adapt will find success,” Belack said.
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