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What Actually Changed With The New Commission Rules?

August 7, 2026

Two years ago, sweeping changes to how real estate agents get paid were supposed to upend homebuying and make it dramatically cheaper. Now that we are two years in, here is an honest look at what actually changed, and what did not. According to Redfin and Real Estate News, the changes stem from a major antitrust settlement involving the National Association of Realtors that took effect in 2024. The litigation is still playing out, with a ruling this week in which brokerages agreed to pay nearly $30 million to settle homebuyer claims.

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What actually changed with the new real estate commission rules?

Three concrete things changed under the NAR antitrust settlement that took effect in 2024. First, buyer-agent compensation can no longer be advertised on the listing databases (the MLS); previously an offer of payment to the buyer's agent was displayed right on the listing, and that is gone. Second, buyers must now sign a written representation agreement with their agent before touring homes, clearly stating how that agent will be paid. Third, commissions are explicitly negotiable, with no standard or default rate, and the arrangement must be disclosed in writing rather than assumed.

Did the commission changes make buying a home cheaper?

Not really, at least not so far. Despite predictions that commissions would collapse and homebuying would get much cheaper, multiple studies two years in have found that what buyers and sellers actually pay has changed very little. The most meaningful shift has been in transparency and process, not in overall cost. So the headline promise of dramatically cheaper transactions has not materialized in the numbers yet.

Are buyer's agents free now?

No. This is one of the most common myths. Buyer's agents still get paid; the payment is simply negotiated and disclosed rather than baked in automatically. What changed is that the compensation is now explicitly agreed to in writing between the buyer and their agent, instead of being quietly advertised on the listing. So a buyer's agent is not suddenly free, the money side is just more transparent.

Can sellers still pay the buyer's agent?

Yes. Another common myth is that sellers can no longer offer to pay the buyer's agent. In reality, sellers can still offer to cover the buyer-agent commission, and many do, because it can attract more buyers. That option did not disappear. What changed is that it is now a deliberate decision with tradeoffs rather than an automatic, advertised standard.

What is the NAR settlement and where does it stand?

The changes stem from a major antitrust settlement involving the National Association of Realtors that took effect in 2024, following claims about how buyer-agent commissions were set and displayed. The litigation is still playing out. As recently as this week, brokerages agreed to pay nearly $30 million to settle homebuyer claims, so the legal and financial fallout is ongoing even as the operational rule changes are already in effect.

What do the new commission rules mean for buyers and sellers?

If you are buying, you will sign a representation agreement upfront, so read it carefully and ask directly how your agent is paid, whether the seller may cover it, and what you owe if the seller does not. If you are selling, whether to offer buyer-agent compensation is now a genuine decision with tradeoffs, not an automatic step. In all cases the arrangement is negotiable and now in writing. If you are buying or selling in Staten Island or Brooklyn and want a plain-English walkthrough of how commissions work under the new rules, I am happy to explain exactly what you would pay and why.

Questions about how this affects your home in Staten Island or Brooklyn? Work with Joseph Ranola, or text or call (917) 905-2541. New episodes of Daily Tesla News break down the NYC real estate stories that move the market.

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