Here’s how commissions could change with NAR’s new rules

The future of residential broker commissions has come under a microscope since the National Association of Realtors struck a landmark settlement deal expected to change how agents earn income.

The trade group last month agreed to pay $418 million to settle an antitrust lawsuit accusing it of conspiring with the nation’s largest brokerages to inflate brokers’ fees. The agreement, which is still awaiting the judge’s approval, would require the 1.4 million-member organization to change some of its policies that have long dictated commission structures.

Under the terms, NAR agreed to eliminate the policy at the heart of the lawsuit, known as the participation rule. The provision required listing brokers using NAR-controlled multiple listing services to offer compensation to buyer’s agents. If approved, the deal would also require buyer’s agents to obtain signed agreements. ...