PSAR Blog

Important - Compensation Field Removal from CRMLS on August 13th.

Written by Communications | Jul 11, 2024 12:39:08 AM

Effective August 13:

  1. Removal of Compensation Fields
    • From Matrix, Paragon, and Flexmls.
    • CRMLS Rules and Policy changes go into effect.
    • The concession field at Close will include a category list.

Key Points:

  • Reason for Removal:

    • NAR settled the Sitzer/Burnett case regarding MLS commissions.
    • Compliance with the settlement requires MLS systems to remove all Compensation fields.
  • Impact on Active Listings:

    • Compensation fields for Coming Soon, Active, Hold, and Withdrawn listings will be removed.
  • Historical Listings:

    • Compensation fields for Active Under Contract, Pending, Closed, Expired, and Cancelled listings will remain but cannot be edited.
  • C.A.R. Forms:

    • Release of updated forms postponed. Updates will be provided.
  • Payment Methods Post-Removal:

    • Buyer's Broker compensation can be included in the buyer's offer.
    • Payment details can be included in the Escrow Instructions if using the C.A.R. Residential Purchase Agreement.
  • CRMLS Rules & Policy Changes:

    • Rule 7.15: Renamed to No Offers of Compensation in the MLS.
    • Rule 7.19: Renamed to No Disclosure of Listing Broker Total Commission.
    • Rule 9.1: Renamed to Showings.
    • A signed Buyer Broker Agreement is required before showing a property.
    • View all changes here.
  • Reporting Seller Concessions at Close:

    • New required fields: Closing Costs, Property Improvements, Financing Costs, Buyer Broker Fee, Other, and Total Calculated.
  • Difference Between Concessions and Compensation:

    • Concessions allow buyers to choose how money is spent, supporting a consumer-centric model. Watch the Concessions vs. Compensation video for more information.
  • Staying Updated:

    • Visit the CRMLS Resource Center frequently for updates and information.