T3 Sixty Urges Real Estate Leaders to Proactively Address Compensation Issues
LADERA RANCH, Calif., July 12, 2023 /PRNewswire-PRWeb/ -- T3 Sixty, the nation's leading real estate management consultancy, has penned a letter to industry leaders with recommendations for responding to the building regulatory and legal scrutiny of the industry's compensation structure.
Earlier this month, a Massachusetts multiple listing service, MLS PIN, settled a $3 million class-action lawsuit over buyer-broker compensation. Two additional compensation-focused class action lawsuits have been certified and are working their way through the courts, and a U.S. Department of Justice probe is under appeal. T3 Sixty recognizes that fundamental changes to the way brokers and agents get paid are at the industry's doorstep.
Consequently, T3 Sixty President and CEO Jack Miller and Executive Chairman Stefan Swanepoel have sent a letter to the industry, urging brokerages and service providers to "proactively prepare now to better serve consumers, reduce risk and smartly prepare for what could be next."
Among their recommendations:
The National Association of Realtors (NAR) should amend policy to require buyer's brokers to have signed buyer broker representation agreements that clearly explain compensation terms before showing any MLS-listed property.
Brokerages should require signed buyer agency agreements as soon as agents begin working with buyers.
Educational and marketing materials from brokerages, companies, and agents should be developed to better explain the value a buyer agent provides.
Miller stressed the need for those in the industry to be prepared to discuss the compensation issue with constituents. "Implementing these recommendations will make the whole industry more resilient and improve service to consumers," he said. The full letter can be viewed here.
About T3 Sixty T3 Sixty is the leading management consultancy in the residential real estate industry with business units in brokerage, technology, mergers and acquisitions and organized real estate. The group also provides software and data, extensive research and reports, executive search and event management services. For more information, visit t360.com.
SOURCE T3 Sixty, LLC.