The National Association of Realtors (NAR) reached an agreement to resolve nationwide claims brought by home sellers.
*NAR to pay $418 million over approximately four years (NAR).
*Sellers now have the option to compensate real estate agents differently, no longer conforming to the status quo of 4%–6% commission.
*Broker compensation can no longer be displayed on the MLS but can be negotiated between the respective agents.
*Starting in mid-July 2024, MLS participants working with buyers must enter into written agreements with their buyers to ensure transparency about services and pricing.
*Berkshire Hathaway Inc.’s HomeServices of America & it’s firms are not released under this settlement due to ongoing litigation.
Keller Williams agrees to pay $70 million to settle real estate agent commission lawsuit nationwide. (AP)
*KW agrees to make it clear that commissions are negotiable and that there isn’t a set minimum that clients are required to pay nor one set by law.
*KW who work with homebuyers must disclose the compensation structure, including cooperative compensation, which is when the seller’s agent offers to compensate the buyer’s agent.
*Agents will no longer be required to be members of NAR.
Redfin announces its ‘Sign & Save’ program in 50 markets, including Sacramento. Possible refund of 0.25%–0.5% of the purchase price at closing for signing a buyer agency agreement contract.
The Federal Reserve leaves interest rates unchanged. They also did not have enough confidence in the economy to cut rates by March.
FHFA Announces Conforming Loan Limit Values for 2024: Increase from $726,200 to $765,550 for VA & one-unit conventional loans. UWM will honor new loan limits starting today.
Fannie Mae has decreased the minimum down payment on the purchase of owner-occupied, 2-4 unit multi-family homes from 15% down to 5% for duplexes and 25% down to 5% for triplexes and fourplexes.
The program is live at UWM today but cannot close until after 11/18 so that DU can be re-run.
Conforming Loan Limit Increased from $726,000 to $750,000. Only applies to Conventional loan & VA loan, not FHA or USDA. The actual date is 2024, but United Wholesale Mortgage (UWM) will start honoring the new loan limit and they’ll sell the loan in 2024. See 11/29/2023 for new update.
Anywhere Real Estate agrees to pay $83.5 million to settle lawsuits.
Brands include: Century 21, Coldwell Banker, ERA, Sotheby’s International Realty, Corcoran, and Better Homes and Gardens Real Estate.
United Wholesale Mortgage: Accepting borrowers with 580+ credit score up to 97.75% LTV. Previously, required a minimum 620 credit score.
