In response to changing regulations, Movoto, the largest privately-held residential real estate search website, is introducing a new Home Touring Agreement that will bring more transparency to the real estate transaction for consumers, while ensuring they can still work with one of top real estate agents in their market.
This new tool is just one of the many ways that Movoto is at the forefront of creating clarity and success for both consumers and Movoto partner agents, as well as a key reason why homebuyers and sellers should work with a Movoto partner agent.
What is the Home Touring Agreement?
Movoto has created a non-binding Home Touring Agreement that will allow agents and consumers to work together at the start of a consumers’ homeownership journey before agreeing to any form of compensation. New regulations aimed at creating more transparency around the homebuying process are set to take place on August 17, but Movoto has gone a step further by creating an actual non-binding legal agreement to bring an unparalleled level of transparency to the process for all parties involved.
The agreement formalizes what has long been true — agents provide unmatched value to the homebuying and selling process, but also need to earn the trust of their clients. The new non-binding legal document is the first step in what could be a lifelong relationship with a consumer and their real estate agent.
The agreement does not preclude consumers from signing any similar contract or agreement offered by their agent, as many individual agents and brokerages may offer their own version of touring contracts or buyers’ agent agreements.
Why now?
In March, the National Association of Realtors (NAR) agreed to settle a lawsuit brought on by a class of homesellers that alleged the trade group’s cooperative compensation model, which required homes listed in the MLS to publish an offer of buyers agent compensation, was anti-competitive. As part of that settlement, starting August 17, buyers are required to sign an agreement with an agent before touring a home with that agent.
In the past, a seller would publish an offer of compensation when listing their home on a multiple listing service, which is a platform that syndicates listings to some of the top real estate search websites like Movoto.com. New regulations will outlaw that process, eliminating the expectation that the seller will pay a buyers’ agent, but not banning the practice outright. Agents will be required to communicate all fees in writing on both the seller and buyers side, and as always, these fees are always negotiable between all parties.
Why work with a Movoto agent?
Data shows consumers want to work with agents. According to a recent Bright MLS study, 76% of consumers believe it’s essential to have representation over their interests throughout the entire home-buying process.
Buyers’ agents specifically serve a number of roles for consumers, the most important of which is serving as the consumers’ unbiased interest in negotiating one of the biggest purchases they’ll likely ever make. Without buyers’ agents, consumers would be negotiating against, or working with an agent representing the interest of the homeseller — a term known as “dual agency.”
In addition to negotiating on things like price, inspection thresholds, and other financial aspects of the transaction, buyers’ brokers can provide a point of clarity and education into a complicated process — helping consumers take steps towards obtaining a mortgage, scheduling things like inspections, appraisals, and closings. They are a point of connectivity throughout a very complicated transaction.
Movoto doesn’t just partner with every interested agent — only the most experienced ones with a proven track record of great results and service. Movoto agents have access to all homes listed on the MLS along with their leading data and insights, ensuring you never miss out on a property and are fully equipped to make the best decisions.
Movoto also offers individual real estate agents and teams an unparalleled level of support to ensure success for all parties involved. Movoto employs innovative, AI-powered matching technology to ensure you get the right expert to support you in your homeownership journey and both agents and consumers working with Movoto also get the support of our concierge team to serve as an ally and advocate throughout the process. The Movoto concierge team can help consumers get connected to the right experts, no matter where they are in their homeownership journey.
