Understanding Real Estate Commissions After the NAR Settlement

For Buyers in Central Virginia

In August 2024, a major legal settlement reshaped how commissions are handled. Historically, sellers guaranteed buyer agent compensation upfront (commonly 2.5–3%). Post‑settlement, that amount is not assumed and isn’t automatically shown in the MLS. Buyer agents now must have a written agreement with their clients explaining compensation. Practically, this gives buyers more control and the chance to save money with the right structure.

My Approach: Transparent Buyer Representation

I use a predictable structure that keeps you competitive and maximizes savings:

• A fee quoted upfront. You know exactly what I charge before we start.
• When we write your offer, I negotiate for the seller to pay as much buyer‑agent compensation as possible in the contract, typically 2.5-3% of the sales price.
• Because my fee is set, anything the seller pays above it is credited back to you at closing.

Up to $12,000+ credited back to a past buyer at closing.

Why This Matters

• More money back: A fee quoted upfront + negotiated compensation = a credit to you at closing.
• Stronger offers: In a competitive offer situation, asking for less in buyer’s agent compensation compared to other offers increases the chances we get your offer accepted.
• Aligned incentives: My goal is the right home at the right price, not a bigger commission.

Buyer FAQ: How My Fee Works

Will I ever pay more out of pocket?

I quote my fee upfront, so you know it before we write an offer. In nearly every case, I negotiate 2.5–3% buyer‑agent compensation as part of your offer. If the negotiated amount exceeds my fee, the surplus is credited to you at closing. If it’s lower, we’ll structure the offer to keep you competitive and minimize cash outlay.

How do credits work?

Credits appear on your closing statement, reducing cash to close or offsetting costs like inspections and moving. For many clients, the credit is several thousand dollars.

Does this make my offer less competitive?

Nope! In fact, it can make your offer more competitive. Since the settlement, negotiating buyer‑agent compensation in the offer is standard. We position the terms so they support your chances, not hurt them.

Why not use a traditional agent?

Traditional agents often take the full 2.5–3%. On a $400,000 home, that’s $10,000–$12,000. With my fee quoted upfront, whatever the seller pays above it comes back to you, without sacrificing service, protection, or negotiation strength.

What if the seller refuses to pay any buyer‑agent compensation?

Uncommon, but if it happens we’ll decide whether to adjust terms, request concessions, or pursue another property. You’ll always know my fee upfront and won’t be surprised at closing.

Hypothetical Example

A made‑up example to show how the credit works. It is not my pricing: I quote your actual fee upfront, before we start.

Say the seller agrees to pay $12,000 toward buyer agent compensation and my fee comes in lower. The entire difference is credited back to you at closing.