Do Sellers Pay the Buyer’s Agent Commission? What Changed in 2024

by John Musso

Do Sellers Pay the Buyer’s Agent Commission? What Changed in 2024

If you’re buying or selling a home, you’ve likely heard that real estate commissions have recently changed. This has led to a lot of confusion, especially around who pays the buyer’s agent. The reality is simpler than it sounds: while the rules have shifted, how commissions are handled is now more flexible and depends on how each individual deal is structured.

What Changed (The “New Law”)

It’s not actually a law, it’s the result of the 2024 National Association of Realtors (NAR) settlement.

The biggest changes:

Sellers are no longer required to pay the buyer’s agent commission
Buyers must now sign an agreement with their agent outlining how they’ll be paid
Commissions can no longer be advertised in the MLS

So Who Pays the Buyer’s Agent Now?

The new reality:

The buyer is technically responsible for their agent’s compensation
However, everything is negotiable

What Actually Happens in Real Life

Even though the rules have changed:

Sellers can still choose to pay the buyer’s agent
Many sellers still offer compensation to attract more buyers
Compensation is now negotiated within the contract, rather than being pre-set in the MLS

In many transactions, the structure may still look similar to before, just with more transparency and flexibility.

Simple Breakdown

Previous System:

Seller typically paid both agents (often around 5–6% total)

Current System:

Buyer hires their agent and agrees on compensation
Seller may or may not contribute toward that compensation
All terms are fully negotiable on a case-by-case basis

Bottom Line

Sellers are not required to pay buyer’s agent commissions
It is still very common for sellers to offer compensation
All commission structures are now fully negotiable

This shift has created a more transparent and flexible system, allowing buyers and sellers to structure deals in a way that works best for their specific situation.

John Musso

5025 Bluebonnet Boulevard, Baton Rouge, LA 70809

(225) 939-8648