T
he impact of the NAR settlement on real estate agents goes beyond commission percentages. A survey of select professionals reveals a more complex landscape, marked by evolving consumer expectations, internal strain among agents, and growing education burdens.
Clients are pushing back against commission structures, with 42.6% of agents experiencing pushback since the settlement took effect. This tension is driven by confusion (13.9%), direct negotiation pressure (12.5%), misunderstandings about the NAR settlement (12.5%), and perceptions that commissions are too high (2.8%). A majority of comments were highly specific, illustrating the unpredictability of this new era.
Consumers are becoming more informed about commission structures, leading to more frequent negotiations and refusal to pay buy-side commissions. Agents report frustration with educating clients about their value proposition, citing confusion about commission rates and assumptions that they should work for free. Some respondents have lost deals due to commission disputes, highlighting the need for agents to adapt to new consumer expectations.
The primary areas of pushback revolve around buyers refusing or hesitating to pay commissions, sellers resisting offering buy-side commissions, increased difficulty in explaining and justifying commission rates, and deals being jeopardized due to commission disagreements. However, some positive takeaways include increased transparency leading to more open commission discussions, agents who clearly communicate their worth securing fair compensation, and the industry shift improving professionalism and strengthening client relationships.
Agent collaboration is also being tested, with 36% reporting a decrease in cooperation among peers since the rule changes. The remaining respondents report no change, but qualitative responses suggest uncertainty around roles, pay, and disclosures may be straining trust and teamwork.
The professionals behind the data work primarily in the middle-market range ($250K–$500K), which is the sweet spot of residential real estate. While commission percentages may still look familiar on paper, the daily experience of real estate agents is anything but. Agents who lead with education, transparency, and adaptability will have the clearest path forward as the market challenges their assumptions about commission models.
