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Understanding the

NAR Lawsuit Settlement

What You Need to Know

In March 2024, in response to a pending lawsuit judgment against them, the National Association of Realtors® released a set of proposed policy and practice changes that will reframe the relationship between real estate professionals and buyers. To be clear, the industry’s fiduciary commitment to the best interests of clients hasn’t changed, but the way agents and buyer clients formalize professional relationships will.

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Changes to the Homebuying Experience

As a homebuyer, this proposed settlement means there will be some changes to your real estate experience:

1. Required Buyer Agreements

Prior to this settlement proposal, it was acceptable (though not widely practiced) for buyer’s agents to forge relatively informal, unwritten agreements with their clients regarding service. Following these proposed changes, buyers must sign a service agreement with a real estate professional in order to be shown homes. 

2. Buyer’s Agent Compensation

Prior to the proposed changes in the settlement, buyer’s agents were compensated via a cooperation agreement with the seller and seller’s agent facilitated by the multiple listing service. While this sort of cooperation is still allowed, the MLS is no longer allowed to coordinate it. Buyer’s agents will now be responsible for negotiating their own compensation with clients.

FAQ

As a homebuyer, these changes will require new, important conversations between you and your real estate professional. A buyer service agreement will formalize your agent’s fiduciary responsibility to you, further protecting your interests. It will allow the opportunity for real, transparent communication with your agent around compensation, offering you a clear understanding of the cost of services and how those services benefit you. 

These conversations will ultimately set buyers up for greater success in their transactions. More buyers will start the home search process with a clear understanding of their strategy, how their agent will support them, and what it will take to get to the closing table. 

Two major changes: First, compensation offers to buyer’s agents will no longer be displayed on the MLS, and the MLS won’t be allowed to facilitate commission cooperation between the buy and sell sides of transactions. Second, all buyers will be required to sign a buyer agreement with their agent outlining service terms, including commission requirements.

Yes. Luxury Presence has created a strategy guide for agents seeking advice on negotiating buy-side compensation. Get your copy of The Future of Buy-Side Compensation here

The best agents have shifted their thinking from the top line to the bottom line. They're obsessed with the client experience. They're taking action very quickly to level up the technology in their businesses because they understand it's the only way to deliver strong profitability and a world-class client experience.

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How I Work With Buyers

As my client, you can expect nothing but the highest level of service and counsel. I take my fiduciary commitment to you extremely seriously and believe that the best way to advocate for your best interests is through preparation. For each property my clients consider, I create a complete set of market research, potential pricing and offer strategies, contract negotiation tactics, and more.

Before the NAR lawsuit settlement proposal, some buyer’s agents were able to get away with doing the bare minimum. Thanks to assumed cooperation with the seller, they might get paid for simply showing up, unlocking doors, and pushing papers. 

While that was never my approach, it is now no longer the world we live in. As my client, you can rest assured that I will provide you with expert-level service and advice throughout our professional relationship.

