--- title: 4 Ways that Real Estate Agents Can Turn the Commission Changes to Their Advantage description: Discover how real estate agents can navigate new commission rules to their advantage, highlighting value, marketing, customer outreach, and simplifying processes for buyers and sellers. image: https://info.networklandtitle.com/hubfs/2024%20Blogs/NLTA_RealEstateMarketing_10.17%20WEB.jpg --- [Real Estate](https://info.networklandtitle.com/blog/tag/real-estate) # 4 Ways that Real Estate Agents Can Turn the Commission Changes to Their Advantage By [ The Team at Network Land Title ](https://info.networklandtitle.com/blog/author/the-team-at-network-land-title) Oct 21, 2024 7:00:00 AM 3 Minutes Read Real Estate Agents are still grappling with the recent rule changes around real estate transactions. After the [National Association of Realtors lawsuit settlement](https://www.ohiorealtors.org/blog/2030/updates-to-real-estate-agreements-and-listings-go-into-effect-by-august-17/), the organization agreed to new regulations governing how real estate agents and Realtors work with home buyers and sellers. These changes have two core components. First, agents must have a written agreement before working with a buyer. Second, agents cannot collaborate on compensation (cooperative compensation) or advertise commission over Multiple Listing Services (MLS). Instead, home buyers and sellers negotiate compensation directly with the individual agents. ## Changes to Real Estate Commissions These changes have had a wide-ranging impact on real estate agents here in Ohio, including: - ** ****More complicated commission negotiations** There is no longer an agreed-upon compensation for Realtors, and they can no longer pass along buy-side commissions on the MLS. Instead, individual agents need to negotiate directly with the buyer or seller. - ** ****Additional**** regulations around communication** The buyer’s agent can no longer communicate directly with the seller’s agent to determine compensation or dictate how the compensation will be managed between the buyer and seller. The seller can choose to (or choose not to) pay the fee to the buyer’s agent. - ** ****Written agreements** A written agreement must be signed between the agent and the buyer before they can work together or even tour a home. - ** ****Control of commissions** According to the agreement, the seller is only responsible for paying the seller’s agent, and that compensation is included in the price of the house. In theory, these rules will give home buyers and sellers more control over the agent's pay. ## Turn the New Rules to Your Advantage The expectation is that home buyers will start shopping around for an agent, and there will be [fierce competition between real estate professionals](https://www.newsnationnow.com/business/your-money/real-estate-commissions/) to represent new customers. There may be bidding and price wars between agents. There’s also no built-in compensation for buyer’s agents, which could lead to many home buyers deciding to forgo an agent rather than pay out-of-pocket. To compensate, Realtors and agents need to start adjusting how they manage their business. For example: ### Review Your Value Proposition Have you considered the value you can provide a home buyer or seller? Can you explain to a prospective home buyer what they receive for your commission? Your prospective clients will be evaluating the value as they review your commission offer. Identify the value you can bring to a buyer, whether it’s market experience, understanding local house options, creating strategic offers, or a team of resources like a partner title agency or a home inspection resource. You need to provide a better experience. You need to understand the value you bring and be prepared to pitch it to a prospective client. ### Don’t Forget to Invest in Marketing Once you have a good idea of your value proposition, you need a strong way to communicate that value. Whether it’s a new website, billboards, flyers, or promotional items like calendars and mugs that feature the value. Rather than just selling your services, you need to communicate the value you can provide. Finding an agent isn’t an automatic first step for a home buyer, so you need to do more outreach. You need to lead with your value proposition. ### Actively Seek Out New Customers Now more than ever, you need to start looking for new customers. Marketing your business is a good first step, but you need a pipeline of customers. Set up a referral program and build a network of contacts who can help you find buyers ready for a new home and sellers ready to put their house on the market. Find out where new home buyers and sellers are getting information on the home market. Where are they asking questions about how to buy or sell a home? Find a way to provide the answers to those questions. ### Make It Easy Just like you, the home buyers and sellers you work with are navigating the new regulations. You need to make it easy for them to work with you. Whether it’s providing all the documentation and agreements they will need, being there to answer questions, or walking through the new process, you need to clear up the confusion. ## Turn the Challenge into a Business Boost With every business challenge, there is opportunity. Agents across your market are facing these new regulations. If you can address the challenges quickly, you can get a step ahead of the competition and start capitalizing on new customers ready for your help. If you have questions or want to talk to one of Northeast Ohio’s leading title agencies, then contact the team at Network Land Title. 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