Buying a home already comes with a lot of paperwork. Since August 17, 2024, the U.S. market added one more layer that many buyers are still getting used to: you’ll likely be asked to sign a written buyer agreement before you tour homes, and the way buyer-agent compensation is discussed has become more direct and “on paper” earlier than before.
This new real estate commission rules buyer guide is written for buyers who feel stuck between mixed social media takes, half-explained agent conversations, and fear of “signing the wrong thing.” The goal is simple: help you understand what changed, what you should ask, and what’s negotiable, so you can move forward without confusion.
What actually changed (in plain words)
The settlement-related practice changes that buyers feel most are:
1) You’ll see a written buyer agreement earlier
Many buyers are surprised when an agent says, “Before we go see that home, we’ll need a signed agreement.” The reason is that MLS participants working with buyers are required to have a written agreement before touring a home (including live virtual tours).
2) Compensation isn’t “hidden in the MLS” the same way
Historically, a lot of buyer-agent compensation discussions happened indirectly. Now, offers of compensation are no longer communicated on the MLS in the same way, and compensation is handled through negotiation and the buyer agreement (and sometimes seller concessions, depending on the deal).
The important takeaway: money conversations are moving earlier, and buyers need to treat them like any other negotiated term—just like price, inspection credits, or closing timelines.
Why buyers are confused (and why it’s understandable)
Most confusion comes from three things:
- Old habits are still around. Some agents explain it clearly; others assume buyers already know.
- Online commentary is loud. A lot of people speak in absolutes (“buyers now pay everything” / “nothing changed”). Real transactions are rarely that clean.
- Every market and state has its own contracts and customs. The rule framework is national, but paperwork and typical practices vary.
So if you’re feeling unsure, that’s normal. The answer is not to avoid agreements; it’s to understand what you’re signing and what you can negotiate.
The written buyer agreement: what it is and what it’s not
A written buyer agreement is a contract that defines the working relationship between you and your buyer’s agent (or broker). The agreement typically spells out:
- Services the agent will provide (showings, negotiations, offer strategy, coordination)
- Duration (start and end date)
- Location scope (a city/region, or property type)
- Compensation terms (how the agent gets paid, and how much)
What it is not: a trap that removes your rights. You can negotiate it. You can ask for changes. You can ask for a shorter term. You can ask for a narrower scope.
If an agent won’t explain it line-by-line, treat that as a serious signal.
The money part: what “buyer-agent compensation” can look like now
The cleanest way to think about compensation is this:
Your buyer agreement should clearly state what your agent expects to be paid, and how that payment will be handled.
Common structures buyers may see:
Option A: Seller credit or concession covers it (fully or partly)
In some deals, the seller may offer concessions that can help cover buyer costs. Depending on the structure and what’s permitted in that transaction, concessions can sometimes be used to help with compensation, but it’s negotiated and not assumed.
Option B: You pay directly
This can be a flat fee, hourly, or a percentage structure (varies by brokerage). Buyers may negotiate this based on service level, price range, complexity, and how competitive the market is.
Option C: A hybrid
Part paid through negotiated seller concessions, and part paid directly by the buyer.
None of these options is automatically “right” for every buyer. What matters is clarity before you tour, so you don’t get surprised at offer time.
The 10 questions you should ask before you sign anything
Use these as your checklist. A professional agent should answer comfortably.
- What services are included in this agreement?
- What exactly is the compensation amount, and how is it calculated?
- Is it a flat fee, percentage, hourly, or something else?
- If the seller offers concessions, how does that affect what I pay?
- If I don’t buy a home, do I owe anything? Under what conditions?
- How long is the agreement? Can we make it shorter?
- What area and property types does it cover?
- What happens if I want to switch agents or terminate?
- Does this agreement apply to open houses or new construction?
- Can you show me where each of these points is written in the contract?
A buyer who asks these questions doesn’t look “difficult.” They look serious—and that usually improves the quality of service you get.
