A practical guide for FSBO sellers on setting, communicating, and negotiating buyer agent compensation after the NAR settlement — with no required commission on FlatFeeMLS.ai.
No required buyer agent commission. You stay in control of every offer.
The National Association of Realtors settlement changed how buyer agent compensation works. Before, listing brokers often offered a specific commission to buyer brokers, and that amount was posted on the MLS for every agent to see. Buyers could rely on the seller paying their agent's fee.
Now, the MLS cannot display buyer agent compensation. Sellers can still choose to offer it, but the offer must be communicated and negotiated outside the MLS — usually through direct conversations with agents or as part of the purchase offer. The result is more flexibility for sellers, but also more responsibility to understand the options.
This guide walks you through the new process so you can make a market-aware decision without giving away leverage.
Follow these steps to communicate your offer clearly, preserve your leverage, and avoid compliance issues.
Traditionally, sellers offered roughly 2.5% to 3% of the sale price to the buyer's agent. That number was visible on the MLS and treated as a default.
After the NAR settlement, buyer agent compensation is no longer displayed on the MLS and is not set by any industry rule. It is now a negotiable business term between you and the buyer's agent, just like price, closing date, or repairs.
Before the first showing, decide what you are willing to offer and under what conditions. Changing your position mid-deal can make you look uncertain and weaken your negotiating position.
Common approaches include: offering a percentage of the sale price, offering a flat dollar amount, offering a seller concession instead of agent compensation, or offering nothing and letting the buyer handle it directly.
If you plan to offer buyer agent compensation, treat it as a line item in your net sheet. The sale price has to cover your payoff, closing costs, any commission or concession, and the net proceeds you need.
Run the numbers in a seller net sheet calculator with and without buyer agent compensation. Seeing the dollar difference helps you decide whether a lower list price plus no commission, or a higher list price with a commission, produces the better outcome.
Because compensation cannot be advertised on the MLS or in listing remarks, buyer agents will often call or email before scheduling to ask what you are offering. This is normal and expected.
Have a short, polite response ready. You are not required to promise anything before a showing, but you should be clear enough that agents know what to expect. Vague answers can reduce showing activity.
Before a showing, the buyer agent has little invested and you are one of many listings. After a showing, the agent has spent time, the buyer has seen the property, and you have something they now want.
That shift gives you leverage. If an agent asks for more than you want to offer before a showing, you can simply state your policy. If they ask again after their buyer is interested, you are in a stronger position to negotiate a lower number or stand firm.
Buyer agent compensation is not separate from the rest of the deal. It can be adjusted as part of the overall offer negotiation, along with price, closing date, seller concessions, and repairs.
If a buyer's agent asks for more than you planned, respond by looking at the entire offer. A strong offer at a good price may justify a small increase. A weak offer with a high commission request is a signal to push back or walk away.
You are not limited to a percentage commission. Many sellers now use seller concessions, buyer closing cost credits, or flat fees to a showing service instead of direct buyer agent compensation.
Each option has different appeal to different buyers. A first-time buyer may prefer a closing cost credit. An agent representing a cash buyer may prefer a flat fee. The right choice depends on who is likely to make an offer.
Any agreement about buyer agent compensation or seller concessions must be written into the purchase agreement. Verbal promises are not enforceable at closing and can create last-minute disputes.
If you are unsure how to word the compensation terms, have a real estate attorney or contract professional review the language before you sign. This is especially important in the first months after the NAR settlement while local practices are still settling.
Avoid these common mistakes that can create compliance problems or cost you money.
Buyer agent compensation is no longer displayed in MLS compensation fields or public remarks. Attempting to include it can violate MLS rules and cause your listing to be rejected or edited.
Public listing remarks and marketing flyers distributed through MLS channels generally cannot include offers of buyer agent compensation. Keep those discussions off the public listing and in direct conversations.
Unclear compensation terms create delays and stress at the closing table. Resolve the question as part of the offer negotiation so it can be written into the purchase agreement.
You are negotiating a business term, not fighting a battle. A professional, respectful approach keeps the transaction moving and protects your reputation in the local market.
Before you set a commission policy, run the numbers and review the contract language with our free AI tools.
Common questions about buyer agent compensation after the NAR settlement.
FlatFeeMLS.ai gives you a flat fee MLS listing and full control over what you offer buyer agents. You decide, and you can change your mind as offers come in.
