What’s changing in residential real estate in 2024? The destination is the same but the “route” is different. Meaning, there are a few new practice changes that are being implemented related to the purchase and sale of a home in the United States. Specifically: Buyer’s Agents must enter into a written agreement that clearly discloses the details of the compensation that will be received prior to touring any homes. Practice changes are moving toward all compensation being paid directly by the seller and/or the buyer. This is replacing the prior practice of “sharing” or “cooperation” of compensation between the listing broker and buyer broker. Offers of compensation to a Buyer’s Agent may not be made on an MLS.   There are 3 core agreements that govern a real estate transaction: 1. Listing Agreement: This is the agreement between the Seller and the Listing Broker. 2. Buyer Representation Agreement: This is the agreement between the Buyer and the Buyer Broker. 3. The Purchase Agreement: This is the offer and agreement of terms between the Seller and the Buyer. Going forward, there will be no offers of compensation to the Buyer Broker made on the MLS. We expect that the Buyer Broker will contact the Listing Agent on a per-property basis to get information on the Seller’s intent to pay Buyer Representation Compensation and use whatever information is provided, if any, to advise the Buyer and submit a request for Buyer Representation Compensation as part of the official offer process as may be appropriate.   Other Practices to Note Agents must clearly communicate, educate, and disclose at the earliest moment possible how compensation works in the real estate transaction, including that broker commissions are not set by law and are fully negotiable. Buyer Broker compensation must be objectively ascertainable (not open-ended), and the Buyer Broker cannot receive any more compensation than that which is negotiated and agreed upon in writing.   Pre-Agust 17th, 2024 in a typical transaction : 1. Seller agrees to pay the listing broker as part of the listing agreement. 2.Utilizing the rules of “cooperation compensation,” the Listing broker “cooperates” by “sharing” a portion of the seller-offered commission with the buyer broker. 3.For example, if the seller is offering $1,000 in total commissions, that amount is paid to the Listing Broker. The listing broker may choose to “keep” $600 and then “share” $400 with the buyer broker. Going forward, August 17th 2024 and forward, we are moving away from “broker to broker” cooperation of compensation. Keeping the same compensation numbers for ease of comparison, in this new example all compensation will be directed by the seller or buyer: The seller agrees to pay $600 to the listing broker as memorialized in the listing agreement. The buyer agrees in writing to pay the buyer broker $400. The buyer may request that the seller pay the $400 buyer broker commission at closing. If so, the seller would receive an offer that includes a request for the seller to pay $400 to the buyer broker as compensation. Assuming the offer is accepted, the seller would pay $600 to the listing broker as agreed in the listing agreement and direct that $400 be paid to the buyer broker as part of the closing process of the transaction. If the seller rejected the offer, the buyer broker compensation would remain a point of negotiation like any other term in the contract. In this example, the seller may still pay a total of $1,000 like in the past, but all compensation is directed by the seller and is “decoupled” without having broker to broker “sharing” of compensation.   Copyright © 2024 Real Broker, LLC and its affiliates. | All Rights Reserved The information herein does not constitute legal advice. Neither Real Broker, LLC, its affiliated entities nor its affiliated real estate agents make any representation as to the legal validity or adequacy of the statements herein.

She has worked in various positions in the industry having grown from an independent real estate agent to running a team of 5 top producing agents. Prior to forming her own team, she held the position of director of operations for another agent of coastal Orange County. Hello and welcome to my video blog! I’m thrilled to have you here as part of our growing community of homeowners, future homeowners, and real estate enthusiasts. As a dedicated real estate agent, my goal is to provide you with valuable insights, tips, and updates to help you navigate the ever-changing real estate market with confidence and ease. In this video blog, you can expect to find a variety of content designed to support you at every stage of your real estate journey. Here’s a glimpse of what’s to come: Home Selling Tips Thinking about selling your home? I’ve got you covered. Learn the best practices for preparing your home for sale, pricing it right, and attracting potential buyers. My goal is to ensure that you get the best possible return on your investment with minimal stress. Home Buying Tips Purchasing a home is one of the most significant investments you’ll make in your lifetime. Whether you’re a first-time buyer or looking to upgrade, I’ll share practical advice to help you find the perfect home. From understanding mortgage options to negotiating the best deals, these posts will equip you with the knowledge you need to make informed decisions. Market Updates Stay informed with the latest trends and developments in the real estate market. I’ll provide regular updates on market conditions, interest rates, and other factors that can influence your buying or selling decisions. Being well-informed is key to making strategic moves in real estate. These videos will cover everything from navigating a home sale to expert interviews, giving you a front-row seat to the latest in real estate. I’m committed to making this blog a valuable resource for you, whether you’re actively buying or selling, or simply interested in learning more about the market. If you have any questions or topics you’d like me to cover, please don’t hesitate to reach out. Your feedback is invaluable in shaping the content to better serve your needs. Thank you for joining me on this exciting journey. I look forward to helping you achieve your real estate goals!    

The top three reasons why you should consider buying ASAP. Many people are feeling uncertain about buying and selling right now because the market is unpredictable. I’m here to offer some clarity about the current real estate market in Orange County and three compelling reasons why buying a house now instead of waiting could prove to be a better move. 1. You always win in real estate. If you look at the historical trend of home values in Orange County, you’ll see that they consistently appreciate over time, regardless of short-term fluctuations. There’s no reason to believe that trend won’t continue. I have a customer in Corona del Mar who bought her first place for $36,000, and now it’s worth $2.4 million. The median home price of a single-family home ten years ago was $600,000, which has appreciated to today’s $1.3 million. History proves that you always win over time. 2. Interest rates. Interest rates are a key factor influencing the affordability of homeownership. While interest rates might seem high at around 7%, there are two reasons to feel comfortable moving forward with buying a house. First, interest rates change daily. If rates go up, you win because you’ve locked in a lower rate. If rates go down, you still win because you have the opportunity to refinance for a lower payment. Whatever monthly payment you commit today, it will never be higher than that because you’re locking in a 30-year fixed mortgage. In 10 years, your rate will likely look very attractive compared to future rates. “Real estate has always been the number one way to become a millionaire in this country.” 3. Building equity for greater ROI. One of the most significant advantages of homeownership is the opportunity to build equity over time. Every month you make a mortgage payment, you’re paying yourself and building equity. This is much better than paying rent in the long run. The median rent in Orange County is about $3,500 a month. If you multiply that by 12 months and 2 or 3 years, you’ve spent a huge amount of money paying someone else’s mortgage. By owning your home, you’re building equity over time. Real estate has always been the number one way to become a millionaire in this country. While waiting for the “perfect” time to buy a home may seem tempting, the current market conditions present compelling reasons to act now. Take advantage of this opportunity for homeownership in this area and get started today—your future self may thank you for it. I hope you find this helpful, and if you’re considering making a move or have any real estate questions, don’t hesitate to reach out. Whether you want to buy or sell or are just curious about a particular topic, I’m here to help provide information. Feel free to contact me by phone at (949) 216-8565 or by email. I’m looking forward to talking with you.