Understanding Recent Changes in Real Estate Compensation: What Buyers and Sellers Need to Know
On August 17, a historic change reshaped real estate transactions, following a settlement by the National Association of Realtors (NAR). This impacts how compensation is handled, bringing more transparency to the process for both buyers and sellers. But what exactly has changed, and how does it affect you as a consumer of real estate services?
Understanding the Changes in Real Estate Compensation
While compensation in real estate transactions has always been negotiable, the way this compensation is paid might change. When selling a home, the homeowner now has a choice of whether to pay a buyer’s agent or not. This option has always existed, but a recent lawsuit and the resulting rule change have drawn more attention to it.
Benefits for Consumers
This shift is advantageous for consumers as it brings more transparency and disclosure about who pays what and how much. For professional real estate agents, this change also highlights their value—or lack thereof—to consumers.
To enhance this transparency, the Georgia Association of Realtors has updated the forms used in transactions. For instance, the Exclusive Seller Brokerage Engagement Agreement, the document used to engage a client when marketing and selling their home, now provides more details about compensation paid to both the seller’s broker and the buyer’s broker. Real estate professionals can now better explain how compensation works, the choices sellers have, and the pros and cons of offering or not offering compensation to a buyer’s broker. Ideally, this conversation should have been happening even before the rule change, but that was not always the case.
New Requirement for Buyers
Another significant rule change requires buyers to sign an agreement with their real estate agent before they start looking at homes, whether in person or virtually. This document has been in use by many Realtors, including The Curtin Team, but is now mandatory. The Georgia Association of Realtors has updated this document to clearly state the compensation the buyer’s broker will receive. Known as the Exclusive Buyer Brokerage Engagement, this document outlines scenarios where a buyer’s broker may be compensated, whether directly from the buyer, the seller, or the seller’s broker, and specifies the amount and services covered.
At The Curtin Team, we have always trained our partner agents to begin a relationship with a buyer by meeting to understand their goals and educate them on the process—including how we are compensated and the benefits of signing an engagement to work together.
Types of Compensation for Buyer’s Brokers
Compensation for brokers working with buyers can take various forms, including but not limited to:
– A fixed-fee commission paid directly by the buyers.
– Concessions from the seller.
– A portion of the listing broker’s compensation.
I am thrilled that this practice is now required, bringing more transparency to our industry. I believe it will elevate professionalism and encourage those who may not best serve buyer clients to pursue other directions. This change presents an opportunity to showcase our value.
Industry Impact
“This isn’t a significant shift for us, but our industry has never seen anything like this,” said Joanne Curtin, Founder of The Curtin Team. “We have more buyers coming to us now seeking expert guidance, and we are confident in providing a superior customer experience by having these conversations and highlighting potential value gaps between Realtors,” she added.
We are already seeing a shift in buyer engagement and increased transparency. Buyers might want to limit the number of days they agree to the engagement or restrict the contract to specific homes.
Changes in Communicating Compensation
Another new rule states that offers of compensation cannot be communicated on Multiple Listing Services (MLS). What does this mean? If a listing broker gets a seller’s approval to make an offer of compensation to a buyer’s broker, it cannot be shared on an MLS. However, it can be communicated through other marketing avenues. Therefore, it is more crucial than ever to hire a real estate professional with a strong marketing presence and a solid local agent network.
Benefits of Offers of Compensation
Offers of compensation benefit both buyers and sellers. For buyers, it ensures access to representation throughout the homebuying process, helping them achieve homeownership on terms that best suit them. For sellers, it attracts more buyers and broadens the pool of prospective buyers by lowering the barrier for those who may not be able to afford to pay buyer agent compensation out of pocket.
For Sellers
Compensation is negotiable. The amount you pay should reflect the value you receive. Your real estate professional should guide you through the available options and help you make the best choice for your home sale. Trust your real estate professional, but if they cannot clearly explain your options and justify their compensation, seek a second opinion.
For Buyers
In Georgia, it’s “buyer beware.” Due diligence falls on the buyer, so having a professional guide you is wise. Asking a Realtor to show you a home without signing an agreement is not an option. If someone is willing to break the law and do it anyway, consider whether that is the person you want representing your best interests. Now more than ever, a strong relationship with an experienced real estate team is crucial!
We are here to answer your questions and provide guidance. Please reach out if we can assist you.
37 Things You Didn’t Know About Buying A House In Roswell, GA
There are several reasons why someone might want to buy a house in Roswell, GA. Firstly, Roswell is a growing city with a strong real estate market, making it a smart investment for those looking to purchase property. The city’s population has been steadily increasing in recent years, indicating a strong demand for housing. Additionally, Roswell has a diverse range of neighborhoods, each with its own unique character and charm, providing a range of options for prospective buyers. Whether you’re looking for a historic home in the heart of downtown or a newer build in a suburban development, here’s a list of 50 things you might not know about buying a house in Roswell.