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Testimonials

Read what our clients have to say about working with us.
"For thirty-plus years we owned a historic home in downtown Snohomish. We chose Kathie to sell our home because of her reputation in the real estate market and also because of her personal attributes. If you take a look at Kathie's listings you'll see her professionalism, perfectionism, and passion for what she does. She is well versed in regards to the real estate business, she negotiates honestly and fairly, she is an amazing interior designer and stager, she goes the extra mile always, her photographs of our home looked like artwork, and her written description our home read like poetry. We found Kathie to be genuine, humbly confident, sincere, an excellent listener, and a thoughtful communicator. We would choose Kathie to be our realtor again. If you can have Kathie represent you, you will be so very blessed."
"For thirty-plus years we owned a historic home in downtown Snohomish. We chose Kathie to sell our home because of her reputation in the real estate market and also because of her personal attributes. If you take a look at Kathie's listings you'll see her professionalism, perfectionism, and passion for what she does. She is well versed in regards to the real estate business, she negotiates honestly and fairly, she is an amazing interior designer and stager, she goes the extra mile always, her photographs of our home looked like artwork, and her written description our home read like poetry. We found Kathie to be genuine, humbly confident, sincere, an excellent listener, and a thoughtful communicator. We would choose Kathie to be our realtor again. If you can have Kathie represent you, you will be so very blessed."
Happy Snohomish Seller
"Kathie is the best agent we could have had in selling our home. She is a good listener, is knowledgeable about marketing and the process, and pays attention to all the fine (and important) details in selling a house. She guided us through the process and attended to every matter that came up, keeping us in the loop and giving valuable input and advice when needed. And she acted like a true friend during what can be a very stressful event. We felt that she had our best interests in mind, had a very practical approach to the pricing and listing process, and was realistic in the assessment of the listing, showing, and selling sequence. We interviewed several agents and chose Kathie and we were always grateful for her friendship and professional demeanor."
"Kathie is the best agent we could have had in selling our home. She is a good listener, is knowledgeable about marketing and the process, and pays attention to all the fine (and important) details in selling a house. She guided us through the process and attended to every matter that came up, keeping us in the loop and giving valuable input and advice when needed. And she acted like a true friend during what can be a very stressful event. We felt that she had our best interests in mind, had a very practical approach to the pricing and listing process, and was realistic in the assessment of the listing, showing, and selling sequence. We interviewed several agents and chose Kathie and we were always grateful for her friendship and professional demeanor."
Garden City Heirlooms
"Kathie was an amazing realtor to work with in selling our home for 31 years. She was not only professional, she understood the emotional piece of selling a home. We could not ask any more from our home selling experience. From our initial meeting through the final sale, we knew that Kathie Salvadalena was the right choice for our realtor. She listened to our expectations and wishes. Her vast experience in the local market helped us develop a marketing plan. Kathie did her own market analysis to assist us in pricing our home as fair valued and attractive to potential buyers. The professionalism and detail were evident in the marketing brochures, photographs, and property description highlighting our home's beauty and character. She guided us through the whole process efficiently got the house on the market and allowed for a quick sale. Kathie kept us informed during all stages of the process. She was thoughtful, kind, and calm. We would highly recommend her."
"Kathie was an amazing realtor to work with in selling our home for 31 years. She was not only professional, she understood the emotional piece of selling a home. We could not ask any more from our home selling experience. From our initial meeting through the final sale, we knew that Kathie Salvadalena was the right choice for our realtor. She listened to our expectations and wishes. Her vast experience in the local market helped us develop a marketing plan. Kathie did her own market analysis to assist us in pricing our home as fair valued and attractive to potential buyers. The professionalism and detail were evident in the marketing brochures, photographs, and property description highlighting our home's beauty and character. She guided us through the whole process efficiently got the house on the market and allowed for a quick sale. Kathie kept us informed during all stages of the process. She was thoughtful, kind, and calm. We would highly recommend her."
Meg K.
"Kathie is a wonderful person and a great professional real estate agent. She helped us sell our existing home (and buy a new one), both in a challenging market. We would gladly hire her again and certainly recommend her services to anyone who is looking to sell or buy a home in the greater Everett, Lake Stevens, or Snohomish area. She is very attentive to her client's needs and is a great listener and advisor. J and L - longtime Snohomish County residents."
"Kathie is a wonderful person and a great professional real estate agent. She helped us sell our existing home (and buy a new one), both in a challenging market. We would gladly hire her again and certainly recommend her services to anyone who is looking to sell or buy a home in the greater Everett, Lake Stevens, or Snohomish area. She is very attentive to her client's needs and is a great listener and advisor. J and L - longtime Snohomish County residents."
Jim E.
"I was extremely satisfied with Kathie. We contacted her through an agent in California who had worked with her before and recommended her highly. Kathie was so helpful in getting us through the process of selling a home out of state, along with her personal help with everything that needed to be done for a successful sale. She is a very caring person who I would absolutely recommend to anyone who is looking for a responsible, experienced professional who really knows her business."
