The National Association of REALTORS® (NAR) has reached a transformative agreement poised to positively impact the Canadian real estate sector. This agreement resolves litigation surrounding broker commissions, alleviating concerns for over one million NAR members, state/territorial and local REALTOR® associations, MLSs, and qualifying brokerages. NAR’s commitment to preserving consumer choice and member interests is highlighted in this settlement, which secures critical achievements including the release of most NAR members from liability and the retention of cooperative compensation options for consumers. Additionally, NAR ensures efficient release mechanisms for qualifying brokerage entities, fostering a smoother transaction process. Beyond financial compensation, NAR introduces vital MLS reforms, prohibiting offers of broker compensation on the platform while advocating for written agreements between MLS participants and buyers.
These measures aim to enhance accessibility to professional representation, decrease costs for home buyers, and promote fair housing opportunities. NAR’s dedication to serving its members and consumers underscores the significance of this agreement. Despite the costs involved, NAR President Kevin Sears emphasizes the long-term benefits for the industry, affirming NAR’s commitment to innovation and continued value delivery. As America’s largest trade association, NAR’s proactive stance sets a positive precedent for the Canadian real estate market’s future prosperity and stability. Only time will tell how this affects the Canadian Real Estate Market, specifically the BC real estate market. Stats show that we are amongst the lowest charging agents in all of North America! On average, agents in BC charge 1.5 – 3% commission per transaction, while in other provinces, it jumps to a 5 – 6% range.
- Harry Sadiora PREC* Royal LePAGE Global Force Realty