Yes, a seller can refuse to pay a buyer's agent — as long as they haven’t already signed a contract agreeing to do so.
Following a 2024 settlement with the National Association of Realtors (NAR), seller's agents can no longer advertise buyer's agent compensation in their MLS listings. In the past, seller's agents were required to do this in order to list on the MLS.[1] Since 88% of homes sell via the MLS, this practice was widespread.[2]
Now, buyer's agent fees are negotiated directly between buyers and their agents. Buyers must also sign a written agreement that spells out the agent’s fee and services before touring homes.[3]
That said, many sellers still choose to cover the buyer’s agent fee as a seller concession. This can help attract more buyers and close deals faster. Refusing to offer it may limit buyer interest and make your home harder to sell.
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Can a seller refuse to pay commissions?
In most cases, sellers can't refuse to pay real estate commission if agreed upon in a contract.
If you've committed to paying the buyer's agent fee in a document like a signed purchase and sale agreement, you're legally bound to fulfill this obligation. Refusing to do so could lead to contract breaches and potential lawsuits.
For example, in South Carolina, sellers previously indicated the compensation for the buyer's agency in the contract under "3. Compensation to Other Brokerages." This section outlines the seller's obligation to pay the buyer's agent.
In new contracts following the NAR settlement, a field allows sellers to cover a specific dollar amount of the buyer's transaction costs, including agent commission:
If your contract doesn’t specify a commitment to paying the buyer’s agent commission — for instance, if the relevant fields are left blank or marked as 0% — you may avoid paying this fee altogether.
However, refusing to negotiate and pay a buyer’s agent commission could impact your home’s chances of selling. To navigate these changes effectively, consult a local real estate agent or attorney.
Do I have to pay buyer agent commission on a FSBO sale?
If you sell your house without a realtor, you won't pay a listing agent commission. But if your buyer has an agent (which is highly likely), you may still need to pay the buyer’s agent commission.
This fee is for the buyer's agent's service of bringing the buyer to your property, effectively aiding both the buyer and seller. The commission is typically 2.5–3% of the home's sale price, with a national average of 2.75%.
You won’t have to pay a buyer's agent fee if the buyer doesn’t use an agent. In that case, the transaction is usually handled directly between the buyer and seller, with help from real estate attorneys and a title company.
In rare cases, a buyer may choose to pay their agent out of pocket to make their offer more appealing. This is more likely in a strong seller’s market with limited inventory and lots of competition among buyers.
Do most buyers use agents?
Yes. Nearly 90% of home buyers use a real estate agent.[4] Among buyers who choose not to hire a realtor, 27% say it's because they already know the buyer, 22% feel they could handle the purchase themselves, and 21% think real estate commissions are too expensive.[5]
Who pays realtor commissions?
In most home sales, the seller pays real estate agent commissions for both the listing agent and the buyer's agent. This has been the standard practice for decades and is still how most transactions work today.
For example, on a $500,000 home sale, the seller may pay a total of 6% in realtor commissions, with 3% going to the listing agent and 3% to the buyer's agent.
| Rate | Dollar amount | |
|---|---|---|
| Listing agent commission | 3% | $15,000 |
| Buyer's agent commission | 3% | $15,000 |
| Total | 6% | $30,000 |
Sellers usually cover both commissions because it helps attract more buyers and protects the final sale price. If buyers have to pay their agent out of pocket, some may skip touring the home or submit lower offers to offset the cost, which can reduce demand and hurt the seller’s bottom line.
This setup was long reinforced by MLS rules that required listing agents to advertise buyer’s agent compensation. Those rules were eliminated after the 2024 NAR lawsuit. While the change technically shifted responsibility for the buyer’s agent fee to the buyer, the real-world impact has been limited.
Today, buyers must sign a buyer agency agreement that outlines their agent’s fee before touring homes. Even so, many sellers still cover that cost — now as a seller concession at closing rather than an upfront offer in the MLS. In most cases, the end result looks the same: the seller pays both commissions.
Commissions are paid from the home’s sale price at closing and go first to the agents’ brokerages, which then pay the individual agents. Each agent typically earns 2.5–3%, but rates aren’t fixed and can vary by market and negotiation.
Do buyers ever pay?
Historically, buyers rarely pay their agents out of pocket. Typically, the seller pays the agent's fee, deducted from the home's sale price. However, exceptions exist.
Most buyer's agency agreements include a clause to ensure the agent gets paid, even if the seller doesn't pay. For example, in North Carolina, a buyer's agency agreement may state that the buyer must pay the difference if the seller's compensation is lower than the agent's standard fee or if no compensation is offered.
While buyers are usually not directly responsible for these payments, they might be asked to cover the fee if the agent can't obtain it from the seller. This scenario is more of an exception than a rule in real estate transactions.
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