[Federal Register Volume 89, Number 215 (Wednesday, November 6, 2024)]
[Rules and Regulations]
[Page 87977]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2024-25815]


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GENERAL SERVICES ADMINISTRATION

41 CFR Chapter 302

[Notice-MA-2025-01; Docket No. 2024-0002; Sequence No. 50]


Federal Travel Regulation (FTR); Relocation Allowances--Waiver of 
Certain Federal Travel Regulation (FTR) Provisions Regarding 
Reimbursement of Relocation Expenses for Residential Realtor Broker 
Fees or Real Estate Commissions

AGENCY: Office of Government-wide Policy (OGP), General Services 
Administration (GSA).

ACTION: Notification of GSA Bulletin FTR 25-03.

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SUMMARY: GSA Bulletin FTR 25-03 informs Federal agencies that certain 
provisions of the FTR governing official relocation entitlements for 
residence transactions are temporarily waived in light of practice 
changes in the residential real estate industry that affect broker 
compensation.

DATES: Applicability Date: This notification is effective upon the date 
of signature and retroactively applies to buyer broker fees/real estate 
commissions incurred by an employee on and after August 17, 2024, in 
connection with the purchase of a residence at the new official station 
incident to their relocation. This bulletin will remain in effect until 
explicitly canceled or superseded.

FOR FURTHER INFORMATION CONTACT: Mr. Rick Miller at 202-501-3822, or 
Ms. Jill Denning at 202-208-7642, Office of Government-wide Policy, 
Office of Asset and Transportation Management, or by email at 
<a href="/cdn-cgi/l/email-protection#5d292f3c2b38312d3231343e241d3a2e3c733a322b"><span class="__cf_email__" data-cfemail="3a4e485b4c5f564a55565359437a5d495b145d554c">[email protected]</span></a>. Please cite Notice of GSA Bulletin FTR 25-03.

SUPPLEMENTARY INFORMATION:

Background

    Prior to August 17, 2024, the customary practice in residential 
real estate transactions was for only the seller to pay a broker fee or 
commission. The seller's agent would then split the fee/commission with 
the buyer's agent upon sale of the home. As a result of changes to the 
residential real estate industry that went into effect on August 17, 
2024, homebuyers now sign an agreement with their agent specifying the 
amount or rate of compensation the agent will receive, or how this 
amount will be determined. While sellers and their agents can still 
offer to pay a buyer's agent fee/commission, that exchange must be 
separately bargained for. This means that in some transactions, 
homebuyers will be required to pay the full buyer's agent fee/
commission.
    At present, eligible relocating Federal employees are reimbursed 
for the broker's fee or real estate commission they paid in the sale of 
their residence at the last official station pursuant to 41 CFR 302-
11.200(a). However, 41 CFR 302-11.202(b) prohibits reimbursement for 
broker fees or commissions paid in connection with the purchase of a 
home at the new official station. Accordingly, OGP is temporarily 
waiving language in 41 CFR 302-11.200(a) and 302-11.202(b) to allow 
agencies to retroactively reimburse eligible relocating employees for 
buyer broker fees/real estate commissions incurred by an employee on 
and after August 17, 2024, in connection with the purchase of a 
residence at the new official station incident to their relocation.
    GSA Bulletin FTR 25-03 can be viewed at https://www.gsa.gov/ftrbulletins.

Mehul Parekh,
Acting Associate Administrator, Office of Government-wide Policy.
[FR Doc. 2024-25815 Filed 11-5-24; 8:45 am]
BILLING CODE 6820-14-P


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