1. The average home price in Roswell is $502,000, according to Redfin.
2. Roswell has a total area of 42.0 square miles.
3.. Roswell is located 22 miles north of Atlanta.
4. Roswell has a population of approximately 94,000 people.
5. As of April 2023, the median home price in Roswell, Georgia is approximately $490,000.
6. The city of Roswell is known for its historic downtown district, which features a variety of shops, restaurants, and entertainment options.
7. The Roswell Farmers and Artisans Market is a popular local attraction that takes place every Saturday from April through October.
8. Roswell has been recognized as one of the best places to live in Georgia, and was named one of the top 100 places to live in the US by Money magazine in 2019.
9. The city has a highly rated school system, with several elementary, middle, and high schools serving the area.
10. Due to its proximity to Atlanta, Roswell residents have access to a wide range of employment opportunities.
11. The Chattahoochee River National Recreation Area is located in Roswell.
12. Roswell was founded in 1839 and is the eighth largest city in Georgia.
13. The average commute time in Roswell is 29.2 minutes.
14. The Roswell Farmers and Artisans Market is held every Saturday from April to October.
15. The Roswell Roots Festival is held every February to celebrate Black history.
16. The Roswell Arts Festival is held every September.
17. The Roswell Memorial Day Ceremony is held every year to honor veterans.
18. The Roswell Cultural Arts Center hosts concerts, plays, and other events throughout the year.
19. The Roswell Park System includes 18 parks and facilities.
20. The Roswell Area Park includes a swimming pool, tennis courts, and a dog park, walking trails and multiple sports fields.
21. The Vickery Creek Trail is a popular hiking trail in Roswell.
22. The Big Creek Greenway is a popular trail for biking, walking, and running.
23. The Chattahoochee River provides opportunities for fishing, boating, and kayaking.
24. Roswell is home to several golf courses, including the Country Club of Roswell and Brookfield Golf Club.
25. The Roswell Ghost Tour takes visitors on a spooky journey through the city’s haunted sites.
26. The Roswell Beer Festival is held every March.
27. The Roswell Wine Festival is held every October.
28. The Roswell Restaurant Week is held every January.
29. The Roswell Farmers Market is open every Saturday from April to October.
30. The median home price in Roswell range from around $200,000 to over $2 million.
31. The most popular style of homes in Roswell are single-family homes, but there are also townhomes, condos, and luxury properties available.
32. Roswell is home to several historic homes and landmarks, including the Archibald Smith Plantation Home, which dates back to the 1830s.
33. The city has a strong economy, with several large employers in the area, including Kimberly-Clark and UPS.
34. The city has a well-developed infrastructure, including excellent transportation options and high-speed internet access.
35. Homeowners in Roswell are required to pay an annual stormwater fee to help maintain the city’s drainage system.
36. The cost of utilities in Roswell is relatively low compared to other cities in the Atlanta area.
37. Roswell has a diverse dining scene and over 100 restaurnats, with options ranging from casual cafes to upscale restaurants. The city is known for its Southern-style cuisine, but there are also international options available.
Roswell a great place to put down roots and build a life. If you’d like a tour of all that Roswell has to offer, please reach out to us!
Joanne Curtin Interviews Roswell Mayor Kurt Wilson
In the heart of a bustling city lies the promise of a dynamic future, shaped by the vision, determination, and leadership of its residents and officials. Roswell, a city known for its vibrant community and rich history, stands at a crossroads where possibilities are endless. Joanne Curtin, sits down with Mayor Kurt Wilson, a visionary leader committed to propelling Roswell into a new era of prosperity. This candid conversation is about the city’s future trajectory, the challenges it faces, and the timeless principles of leadership that will guide its journey towards an even brighter future.
Joanne: Thank you for having me over today. I am admiring your wall of photos here. Can you tell me more about it?
Mayor Wilson: I am glad you’re here. It’s a pleasure to finally meet you. I’ve enjoyed your “Behind The Curtin” videos. These photos on the wall are all people that have had an impact on me.
Joanne: I think it’s great that you reflected on who to put up there. That’s awesome, because you don’t get where you’re going without learning from others. So, if you could have dinner any of these people, who would you invite?
Mayor Wilson: That’s a great question. I would probably be more contemporary oriented than historically oriented. I definitely would talk to Mother Theresa. Everything I read about her is authentic, honest, and courageous. She’s an incredible warrior who has this great courage most of wish we had and she’s challenging her faith all the time. And Johnny Carson, of course. My dad was Carson’s doppelganger, they looked like twins.
