The Truth About Realtor Commissions Going Forward

In the proposed settlement, various forms of compensation for brokers assisting buyers would persist, such as fixed-fee commissions paid directly by consumers, seller concessions (provided they aren't tied to retaining or compensating specific parties), or a share of the listing broker’s compensation. NAR has consistently advocated for offering compensation in the interest of all parties involved, though using the MLS to convey compensation offers will no longer be feasible. Negotiating compensation will remain flexible and should be discussed directly between agents and their clients.

Regarding changes in business practices, the settlement entails two significant shifts:

1. NAR has agreed to implement a new MLS rule prohibiting the communication of compensation offers through the MLS. However, consumers can still explore compensation options outside the MLS through negotiation with real estate professionals.
2. NAR has also committed to establishing a new rule requiring MLS participants working with buyers to establish written agreements with their buyers before touring a home. NAR has long promoted the use of written agreements to ensure clarity regarding the services provided and their associated costs.

Bottom Line

Don't expect to absolutely pay nothing to a buyer's agent as a seller in the future. You have that option though. But this is a common practice in commercial real estate and most landlords provide buyer agent compensation. They do this because they understand the transaction and how that fee benefits them when selling or leasing their property.