If you're in the market to buy a home, you've probably noticed that things have changed a bit. Starting August 17, 2024, there's a new requirement for homebuyers working with real estate professionals—specifically those who are REALTORS®. You might be asked to sign a written buyer agreement, and if you're wondering why or what this means for you, you're in the right place. Let’s break it down in a way that’s easy to understand.

What Exactly Is a Written Buyer Agreement?

A written buyer agreement is essentially a contract between you, the homebuyer, and your real estate professional. This agreement outlines the services your agent will provide, as well as the compensation they’ll receive for those services. It’s a way to ensure that both you and your agent are on the same page from the get-go.

Why Am I Being Asked to Sign This Agreement?

This requirement stems from a recent change initiated by the National Association of REALTORS®. As part of a proposed settlement of litigation related to broker commissions, it’s now necessary for real estate professionals to have a written agreement in place with their clients. This is a nationwide change that took effect on August 17, 2024.

Are These Agreements a New Thing?

Depending on where you live, you might have never encountered a written buyer agreement before. Some states have had this requirement for years, while others haven’t. So, if this is new to you, don’t worry—many homebuyers are in the same boat. But now, it’s a standard practice across the country for many real estate professionals.

Can I Negotiate the Terms of the Agreement?

Absolutely! The terms of your written buyer agreement are not set in stone. You have the right to negotiate aspects such as the services you expect, the duration of the agreement, and the compensation involved. The key is that whatever you agree on with your agent should be clearly stated in the agreement—no vague terms, no ranges, just a clear understanding of what’s been decided.

How Does This Benefit Me as a Homebuyer?

One of the biggest advantages of having a written buyer agreement is that it removes any guesswork. You’ll know exactly what your agent is going to do for you and how they will be compensated. This clarity helps avoid misunderstandings and ensures that both you and your agent have a solid understanding of your working relationship.

When Will I Be Asked to Sign This Agreement?

You’ll need to sign a written buyer agreement before you start touring homes with your real estate professional. This applies whether you’re doing an in-person visit or a virtual tour. However, if you’re just attending an open house on your own or having an initial chat with an agent about their services, you won’t need to sign anything yet.

Do I Have to Pay My Agent Out of Pocket?

Not necessarily. While the agreement will outline how your agent will be paid, it doesn’t mean you have to cover the cost directly out of pocket. In many cases, it’s possible to negotiate for the seller or their agent to cover your agent’s compensation. This is something you can discuss with your real estate professional to find the best arrangement for you.

Does This Agreement Define the Type of Relationship I Must Have with My Agent?

No, it doesn’t. You’re free to establish any business relationship with your real estate professional that is allowed under state law. Whether you want a more casual arrangement or a full-service partnership, the agreement can be tailored to fit your needs.

Can I Change or Get Out of the Agreement?

Yes, you can. If circumstances change or you’re not satisfied with the arrangement, you and your real estate professional can agree to modify the agreement. Just be sure to read the terms carefully so you understand the conditions under which the agreement can be changed or exited.

A recent article in the Conway Daily Sun explains how the town of Conway’s rental inspection and certification program, designed to ensure the safety and compliance of both short- and long-term rental properties, is currently under legal scrutiny. A lawsuit filed by the Mt. Washington Valley Association for Responsible Vacation Rentals, along with White Mountain Properties LLC, has brought the program’s legality into question, effectively halting its progress. The town was on the brink of finalizing the program by holding public hearings regarding the fine schedule for violations, which could be as steep as $1,000 per occurrence. However, these hearings have been postponed due to the ongoing litigation, with a court date scheduled for September.

Despite the legal challenges, the need for accountability among rental property owners cannot be overstated. As a real estate professional, I recently showed a three-story, three-bedroom home that shockingly lacked any smoke alarms—a basic safety requirement. This highlights a critical issue: regardless of the outcome of this legal dispute, rental property owners must take their responsibility seriously. It’s not just about adhering to local regulations; it’s about safeguarding the lives of those who stay in these properties.

