Attn Kaplan Alumni working in California
Moderator
🚨California Assembly Bill 2992 makes some changes to how real estate agents work with buyers. Here's the gist:
* Buyer-broker agreements need to be in writing. This means if you're working with an agent to buy a home, you'll have a written contract with them. This contract outlines what services they'll provide and how long the agreement lasts.
* These agreements can't automatically renew. If you want to keep working with the agent after the initial agreement ends, you'll need to sign a new one.
* There's a time limit on these agreements. Even if you renew, the agreement can't be for longer than 3 months at a time.
Basically, the bill aims to make things clearer and more fair for buyers working with real estate agents. It ensures everyone knows what's going on and prevents buyers from getting stuck in long-term agreements they don't want.
This goes into effect January 1, 2025.
What do you think about these new requirements? Let us know if the comments below.
Note: Kaplan students, you are not currently tested on this information. We will notify you if CA changes its state exam to include this new information.
Comments
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I think a written agreement should go without saying. Must be in writing to be enforceable. Things have changed since the NAR settlement, but that should not have an adverse effect on Real Estate Agents, just a guess, as I am not in the industry, I am still studying. For the longest time, both the Sellers Agents and the Buyers Agents commissions were paid by the Seller. This has since changed, but Buyers still need representation.
The money has to come from somewhere, not necessarily from out of the Sellers pocket.3 -
Howard Harris California Licensing Career Launcher, California Licensing, Buyer Agency Professional (BAP) Posts: 442
Moderator
🚨I agree. Not only should it not have a negative affect, I think that it will have a positive affect in that the consumer will have more information about who is representing them and their fees.
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