New Real Estate Commission Rules Explained

The new real estate rules arrived in August: The buyer’s agent commission can no longer be listed with the MLS information. Additionally, buyers must sign a written agreement with their real estate agents that explicitly outlines how the agent will be compensated.

Despite these changes, sellers may still offer to pay the buyer’s agent commission.

In theory, the new rules give buyers more control and options for structuring those fees. But Clark thinks change will come gradually. He expects that in the short term, most real estate deals will continue to include a 2.5 or 3% fee that the seller pays to both the listing agent and the buyer’s agent.

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[steveludwig]

Clark explained this perfectly in 5 minutes. I've heard a lot of other "real estate experts" talk for 30 minutes+ with far less actual information and clarity.

[GH-zsfj]

I am an active seller. Their was no negotiation. I was told this has been the company policy for years. I agreed to the historical buyer/seller commission split. If you want to negotiate commission, I recommend you interview 3-5 agents and ask them what is "their" buyer/seller commission. You may want to start talking to agents 3-6 months before the anticipated transaction date. What you feel is an appropriate commission, and what your agent feels is an appropriate commission may be completely different! It is your responsibility to find an agent in which you feel the commission is appropriate for the services they are providing to you. Start the process early!

[ronniescales]

Real Talk... Commissions have always been negotiable like everything else in a real estate transaction.

[Burps___]

As an active buyer in the market right now, I can attest that we are (a) going directly to the listing agent to see desired properties (we know the market where we are moving) and (b) unless a property is super appealing, we simply wait for an Open House to view it so we don't have to sign a buyer's agent agreement just to view that particular property. So, home sellers, negotiate with your selling agent up front about fees in the event that a buyer has no agent (increasingly the norm), and about the number and frequency of their running Open Houses on your property. Thank for the info, Clark.

[SP-vtfl]

This new system is confusing and seems ripe for agents both buyers and sellers to figure out a way to rip off the consumer 🤷, just my opinion

[navyjohnes]

Not rocket science material -- he's explaining this as if is a graduate level
statistical exam.
PLAIN AND SIMPLE -FLAT FEE! Split/ adjust the price Take it or leave it.... or,

Find your own buyer/ seller, FSBO
Over the nonsense
Just try to make it make "cents"
It's enough money to go around

[SkyNetGeneral-]

I don’t understand none of this if a buyers agent is asking for 6% and the listing agent is asking for 6% that’s 12% so what is 3 and 3!?

[mrpangy]

Try going to a buyer agent and offer them $5, 000 on a comped purchase. The real practice - is that they will not represent you or poorly represent you.

[Loons]

I have purchased many homes and till this day, Real Estate Agents are over paid, I only met 1 who went above and beyond.

[DamionLouisInPortugal]

I wonder if the buyers agent commission will ever be able to be rolled into the home loan.?

[davidvvv]

This is bad news for buyers who prefer a buyers agent..Now buyers will be forced to use the seller's agent, who represents the seller..I think it's great news for the seller's agent because now in most cases they will get the full commission instead of half..The buyer will be the loser.

[ScottJones-nide]

$75.00 per hour of actual work seems fair.