Joanne: Most of our clients are in the area we like to call “The Platinum Triangle”, that’s Roswell, Alpharetta, and Milton. I’m curious about what you think sets Roswell apart from Alpharetta and Milton?
Mayor Wilson: I love my sister cities, let’s start there. I routinely have the mayors of Alpharetta and Milton over to my home. I believe in personal engagement because we are all in this together. Roswell has been successful in part because it won the geographic lottery. It was once the crown jewel of North Fulton County. Now, I acknowledge that Alpharetta has grown and they have some advantages over us, take for example the number of exits off the 400. Whereas Milton has stuck to their vision of being made up of mostly single-family homes. And that works for them.
The city of Roswell is 42 square miles, that’s it. And 65% of that is made up of single- family homes. We’re looking at the other 35% that, until now, did not have a viable long term economic strategic narrative. How do we get ahead in terms of industry? We can’t chase manufacturing businesses that we don’t have the room for. And without an intentional strategy, someone else was going to make the strategy for us – the state, the federal government, Fulton county. When I came in to office it was clear to me that Roswell needed to be a city of 120,000 people in 20 years. We are currently at 96,000. That means the city of Roswell is going to be very intentional. In other words, the development community is not going to come to us. We’re going to do the placemaking for the development community. As I said, we have limited space, 42 square miles, and because we have limited space we have scarcity. So, we’re about to use that to our economic advantage. The city is already heavily invested in zero based budgeting. That means we’re really serious about how we spend our money and reimagining how each department works and what services to provide, from an entrepreneur perspective. We are looking at what we do well, and what we don’t do so well.
Joanne: Since you’ve been in office, what’s something you are most proud of?
Mayor Wilson: All credit goes to God and my team. I am proud to say we’ve gotten more done in 12 months that has been done in 20 years. We have the best in class police force focused on de-escalation, a full-time fire department, and passage of the $180 million dollar bond overwhelmingly approved by voters.
I am a big believer that we’re building our organization in a different way. I hope we are building a political legacy and leadership that will last beyond my term. The question we ask ourselves is “what’s the right thing to do for the city of Roswell?” I hope the legacy is an organization that is highly competent, highly effective.
Joanne: You talked about looking at things done well and things that need improving. Is there something in particular that you’re working on?
Mayor Wilson: Communication is the hardest thing for us. We’re a fairly static organization and it seems we’re always playing defense. The challenge is to reach people with consistent, authentic, and sophisticated messaging.
I really believe that leadership has responsibility, not just for governing, but for bringing rational discussion into the marketplace. The overwhelming majority of us want to have sober discussions with healthy skepticism. I hope we heal the acrimony that has overtaken our political debates.
Roswell is a great place to live, There’s an unbelievable quality of life here. And I want to people who live here to really know that, to enjoy it, and to celebrate it.
Joanne: We love Roswell. In 2017, Tom and I started a 501c3 non-profit, Curtin Team Cares. We are committed to helping local families and organizations where help is needed most. Currently we are actively working with the Children’s Development Academy of Roswell (CDA). Are there any other organizations in Roswell that you feel others should know about?
Mayor Wilson: I love our community and I love CDA with the leadership of Maggie DeCan. I believe in the mission of CDA [www.cdakids.org]. We have so many great charities that operate in Roswell. HomeStretch [www.homestretch.org], North Fulton Community Charities [www.nfcchelp.org] with Sandy Holiday at the helm, Sunny and Ranney [www.sunneyandranney.com], and can’t forget The Cottage School [www.cottageschool.org]. The Cottage School has a beautiful mission and has really helped save students and their families.
Joanne: Since we’re in the South, I’m sure you know that people are just as interested in where you are from as who you are for.
Mayor Wilson: You saved the toughest question for last. Well, I grew up in Huntsville, Alabama where half the town loves Alabama and the other half loves Auburn. I went to college at Ole Miss. And then I moved to Georgia and I’m still learning how to respond whenever someone says, “Go Dawgs!”. I love the Braves. So, I guess, I root for everyone. How’s that for a politician’s response?
Joanne: (laughs) Okay. That’s a fair answer. It’s been pleasure talking to you today. I am excited to hear about the new developments in Roswell that will soon be announced. We’ll have to meet up again so we can talk more about them.
Mayor Wilson: Thank you! It’s been a pleasure talking to you. Roswell is a remarkable place and I’m looking forward to its bright future.
