No, It's Optional -- Here's What That Actually Means
Before August 2024, offering compensation to the buyer's agent was standard practice and typically published directly on the MLS listing. The NAR settlement changed that. Buyer-agent compensation offers can no longer be published on the MLS, and whether to offer any compensation at all -- and how much -- is now a decision each seller makes independently.
This does not mean buyer's agents work for free. It means the negotiation over who pays them, and how much, now happens directly between buyer, seller, and their respective agents -- not as an assumed default baked into the listing.
The practical effect: you are free to list your home and offer $0 in buyer-agent compensation, offer a flat amount, or offer a percentage -- whatever fits your pricing strategy and local market.
What the Listing Process Looked Like Before and After
| Before August 2024 | Since August 2024 | |
|---|---|---|
| Buyer-agent compensation offer | Published directly on the MLS listing | Cannot be published on the MLS |
| Standard practice | Sellers typically offered 2-3% as a default | No default -- decided case by case |
| Where the offer is communicated | MLS field, visible to all agents | Negotiated directly, off the MLS |
| Buyer's written agreement with their agent | Not required before touring homes | Required (BRBC) before touring homes |
This reflects the practical change in listing practice following the August 2024 NAR settlement. Always confirm current MLS rules with your listing agent, since local MLS policies can vary in their specific implementation.
Should You Offer It Anyway? The Real Tradeoff
Not offering buyer-agent compensation keeps more of your equity in your pocket at closing. But some buyers -- especially those relying on a closing cost credit or working with a flat fee buyer's agent -- factor an offered commission into what they can afford to offer you. In competitive price ranges, a lack of any offered compensation can occasionally narrow your buyer pool.
Widens Buyer Pool
Some buyers factor an offered commission into their own affordability, particularly in more budget-constrained price ranges.
Keeps More Equity
Every dollar not offered stays with you at closing -- but may narrow interest from buyers counting on that credit.
There is no universal right answer. This decision should be based on the current market for your specific price range and area before the home goes live -- not a generic rule applied to every listing.
What is a BRBC, and does it change anything for you as a seller?
A Buyer Representation and Broker Compensation agreement is a written agreement now required between buyers and their agents before touring homes. It does not obligate you as the seller to pay anything -- it simply means buyers arrive with a clear, written understanding of how their own agent is compensated, before they ever step into your home.