Big changes are coming to California’s real estate landscape in 2025, thanks to Assembly Bill 2992 (AB 2992). This new law, which took effect on January 1, 2025, is designed to bring greater transparency and clarity to the home buying and selling process—especially when it comes to the relationship between Buyers and their Agents.
So what’s new?
AB 2992 requires that a written Buyer-Broker Representation Agreement (BRBC) be in place before an Agent can assist a Buyer in any way. This means no property showings, negotiations, or advice without a signed agreement. The BRBC sets clear expectations about:
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The Agent’s services
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Compensation for the Agent
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The Buyer’s responsibilities
A key change: If a Seller does not offer to pay the Buyer’s Agent, the Buyer must cover the Agent’s commission directly.
This legislation was prompted by the 2024 National Association of Realtors (NAR) antitrust settlement, aiming to eliminate confusion and ensure everyone understands who’s paying whom—and for what.
Whether you’re planning to buy, sell, or represent clients in California real estate, understanding these changes is essential.
👉 Read the full article to get all the details and prepare for what’s ahead: HERE
Stay tuned for Part 2 next month, where we’ll dive into how AB 2992 affects both Buyers and Sellers in more depth.
