NAR Settlement Resources
The National Association of REALTORS® (NAR) announced an agreement to end litigation of claims brought on behalf of home sellers related to broker commissions. The proposed settlement is subject to court approval and clearly states that NAR continues to deny any wrongdoing regarding the Multiple Listing Service (MLS) cooperative compensation model rule (MLS Model Rule).
The Vail Board of REALTORS® and the Vail Multi-List Service will share guidance and resources on how this will impact our members and MLS subscribers. Please refer to updates from NAR, VBR, the Colorado Association of REALTORS®, and the Division of Real Estate as the most reliable resources.
Below are videos and links to key talking points regarding the proposed settlement and proposed changes to the MLS model. Cooperative compensation remains a choice for consumers when buying or selling a home, and the MLS remains a valuable tool for aggregating and distributing data to subscribers, consumers, and vendors.
Compensation fields removed August 1
As of August 1, 2024, all compensation fields will be removed from the MLS.
The VMLS Board of Directors has updated its Bylaws and Rules and Regulations to comply with the new MLS requirements (see links below). The settlement also requires the VMLS to remove all compensation fields from the MLS. VMLS has collaborated with its vendor, FlexMLS, to facilitate the removal of compensation fields.
Compensation fields will not be available on any current listings, regardless of status, nor for data entry on any new listings after August 1.
There is no action if you have a listing in the VMLS Flex system, this removal will take place automatically.
Resources for Colorado Brokers
New Colorado contracts and forms.
The Colorado Real Estate Commission (“CREC”) has approved changes to the Commission approved Contracts and Forms. Redline forms are available for Brokers to view.
Please use the new Contracts and Forms after August 15, 2024.
Visit the Real Estate Contract and Forms website in the coming weeks to review the changes and to better understand how your practice may be affected.
MLS Practice Changes Resources - provided by CAR
Please click here (or the button) for information related to the MLS Practice Changes that are mandated by the NAR settlement agreement.
CAR & DORA Statements
A statement from the Colorado Association of REALTORS® - July 18
CAR received from Marcia Waters, Director Division of Real Estate expressing concerns regarding the mandatory touring agreement in accordance with the National Association of Realtors (NAR) settlement. Marcia stated that the requirement of the agreement does not comply with Colorado law and may result in disciplinary action against brokers in Colorado if mischaracterized. Many of you have heard Marcia say during her presentations if a consumer calls and asks do they have to sign a touring agreement before they are shown a home, her office has been instructed to tell them no, which is true.
Please read the letter from the Division of Real Estate regarding touring agreements. VMLS Rules state that a written agreement is required to tour UNLESS it violates state or federal law.
CAR will provide you with an update once more information is received from NAR.
NAR Practice Changes - August 17
Offers of compensation will no longer allowed on MLS listings. VBR will remove all compensation fields from the MLS on August 1.
Watch NAR’s latest “Window to the Law” video - the first in a special series on MLS practice changes - which has information on how the new rules will impact broker compensation and how to communicate offers of compensation off the MLS.
NAR has created a new resource for one of the key practice changes required by the settlement. These are updated FAQ on facts.realtor.
Guide on Written Buyer Agreements: Beginning August 17, 2024, a buyer representative “working with” a buyer will be required to enter into a written agreement with the buyer prior to touring a home, including both in-person and live virtual tours. This resource provides information about what provisions must be included in the written agreement pursuant to the NAR settlement. The guide is available here on facts.realtor.
FAQ Updates: New material and updates have been made to the FAQ on facts.realtor. The new material provides further clarity on issues including steering (questions 46-49) and written listing agreements (questions 50-53).
Get the Facts
A central resource for updates and materials about NAR’s steadfast commitment to strengthen the association, defend REALTORS® and their immense value, and look to the future.
Settlement FAQ
Answers about NAR’s settlement, including key terms, who is covered, practice changes, and NAR operations, in English and Spanish.
Written Buyer Agreements 101
These agreements benefit consumers because they clearly and transparently outline the services an MLS Participant will provide and how they will be compensated. Provided by NAR.
What's Ahead For You?
Make sure to read a special digital supplement of REALTOR® Magazine with 16 pages of important content that will dispel misinformation about the proposed settlement. It also includes valuable resources that help separate litigation facts from fiction, debunk myths, and help explain the importance of a written buyer agreement.
Helpful Videos for Members
Watch NAR’s latest “Window to the Law” video - the first in a special series on MLS practice changes - which has information on how the new rules will impact broker compensation and how to communicate offers of compensation off the MLS.
More resources at competition.realtor
Additional resources are available for members and the public, including explaining how REALTORS®
- Champion fair housing for all,
- Promote consumer access and opportunity,
- Foster business competition,
- And help buyers and sellers navigate the market and the complexities of home purchases.