Anyone involved in Real Estate has heard about the new laws affecting Realtors. Understanding them is a different story. While it will cause a dramatic shift regarding how Commissions are paid, it will give Buyers other options. This includes saving money and using an Attorney when purchasing a home. Contact the Law Office of Brian P. Kowal, PA at (954) 990-7552 to learn why Buyers should use an Attorney and not a Realtor in Florida to purchase a property.
Reasons that the new laws should make Buyers should use an Attorney and not a Realtor to purchase a property
On August 17, 2024, Realtors that represent Sellers are no longer required to offer commission to the Buyer’s Agents. As a result, Buyers will have to sign a separate agreement with a Realtor. dictating how a Realtor gets paid. In other words, the Purchaser controls the amount. The news laws will have a drastic effect on how Purchases and Sales will be conducted. On the other hand, it gives Buyers the option to hire an Attorney to help them. Not only will they save money, they receive the benefit of being represented by an individual that has extensive experience with the process.
First, how does it save the Buyer money? The Buyer and selling of Real Estate offers Realtors substantial commissions. For example, if commissions are advertised at 6 percent and the sale was $400,000.00, the Realtors receive $12,000.00. As a result of the new law, the Buyer’s realtor no longer is entitled to this amount unless the Seller’s Realtor offers it as part of the deal. This will likely not occur as the Realtor is interested in making the most they can from any transaction. Unless the Buyer and the Realtor sign an Agreement, the Buyer can save money without using a Realtor and having to pay their fee. They can likely save anywhere on average between $3,000 to $20,000.
If the Buyer decides not to sign an agreement with a Realtor, they can hire a Real Estate Attorney. In many Transactions, a Buyer is represented by an Attorney that handles their purchase. The only difference now is that they can use the Real Estate Attorney to not only handle the closing and ensure that the paper work is correct but guide them with their purchase. This includes reviewing all properties that they are interested in purchasing as well as communicating directly with the Seller’s Agent. While the Real Estate Attorney can not sign the Sale and purchase agreement, they can help the Purchaser review and fill it out.
It will be an interesting time with these new laws. The changes will have an immediate shake up of the Buying and Selling Process. Therefore, it is important to hire an Attorney that can help you navigate through these uncertain times. If you have questions about why Buyers should use an Attorney and not a Realtor in Florida to purchase a property, contact the Law Office of Brian P. Kowal, PA at (954) 990-7552.
