All eyes are on buyer agent commissions after the NAR lawsuit settlement – which, so far, have remained unchanged.

Why it matters: The commission settlement changed the mechanics of buyer agency, giving consumers more choice with agents competing on value; the buyer agent commission is a reflection of that value.

• This data is from the nation’s largest brokerages and represents about 55,000 closed transactions per month – or about 17 percent of the market.

Dig deeper: There has been no change in average buyer agent commissions since the settlement took effect in August 2024.

• Historically, buyer agent commissions fluctuate based on a variety of factors including overall market conditions and seasonality.
   

• For reference, the 0.06% annual decrease in the chart above equates to $245 on a median-priced, $409,000 home.
   

• This data is national and figures will vary by market; the specific number is less important than the vector of change over time.

The bottom line: A big part of the commission lawsuits was about consumer choice; replacing a default path with more transparency and more choice around buyer agent compensation.

• The evidence to-date doesn’t support the hype around this being a seismic shift in the industry – consumers still value a buyer agent the same as before.
   

• It’s still early days and things may change in the future, but this is an important benchmark to set and an important foundational change for the industry.