The Local Update
A newsletter dedicated to the community and market ongoings of Lawrence, Indy & Fishers
WHAT’S REALLY GOING ON WITH BUYER’S AGENCY
and what’s not.
In response to the NAR Settlement earlier this year, Indiana legislators required that written buyer agency agreements must be in place between real estate brokers and their clients In addition, BAC (Buyer’s Agency Commission) can no longer be advertised on the MLS It may seem like a huge shakeup, and we’ve seen some rumors flying around regarding the real estate industry In reality, the process is pretty similar to what we’ve been used to. So, let’s break it down.
Showing Homes to Buyers
In the past, REALTORS® have been able to show clients (or potential clients) a home before any documentation agreement had been signed by both parties. While a showing implies agency, it’s now state law that a Buyer’s Agency Agreement be signed prior to entering a home for sale
Buyer’s Agency Agreement
So... what is it? The Buyer’s Agency Agreement is a contract that expressly lays out my duties to you as an agent, how I get paid, and when our agency relationship expires. As always, commission has been negotiable. Note: A lot of sellers are still offering a BAC (buyer’s agent commission. Keep reading on to see how!)
So... Seller’s Can’t offer a BAC?
They most certainly can! Traditionally, most sellers have offered a Buyer’s Agency Commission... and it’s been no secret. What they were offering would be clearly displayed on the listing through the MLS. Now, sellers are no longer able to advertise the BAC on the MLS. They can offer it, but it can’t be explicitly advertised
What does that look like? As your buyer’s agent, I contact the listing agent to see if they’re offering a commission so I can communicate that with you. As your listing agent, I reach out to buyer’s agents who are representing any interested buyers. I let them know what BAC you as a seller are offering. Easy as that!
This industry shift just requires a little more communication. When you’re ready to start your home search, we’ll go through this in more detail, and I’m happy to answer any questions you may have.
Want more information on a specific neighborhood? email
or call me!
Central Indiana MarketWatch
Active August in Residential Real Estate: Increased Sales, Homes Selling Quickly Throughout Central Indiana
INDIANAPOLIS (September 11, 2024) For the first time in the last six months, central Indiana saw an increase in pended home sales in August. The increase in sales, coupled with greater available inventory and homes selling quickly, created a robust residential real estate market to end the summer. According to F.C. Tucker Company, part of the Howard Hanna family of companies:
Pended home sales increased 3.7 compared to this time last year. Homes sold two days, or 6 1 percent, faster than this time last year Available housing inventory increased 24.9 percent compared to August 2023.
Compared to August 2023, the average home sale price for the 16-county central Indiana region increased 23.3 percent to $360,000. Year-to-date 2024 home sale prices increased 4 percent.
The central Indiana residential real estate market was active in August, with the first increase in pended home sales we’ve seen in six months. As interest rates continue to decrease and inventory increases, we expect the market to continue to accelerate throughout the remainder of the year.
