Buyer's Agent Commission Trends: What the Data Shows After New NAR Rules

Recent data indicates that the average commission for a buyer's agent has remained relatively stable at approximately 2.4% since new National Association of Realtors (NAR) rules took effect. While the national average shows minimal fluctuation, a deeper analysis reveals a significant divergence: commissions for luxury homes are trending downward, while commissions for more affordable homes are slightly increasing. Furthermore, survey data shows that a large percentage of buyers and sellers do not attempt to negotiate agent commissions, a critical factor in understanding how these fees are determined in the current market.

What Is the Current National Average for Buyer's Agent Commissions?

The buyer’s agent commission is a fee, typically a percentage of the home's sale price, paid by the home seller to the agent representing the buyer. According to an analysis of closed home sales data from Q1 2025, the average buyer's agent commission stands at 2.40%. This figure is slightly higher than the quarters immediately following the implementation of the new NAR rules in August 2024 (2.37% in Q4 2024 and 2.36% in Q3 2024) but is marginally lower than the 2.43% average from Q1 2024, before the rules were announced.

This stability at the national level suggests that, for now, the new regulations have not caused a dramatic, across-the-board shift in how buyer's agents are compensated. The rules, stemming from a legal settlement, primarily change how commission offers are communicated, moving them off the Multiple Listing Service (MLS) and requiring a written agreement between the buyer and their agent upfront.

How Do Buyer's Agent Commissions Differ by Home Price Point?

When examining the data by price tier, a clear and important trend emerges. The stability of the national average masks two opposing movements in different segments of the market.

As the table illustrates, the commission rate for luxury homes has seen a noticeable decline. For homes sold for $1 million or more, the average commission has dropped from 2.30% a year ago to 2.17%. In contrast, for the most affordable homes (those under $500,000), the average commission has actually increased to 2.49% from 2.48% a year ago. This divergence is often attributed to the higher absolute dollar amount of commissions on expensive homes, giving agents more flexibility to negotiate a lower percentage while still earning a significant fee.

Are Sellers Still Paying the Buyer's Agent Commission?

Based on industry reports, the majority of sellers are still choosing to pay the buyer’s agent commission despite the rule changes that no longer require such offers to be listed on the MLS. Anecdotal evidence from agents indicates that offering a competitive commission to the buyer's agent remains a common practice to attract more buyers and facilitate a smooth sale.

However, there are exceptions. Some sellers, particularly of new-construction homes in certain markets, are beginning to offer lower rates, such as 2%. The market climate also plays a role. In a balanced market, sellers often pay the commission to maximize buyer interest. In an extreme seller's market with intense bidding wars, sellers may feel empowered to offer little or no commission to the buyer's agent, potentially forcing buyers to cover that cost themselves. This scenario could disproportionately impact first-time buyers who are often already stretching their budgets.

How Often Do Buyers and Sellers Negotiate Commissions?

A critical factor influencing commission rates is negotiation. A Redfin-commissioned survey conducted by Ipsos in March-April 2025 reveals that a significant number of participants do not negotiate agent fees.

• Sellers: 45.9% of recent sellers did not try to negotiate the commission paid to their listing agent. Only 37.4% reported negotiating or attempting to negotiate.
• Buyers: An even larger portion, 47.8% of recent buyers, did not try to negotiate their agent's commission, with only 27.2% attempting to do so. This is likely because the buyer's commission is traditionally paid by the seller, so buyers may feel less direct incentive to negotiate.

This data highlights a potential area for consumer education. Understanding that commissions are not set by law and are often negotiable can empower both buyers and sellers in their real estate transactions.

In conclusion, the real estate landscape regarding commissions is experiencing nuanced shifts rather than a monolithic change. The key takeaways for consumers are:

• The national average commission is stable, but local trends and price points matter significantly.
• Commission rates are negotiable, and many consumers are not taking advantage of this.
• Buyers should have a clear written agreement with their agent outlining compensation, especially as seller-paid commissions may become less universal in certain market conditions.
• Sellers should view the buyer's agent commission as a strategic tool to attract buyers, particularly in slower markets.