"I was extremely satisfied with Kathie. We contacted her through an agent in California who had worked with her before and recommended her highly. Kathie was so helpful in getting us through the process of selling a home out of state, along with her personal help with everything that needed to be done for a successful sale. She is a very caring person who I would absolutely recommend to anyone who is looking for a responsible, experienced professional who really knows her business."
Seller
"We live out of state and had to sell an inherited house which was completely overwhelming, Kathie was the best agent possible. She knew the market, was compassionate, and was always on top of things. She took care of everything for us from the beginning to the end with a smile and can get it done attitude. She was wonderful to work with, easy to understand, and communicated well with us along the way. We felt she was always looking out for us and what was best for us. She's a perfect example of the kind of agent you would want professional, knowledgeable, compassionate, and able to get things done. We would absolutely recommend her."
"We live out of state and had to sell an inherited house which was completely overwhelming, Kathie was the best agent possible. She knew the market, was compassionate, and was always on top of things. She took care of everything for us from the beginning to the end with a smile and can get it done attitude. She was wonderful to work with, easy to understand, and communicated well with us along the way. We felt she was always looking out for us and what was best for us. She's a perfect example of the kind of agent you would want professional, knowledgeable, compassionate, and able to get things done. We would absolutely recommend her."
Seller
"If you need a professional and caring Real Estate Broker, I highly recommend Kathie Salvadalena. The first time we met with Kathie, we knew that we wanted her to sell our home. Before she left the meeting, she had pointed out in a very gentle way the things that we were doing wrong with furniture placement, etc. She had given us a timeline and a list of items that needed to be done before we could list our house. We listed on a Thursday and accepted one of the 5 offers on Sunday. Kathie's staging and marketing experience next to our beautiful home made it so easy for us to move forward. Thank you, Kathie!"
"If you need a professional and caring Real Estate Broker, I highly recommend Kathie Salvadalena. The first time we met with Kathie, we knew that we wanted her to sell our home. Before she left the meeting, she had pointed out in a very gentle way the things that we were doing wrong with furniture placement, etc. She had given us a timeline and a list of items that needed to be done before we could list our house. We listed on a Thursday and accepted one of the 5 offers on Sunday. Kathie's staging and marketing experience next to our beautiful home made it so easy for us to move forward. Thank you, Kathie!"
Sandy S.
"Kathie did an outstanding job for us selling our home in Snohomish. She went above and beyond our expectations. She was super responsive when we had questions or concerns, and we would recommend her very highly to any of our personal friends and family. She truly represents the best of the Real Estate world in my opinion."
"Kathie did an outstanding job for us selling our home in Snohomish. She went above and beyond our expectations. She was super responsive when we had questions or concerns, and we would recommend her very highly to any of our personal friends and family. She truly represents the best of the Real Estate world in my opinion."
Lynn C.
"Like many others, real estate purchases aren't a part of my everyday repertoire. Kathie and her team were exceptionally professional in the manner you would expect in any real estate transaction. Her savvy in understanding the market and relating personally to individual clients' needs like mine helped immensely both in the search and also when it came time to offer and negotiate. My situation had particular time crunches that Kathie was able to navigate fluidly and not only got me into a house in the window of opportunity but helped me find the right house. Thanks, Kathie, couldn't have done it without you."
"Like many others, real estate purchases aren't a part of my everyday repertoire. Kathie and her team were exceptionally professional in the manner you would expect in any real estate transaction. Her savvy in understanding the market and relating personally to individual clients' needs like mine helped immensely both in the search and also when it came time to offer and negotiate. My situation had particular time crunches that Kathie was able to navigate fluidly and not only got me into a house in the window of opportunity but helped me find the right house. Thanks, Kathie, couldn't have done it without you."
Ian J.
"My parents made a hard decision to sell our family house they've been in for over 40 years. That house was full of memories of raising their own kids and grandchildren. Kathie went above and beyond having the garden prepared just right with amazing curb appeal. The house had several great amenities and Kathie placed several reminders around the house. Because of her great effort nothing was left unseen at the house. Her style of staging really brought the farmhouse decor vibe my parents originally had. She takes pride in her work by great taste in pictures that are prepared on professionally printed flyers. Thank you Kathie for helping my parents with the hardest decision they made on selling their first home."
"My parents made a hard decision to sell our family house they've been in for over 40 years. That house was full of memories of raising their own kids and grandchildren. Kathie went above and beyond having the garden prepared just right with amazing curb appeal. The house had several great amenities and Kathie placed several reminders around the house. Because of her great effort nothing was left unseen at the house. Her style of staging really brought the farmhouse decor vibe my parents originally had. She takes pride in her work by great taste in pictures that are prepared on professionally printed flyers. Thank you Kathie for helping my parents with the hardest decision they made on selling their first home."
Kaylee S.