The Maryland Real Estate Commission recently codified the statutory authority of Brokers to pay agent commissions at the time of settlement. This bill clarifies that title companies may pay compensation to a real estate licensee according to a written disbursement authorization provided by the Real Estate Broker.
On September 13, 2022The Maryland Insurance Administration issued Bulletin 22‐12. Guidance indicates that disbursements such as checks to agents, brokers or other authorized payee issued payment from Broker fees, including commission, must be itemized on the Closing Disclosure and the ALTA statement. The key takeaway is that any share of the Broker Fee that is to be distributed at closing must be itemized on the Closing Disclosure and ALTA documentation.
These new regulations do not require these distributions at closing, but offers Brokers another opportunity to manage distributions.
The Branch Managers at Community Title Network are well versed in the requirements associated with these disbursements and would be happy to answer any of your question.