Skipping the 2–3% Could Cost You Way More.

New rules. Same math. Here’s what the data actually says about buyer agent compensation in 2025–2026.

Since the NAR settlement changed the rules in August 2024, a lot of sellers are asking the same question: “Do I still need to offer the buyer’s agent compensation?” Fair question. Here’s the honest answer — and it might not be what you’re expecting.

The reality

The 2–3% looks like savings. It often isn’t.

On paper, keeping that money sounds like a straightforward win. But real market data from Redfin and Zillow — and research from the Federal Reserve — tells a different story.

Sellers who skip buyer agent compensation often end up with a lower final sale price, more days on market, and a smaller check at closing. That’s not a theory. That’s what’s happening in the market right now.

90% of buyers still use a professional agent — and that number hasn’t changed since the new rules took effect. Most of them, especially first-time buyers and VA borrowers, simply cannot pay their agent out of pocket on top of a down payment and closing costs.

When your listing doesn’t account for that reality, you’ve quietly eliminated a massive portion of your potential buyer pool — before a single showing.

 

Market data

The fees didn’t go away. They just moved.

Redfin data shows buyer agent compensation rebounded to a national average of 2.42% by late 2025 after an initial dip post-settlement. The market found its level.

Here’s the problem with letting it become a negotiation instead of an upfront decision:

When compensation is reactive — buried in an offer as a concession — buyers hold the leverage. In a slower market, that leverage costs sellers more than the commission ever would have.

The hidden cost

Every extra week sitting costs you money.

A home that sits on the market doesn’t just sit — it bleeds. Here’s what that looks like:

1. Price cuts. The longer it sits, the more you have to drop the price to generate interest.
2. Carrying costs. Every extra month means another mortgage payment, property tax installment, insurance bill, and utility cost.
3. Weaker offers. Days on market is a signal buyers notice. The longer it sits, the more leverage shifts to them.
4. A home that sells in two weeks at full asking price will net more — almost every time — than a home that lingers for two months at a discount.

 

The research

Don’t take our word for it.

The Federal Reserve Bank of Richmond found that non-standard commission structures can lead to prolonged home searches and prices that don’t reflect true market value.

The American Economic Association found similar patterns — below-market compensation changes how buyers and their agents engage with a listing.

The long-term evolution of real estate compensation may look different. But right now, in this market, going it alone on compensation is a gamble most sellers can’t afford to take.

The strategy

Stop thinking of it as a cost. It’s a marketing tool.

The sellers winning in today’s market aren’t trying to minimize compensation — they’re using it strategically to put more qualified buyers in the room and generate real competition for their home.

You have more flexibility than ever before. The new rules give you options that didn’t exist two years ago. A great agent will help you use those options based on your specific market, your timeline, and your goals — not assumptions.

Saving 2–3% upfront and losing 5–10% on your sale price is not a win. Data beats assumptions every time.

 

Ready to sell smart?

Let’s talk about what’s actually working in your market right now — and build a strategy that puts more money in your pocket at closing.

 

 

Sources

Federal Reserve Bank of Richmond — “Competition in the Real Estate Brokerage Industry”

American Economic Association — “Steering in the Real Estate Market”

Redfin & Zillow Market Analysis — 2025–2026 Post-Settlement Reports

NAR Settlement Guidelines — Post-August 2024 Practice Changes