LEE COUNTY, Fla. — Several major changes to the real estate market go into effect Saturday that could affect both buyers and sellers. The biggest change: If you want to tour a home, you’ll have to sign a buyer’s agreement first.

This is due to a $418 million settlement with the National Association of Realtors (NAR). Fox 4 senior real estate reporter Kaitlin Knapp visited Armada Real Estate and spoke with real estate agent Arianna Falzone to help you better understand the changes.

Fox 4 lead reporter Kaitlin Knapp explains the new rules here:

Would you like to view a house for sale? Now you must first sign a buyer’s agreement.

Let’s start with touring a home. You must sign a buyer’s agreement before you enter a home. The agreement must contain certain details.

“Specify the exact amount you (the broker) want to receive, whether as a percentage or as a gross amount,” Falzone said.

It will also specify the exact amount of the commission offered, the fact that the commission is negotiable, the term, the properties to which it applies and the possible remuneration.

“This weeds out those buyers who are not necessarily serious and do not want to seriously deal with the details of a home purchase,” Falzone said.

According to NAR, this does not apply to open houses if you go there to speak to a real estate agent.

Then there is another change: the commission.

“We should make sure that a seller knows that commission is negotiable,” Flazone explained. “However, many people told sellers that they had to offer a commission to the buyer’s agent.”

The ruling requires real estate agents to inform the seller that the price is negotiable.

“The whole settlement is really intended to mitigate the problem of people setting community standards and industry standards so that a seller can actually pay a commission to a buyer’s agent,” Falzone said.

She says while a seller has the right not to offer a commission to the buyer’s agent, in most cases it is built into the list price.

Falzone says the new rule will likely make sellers more aware that commissions are negotiable.

“If they don’t offer that commission, they might choose not to offer it anyway and still push for a tougher deal and get more money,” she said.

However, it will not be easy to determine the commission and remuneration of a house.

The ruling states that this is no longer required in the MLS – the database of homes for sale.

Before the verdict, Falzone said there had been allegations that some agents had engaged in unethical behavior.

“Some agents chose not to show a home if the bid value was below ‘X’ percent,” she said.

Since the information is no longer available in the MLS, a conversation must be had between agents.

Any changes are expected to impact buyers and sellers.

“It definitely makes it harder for buyers to decide whether they can afford a home,” Falzone said.

This is because you may need to set aside money for the commission as the seller may no longer add it to the purchase price.

For example, Falzone said if you have an FHA loan on a $300,000 home, you’ll have to put 3.5% down. When you factor in 3% closing costs and now potentially commissions, you could be paying nearly $30,000 up front.

However, she also sees some positive aspects.

“The advantage for a buyer is that he knows exactly what he is dealing with from the first moment,” said Falzone.

For sellers, it depends on how they view the changes.

“It definitely gives you more room to negotiate your commission with your agent and whatever you want to offer the buyer’s agent,” Falzone said.

She says it’s about transparency and you can save money by not offering commission.

But will these changes cause shoppers to return their purchases?

“I don’t necessarily think it’s going to deter buyers from coming into the market,” Falzone explained. “However, I do think it’s going to be a little more difficult to afford a home and actually go into the market and buy a property if you have to factor in additional fees.”

What about the people who were told they had to pay a commission?

“For those people who thought the commission was non-negotiable and something that had to be offered, there are still ways to get a piece of the pie in this agreement,” Falzone said.

You can do that here.