PDX Real Estate EP159: Unpacking the DOJ-NAR Settlement: Compliance and Transparency with RMLS CEO Kurt von Wasmuth

One of our favorite guests, Kurt von Wasmuth, President and CEO
of RMLS, is here to talk about the latest industry upheavals.


Kurt, a frequent guest and one of our biggest advocates, will
help clear up some of the confusion and questions about this
process.


For years, MLS systems have provided data about properties for
sale along with the compensation structure from listing brokers
to buyer brokers.


In 2019, the DOJ filed a civil antitrust lawsuit against NAR,
alleging that certain rules and policies of NAR were
anticompetitive and hindered fair competition in the real estate
market.


There was a settlement agreement in 2020 to help promote more
competitive practices in the real estate industry. Key components
include, disclosure of commission rates, prohibition of
misleading practices, and increased transparency.


The compliance deadline is just around the corner on August 17th,
2024. Guess who gets tasked with helping enforce compliance? The
MLS systems. 


Fresh from his Washington DC trip, Kurt is here to share how
RMLS, MLS Aligned, and the other big MLS systems are trying to
make compliance as smooth as possible. 


He knows there will be unforeseen challenges and obstacles, but
they are doing their best to get systems in place to update the
database and make the commission check box system standard. 


If you want a first hand walk through of the imminent changes,
this show is for you. Kurt is always a wealth of knowledge and
this conversation is no exception. 


We talk about possible issues with enforcement and how it all may
play out. How will such a huge upheaval in the industry affect
us? How smooth will the transition go? What future obstacles are
yet to be seen?


Will these changes lead to more transparency and competitive
pricing? Ultimately will any of this benefit consumers? How can
those in the industry benefit from these changes? 


Join us as we unpack these critical questions and more as we
discuss possible implications with Kurt von Wasmuth. This is an
episode you won't want to miss!


 


Key Takeaways


The real estate world is changing overnight with this settlement


Compensation is no longer guaranteed; subscribers must now
negotiate directly with buyers


MLSs are now responsible for ensuring written buyer broker
agreements


Policing the new rules may lead to creative and uncertain
strategies


Key logistical factors include clean data handoffs and removing
compensation fields


Implementation of the new checkbox system is discussed


Websites sharing compensation knowledge cannot have MLS
information


Listing percentages can be used on personal website data feeds


Sellers decide what to do with the buyer's agent's commission


The changes are expected to be better for consumers


Clarification on when buyer agreements are necessary during
showings


Open house agents work for the seller; entering homes requires
buyer broker agreements


NAR won't mandate agreement details


A buyer agreement is needed if you expect to get paid


RMLS will ensure written buyer agreements when required


RMLS won't act as legal experts on agreements


Agreements can be renegotiated


RMLS requires agreements but has no jurisdiction over disputes


All incentives are separate from the commission


Compliance is critical; potential for lawsuits is high


RMLS is working on the settlement and related tasks


Improvements to Aligned Showings and RMLSweb are ongoing


Advantages of a central MLS are discussed


We discuss the length of remarks in MLS


Reflection on whether past actions could have prevented current
changes


More people will be leaving the industry over the next few years


The future is rosy and we have a lot to look forward to


 


Connect with Joe


Soldera Properties


Joe on LinkedIn


 


Connect with Steve


Steve’s Team at Premiere Property Group


Steve on LinkedIn


 


Connect with Kurt


RMLS


Kurt von Wasmuth LinkedIn


 


Resources


MLS Aligned