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Are Sellers Still Paying Buyer’s Agent Commissions in 2025?

Rupi Azrot
May 11, 2025
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In 2025, the real estate industry has undergone significant changes, especially concerning who pays the buyer's agent commission. Traditionally, sellers covered both their listing agent's and the buyer's agent's fees, typically totaling 5–6% of the home's sale price. However, recent legal settlements and policy changes have altered this norm. HomeLight

So, are sellers still paying buyer's agent fees? Let's delve into the current landscape.

The Shift in Commission Structures

In August 2024, a landmark settlement by the National Association of Realtors (NAR) changed how commissions are handled. Key changes include: Contra Costa County Bar Association

  • Removal of buyer's agent commissions from MLS listings: Sellers can no longer advertise offers of compensation to buyer's agents on the Multiple Listing Service (MLS). Yahoo Finance
  • Mandatory buyer-broker agreements: Buyers must now sign a written agreement with their agent before touring homes, specifying the agent's compensation.

These changes aim to increase transparency and allow for more negotiation in real estate transactions.

Are Sellers Still Covering Buyer’s Agent Fees?

Despite the new rules, many sellers continue to pay buyer's agent commissions. According to a survey, 83% of agents reported that their buyers still expect sellers to cover 100% of the buyer's agent commission. HousingWire

This trend persists because:

  • Market competitiveness: Offering to pay the buyer's agent fee can make a listing more attractive to potential buyers.
  • Buyer affordability: Many buyers, especially first-time homeowners, may not have the funds to pay their agent's commission out-of-pocket. National Association of REALTORS®

Therefore, while not mandatory, covering the buyer's agent fee remains a strategic move for sellers aiming for a quicker sale.

Implications for FSBO Sellers in California

For those selling their homes without a listing agent (For Sale By Owner - FSBO) in California, these changes present both opportunities and challenges:

  • Negotiation flexibility: FSBO sellers can choose whether to offer a commission to buyer's agents, potentially saving on costs.HomeLightYahoo Finance
  • Increased responsibility: Without a listing agent, FSBO sellers must handle negotiations, disclosures, and compliance with state laws themselves.

It's crucial for FSBO sellers to be well-informed and prepared to manage these aspects of the sale process.

Navigating the New Landscape with ListLean

At ListLean, we empower FSBO sellers in California to navigate these changes confidently. Our platform offers:

  • Flat-fee MLS listings: Gain exposure on major real estate platforms without paying hefty commissions.
  • Compliance support: Access resources to ensure you meet all disclosure and legal requirements. Luxury Presence
  • Negotiation tools: Utilize our tools to communicate effectively with buyers and their agents.

By choosing ListLean, you maintain control over your sale while benefiting from professional support.

Final Thoughts

While the obligation for sellers to pay buyer's agent fees has changed, many still choose to do so to facilitate smoother transactions. For FSBO sellers in California, understanding these dynamics is essential. With the right tools and knowledge, you can navigate this evolving landscape successfully.

Ready to take control of your home sale? Explore our pricing plans and see how ListLean can support your FSBO journey.

Selling a home FSBO (For Sale By Owner) can be an attractive option for homeowners looking to save on realtor commissions and retain control over the selling process. However, navigating the complexities of a real estate transaction without professional guidance can be challenging. To help you avoid common pitfalls and achieve a successful sale, let's explore some of the top FSBO mistakes to avoid when selling your home.

1. Pricing it Wrong:

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2. Neglecting Legal Requirements:

Selling a home involves adhering to various legal requirements and disclosures. Failure to comply with state and local regulations can lead to legal issues and jeopardize the sale. Make sure you familiarize yourself with California's real estate laws, including disclosure requirements, contract terms, and any local ordinances that may affect the sale of your home.

3. Poor Marketing Strategy:

Effective marketing is essential for attracting potential buyers and generating interest in your property. Many FSBO sellers make the mistake of neglecting marketing efforts or relying solely on traditional methods such as yard signs and classified ads. Take advantage of online platforms, social media channels, and professional photography to showcase your home to a wider audience and maximize its exposure.

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FAQs

Frequently asked questions

What is the MLS?

The Multiple Listing Service, or MLS, is a database used by real estate brokers to share information about properties for sale by sellers they represent to brokers who represent potential buyers.

What is a Flat Fee MLS listing?

A Flat Fee MLS listing is a service that allows homeowners like you to list their property on the local MLS for a flat fee rather than paying a traditional real estate agent's commission, which is typically a percentage of the sale price.

How does a Flat Fee MLS listing work?

You pay a one-time fee to have your property listed on the MLS database. This fee usually covers the cost of listing your property on the MLS for a specified period, often ranging from 6 months to a year. You retain the right to sell your home FSBO and handle the selling process yourself.

Why can’t I edit my Zillow listing after my property goes live on the MLS?

Once your home is listed on the MLS, websites like Zillow, Redfin, and Realtor.com automatically pull your listing data directly from the MLS.

Because of this MLS connection, Zillow removes homeowner editing access to avoid conflicting information online. This is a Zillow policy that applies to any home listed through the MLS — regardless of which agent or company lists it.

You can read Zillow's official policy here:
https://www.zillow.com/c/about-linking-and-claiming-listings/

Am I signing a listing agreement with ListLean?

No, you are not signing a traditional listing agreement with us. ListLean does not represent you as an agent. Instead, you are signing an MLS Entry Agreement, which is required to list your property on the MLS while staying compliant with board and MLS regulations. This agreement allows us to post your listing but does not establish an agent-client relationship. You still remain a For Sale By Owner (FSBO) seller, maintaining full control over your sale.

Do I need to provide photos and descriptions for my listing?

Yes. Try to provide high-quality photos and a detailed description of your property for the MLS listing. Remember, you want to get the best price for your home, so clear, well-lit photos and an accurate (non-puffed) description will go a long way towards generating interest for your house. We offer professional photography for an extra $250 because we know first impressions are the only ones that matter online in the age of swiping left.

Can I change the listing price or details after it's posted on the MLS?

Absolutely! Just email us anytime at team@listlean.com for any updates, changes, or open house requests.

For Open Houses, please send us:

  • Property Address (in the email subject line)
  • Open House Day(s)
  • Start & End Time

We ask for at least 48 hours’ notice so we can update the MLS properly. Once updated, Zillow and other websites will reflect those changes automatically within 24-48 hours.

How do showings and negotiations work with a Flat Fee MLS listing?

As the FSBO homeowner, you'll be responsible for scheduling and conducting showings with potential buyers. When you receive offers, you'll negotiate directly with the buyer or their agent. It's advisable to seek legal counsel or hire a real estate attorney to review any offers or contracts to ensure they're in your best interest.

What happens if my property doesn't sell during the listing period?

If your property doesn't sell during the initial listing period, you may have the option to renew your Flat Fee MLS listing for an additional fee.

Is ListLean a Licensed Broker?

Absolutely. ListLean LLC operates under Offercity Brokerage Inc, holding California CalBRE #02185966. As a licensed broker, we’re authorized to list your home on local MLS databases throughout California.