Negotiation realities buyers should know
“Commission is negotiable” is not just a slogan
Compensation terms are negotiated. The agreement is a contract. Contracts can be revised before signing.
Shorter agreements are reasonable
If you’re testing fit, ask for something like:
- 7–14 days for initial tours
- A limited neighborhood scope
- A single property type (condos only, for example)
Scope matters more than people realize
A broad agreement can accidentally cover situations you didn’t expect (like a property you found yourself, or a builder community). Ask for clarity and, if needed, carve-outs.
Ask what happens with “properties already in your pipeline”
If you’ve already toured homes with a different agent, or you’re in early talks with a builder, disclose it and make sure the agreement doesn’t create conflict.
Touring homes now comes with an extra step: plan for it
Because agreements may be required before touring, buyers should expect one of these flows:
- Quick consult call → agreement explained → sign → tours
- First meeting in person → review terms → sign → tours
- Live virtual tour request → sign before the tour
If you want speed, do the paperwork early—but do it thoughtfully, not blindly.
What this means for first-time buyers vs. experienced buyers
First-time buyers
You’ll benefit from:
- A clear service menu
- Transparent compensation expectations
- A short trial agreement until trust is built
Experienced buyers
You may prefer:
- A flat fee or hybrid model (depending on complexity)
- A narrow scope agreement for specific neighborhoods
- Fast turnaround and fewer hand-holding services
The agreement should match your needs, not force you into a one-size plan.
A simple red-flag list (don’t ignore these)
Pause and reconsider if:
- The agent says, “Everyone signs this, it’s standard,” but won’t explain it.
- Compensation is described vaguely or feels open-ended.
- The agreement term is long with no reasonable exit.
- The agreement scope is extremely broad without clear boundaries.
- You feel rushed or pressured to sign on the spot.
Buying property is a major decision. Rushing the agreement stage usually creates bigger issues later.
If you’re a Pakistan-based buyer looking at U.S. property
Many overseas Pakistanis look at U.S. markets for residency plans, family needs, or rental yield. These new commission rules mainly impact process and paperwork—not your ability to buy.
What you should do differently:
- Ask for the agreement in advance and review it calmly.
- Make sure compensation expectations are clear in writing.
- Keep your offer strategy aligned with your financing and closing plan.
If you’re buying in Pakistan instead (Islamabad/Rawalpindi), commission structures and brokerage practices differ, but the principle still helps: clarity early prevents disputes later.
For Pakistan buyers who want verified listing context and clearer agent coordination, start your shortlisting and comparisons through Property AI: https://propertyai.pk/
Where Property AI fits in (without the noise)
Property AI can help you reduce confusion at the earliest stage—before you’re deep in agent conversations—by helping you structure your search, shortlist smarter, and keep your requirements documented.
That matters because the new reality in many markets is: you’ll be asked about commitment and compensation earlier. If you’re organized, you negotiate better.
FAQs
1) What is the new real estate commission rules buyer guide trying to solve for buyers?
It helps buyers understand why written agreements show up earlier, how compensation is discussed now, and what questions to ask so they don’t sign terms they don’t understand.
2) Do I have to sign a buyer agreement before touring a home?
In many MLS contexts tied to the settlement practice changes, MLS participants working with buyers are required to have a written agreement before touring a home, including live virtual tours.
3) Does the new real estate commission rules buyer guide mean buyers always pay the agent now?
Not always. Compensation can be negotiated in different ways, including scenarios involving seller concessions, depending on the transaction and agreements. The key is that it’s discussed more directly and earlier.
4) Can I negotiate the buyer agreement terms and compensation?
Yes. The agreement is a contract, and buyers can negotiate compensation structure, term length, scope, and exit conditions.
5) What should I check first in any buyer agreement?
Start with compensation amount and structure, term length, geographic/property scope, and termination conditions—then confirm the services you’re receiving match what you’re paying.
Disclaimer
This article is for general informational purposes and does not replace legal advice, brokerage advice, or state-specific contract guidance. Always review documents carefully and consult qualified professionals for your situation.