“Behind the Curtin” Presents A New Construction Home in Roswell, Georgia Episode 8
“Behind the Curtin” provides an inside look at local homeowners’ beautifully-crafted houses, giving insight into what it takes to renovate, upgrade, and style the most coveted parts of their dream homes. In this video series, industry expert and business owner Joanne Curtin explores local homes while interviewing their owners who live well in their homes to better understand their thought processes when making important decisions. Join Joanne to get a look into the world of luxurious real estate one wonderful home at a time.
“Behind the Curtin” Episode 8 – A New Construction Home in Roswell, Georgia
WATCH THE FULL EPISODE HERE
Max Reiboldt and his wife, Kay, built a new home across the street from where they were living. This short journey resulted in a huge transformation of their living space.
Joanne: Max and Kay, it is a pleasure to talk to you. I am excited to hear about where you lived before you built this home.
Kay: We lived on Fowler, just literally diagonally across the street. We liked the neighborhood so much that when this property became available, we latched on to it quickly. We wanted to be on one level, and we didn’t want much yard. When the builder realized that two homes could not be built on this lot, Max said, “Why not purchase the entire property?” So, we ended up with a larger lot than we expected.
Joanne: What does your new home have that your previous one didn’t have?
Kay: The problem we had at Fowler is that you could not get into that house without stairs. We needed all of our living space on one level, but we have six grandkids, and we thought, we really would like to have space for them if they all want to come and stay. We also built over the three-car garage. We added that additional space in case we need live in help to stay with us. Caregivers, nursing homes, they are so expensive, we thought it would be better to have space for someone to live here and we can stay in our home which is our goal.
Joanne: What is your favorite room in the house?
Kay: I think the whole downstairs – the kitchen, dining room, hallway. In the morning I love to sit in the hallway with the big windows and plants.
Max: We have an outside covered porch patio and pool and that is a nice setting and pretty enjoyable when the weather isn’t too hot or too cold. I also think the high 25-foot ceiling with a balcony view upstairs is a unique feature in this very custom home.
Joanne: So, upstairs is really for visitors and grandkids?
Max: We entertain quite a good bit actually. And each bedroom has a theme. For example, I am President of the Board of Directors of a medical missions effort serving central America, primarily Guatemala. And we’ve gone there so many times, we have named one of our guest rooms “The Guatemala Room” because we modeled it after some of the places we stay when we are there.
Kay: We have a purple room for our granddaughters. We also have a living room [on the second level] for the grandkids that has an arts and craft area. The third floor was actually not planned for anything more than storage. But we made it in to a game room where we have a pool table and we also have some extra storage up there as well.
Joanne: What is your favorite source for décor?
Kay: Working with our very talented interior designer, Christie, who has worked for HGTV and Netflix, I will buy something that I love and she will find a way to make it work. I love unique pieces and bargains! So, she and I are always on the hunt for a good sale. Locally, I pick up things at antique stores and sometimes I will find pieces online at Wayfair or Serena and Lily. I have a good friend and along with Christie’s assistant, we are able to purchase larger items that I could not transport on my own.
Joanne: What is a splurge in your home that you feel you couldn’t live without?
Kay: I can you right off the bat! It’s the master bathroom tile we had imported from Mexico.
Joanne: And, in your opinion, what is something that you feel someone should never skimp on?
Kay: I think flooring is something you need to get right. And it needs to be the right color, especially when you have a big open space. It has to go with everything. You don’t need to buy the most expensive stuff in the world, but you need to think about upkeep. I also think good quality furniture that will last for a long time is worth the investment.
Joanne: What would you say you and Max learned through the process of building this home?
Kay: Along with our vacation homes, we learned that location is very important. Here we are centrally located for our grandkids. We also learned that some of our original ideas changed as we built the home. For example, we originally planned for a simple little garden. But because of the drainage issues we had on the lot, it was necessary to build the house longer and route the drain system properly to keep the lots from flooding in heavy rain. And with the addition of an elevator, we can have multiple floors that I still have access to, even though we originally planned for a ranch-style home.
But I have to say, being prepared for additional costs that will inevitably come up is important. And be sure to have an attorney look over contracts with builders and vendors so that your financial interests are protected.
Mother’s Day Giveaway
Curtin Team partners with TBK Wellness Spa for a Mother’s Day Giveaway. TBK Wellness Spa is located at 408 Atlanta Street Suite 170 Roswell, GA 30075. Unlike national chains, TBK caters to the unique needs of each client. They take the utmost care to go above and beyond. Their philosophy is “our job is to take care of you, so that you can take care of others”.
In that spirit, Curtin Team is hosting a Giveaway for Mother’s Day, since mothers are the best care givers we know. Entry for the giveaway is simple – a like and tag on Instagram or Facebook.
Highlighting local businesses, like TBK Wellness Spa, is a priority for the Curtin Team. Curtin Team members don’t just work in the Roswell area, but live here too.