The town’s inspection program, supported by over 1,000 Conway citizens, was designed to enforce life safety inspections for all rental properties, ensuring they meet basic safety standards before being granted a Certificate of Rental Compliance. While the program’s enforcement is currently in limbo due to the lawsuit, the need for some accountability is clear. Property owners should not only focus on protecting their privacy rights but also on ensuring the safety and well-being of their guests.

This legal battle could take years to resolve, but in the meantime, the responsibility falls on property owners to maintain high standards of safety. Whether or not the town’s program is ultimately upheld, the importance of protecting guests in rental properties should remain a top priority for all owners. The ongoing litigation serves as a reminder that while legalities are being debated, the safety of people staying in these properties should never be compromised.

Read the full story here - 

Check out this video tour of 921 Grandview Road in Conway.  Located in Hale Estates, this GORGEOUS home sits on a private lot that abuts 14 acres of common association land.  

• 3 bedrooms plus an office and a bonus room 
• Hot tub and fire pit / patio area
• Massive finished basement 
• Living room with 18' ceilings and gas fireplace
• Attached garage
• Beautiful kitchen that looks like something out of a magazine 

 

This is such a cool property!  1.8 private acres in Hart's location - famously known as one of New Hampshire's smallest towns (population around 43!)

https://northconwayrealty.com/listing/5008255/91-burke-road-harts-location-nh-03812/

The real estate market in Conway (which includes North Conway) has seen significant changes over the past year. Here is a look into the statistics comparing the first seven months of 2023 and 2024, focusing on single-family homes.

January 1, 2023 - July 31, 2023

During the first seven months of 2023, 73 homes were listed with a median list price of $474,900. The market was quite active, with 49 homes sold in this period. The homes that sold had a median days on market (DOM) of just 7 days, indicating a fast-moving market. The median selling price was $427,000.

January 1, 2024 - July 31, 2024

Fast forward to 2024, the market activity has ramped up. There were 114 single-family homes listed, a significant increase compared to the previous year (56%). The median list price also saw a rise, reaching $499,900. There were 62 sales during this period (an increase of 26%), reflecting a growing demand in the area. However, the median DOM for sold homes increased to 10 days, suggesting a slightly slower pace than last year. The median selling price jumped to $460,000, indicating a stronger sellers' market.  I have seen a significant increase in the number of price changes in single family home listings so while homes are selling very close to their asking prices, they aren’t necessarily  selling close to their initial asking prices.

Current Market Overview

As of now, there are 34 active single-family homes on the market. The median asking price for these homes is $555,000, a noticeable increase from earlier in the year. The median DOM for these listings is 35 days, reflecting a potential cooling off or a shift in market dynamics.

Analysis and Insights

The comparison between these two periods reveals a few key trends:

1. Increased Listings and Sales: The number of homes listed and sold has increased, showing a growing interest in the Conway and North Conway areas.  The number of listings has increased 56% while the number of sold homes has gone up 26% so there is some more inventory that is sitting on the market.  Our inventory was so low, even with inventory climbing we are still not at a balanced market.
2. Rising Prices: Both the median list and selling prices have gone up. This suggests a competitive market where demand is keeping pace with, if not outstripping, supply. The increase in median asking prices for currently active listings also indicates that sellers are optimistic about the market's direction.
3. Longer Days on Market: The slight increase in DOM for sold homes and the more noticeable increase for active listings suggest that homes are taking longer to sell compared to last year. This could be due to a higher volume of listings or buyers being more selective.

Overall, the Conway and North Conway real estate market is showing signs of growth and dynamism. While prices are rising, the increased number of listings and slightly longer DOM suggest a market in transition. For buyers and sellers, staying informed and working with knowledgeable real estate professionals will be key to navigating these changes.

Whether you're looking to buy, sell, or invest, understanding these market trends can help you make more informed decisions. As always, we're here to help you every step of the way in your real estate journey.

PHOTO ABOVE BY JOE VIGER PHOTOGRAPHY