The Changing Landscape of Home Buyer’s Agent Compensation: What Physicians Need to Know

The real estate industry is undergoing significant changes regarding how home buyers compensate their agents. Traditionally, sellers covered the commissions for both the listing and buyer’s agents. However, a recent settlement by the National Association of Realtors (NAR) has opened the door for alternative payment models where buyers directly pay their agents through flat fees or hourly rates.

This shift could offer cost savings for home buyers, potentially amounting to $30 billion annually across the U.S. However, it also means buyers may need to take on additional responsibilities traditionally handled by agents, such as initial research and attending showings.

Starting in summer 2024, most sellers will no longer be obligated to provide upfront offers covering the buyer’s agent compensation. If sellers choose not to pay these commissions, buyers will need to negotiate and pay their agents directly.

While there may be challenges initially, such as sellers offering lower commissions deterring some buyer’s agents, analysts predict widespread adoption of these alternative models as the industry adapts.

The direct payment approach gives buyers more negotiating power and could enhance affordability by reducing excessive costs associated with home sales. Online listing platforms have already made the home search process more accessible.

Physicians looking to purchase homes may soon face these new payment models and should be prepared to either pay their agents directly through flat fees or assume additional responsibilities typically handled by agents in exchange for potential cost savings.


Camarda Wealth is a fee-only fiduciary advisory group providing Comprehensive Wealth Management to doctors, business owners, and families since 1993. Our extensively credentialed team, includes PhDs and the highly-regarded CFA® designation, provides Custom Full-Service Financial Planning on a Total Wealth Care™, fee-only, basis. This covers advice on investments aiming to not only grow your wealth but to preserve it by attempting to minimize big losses during the inevitable downturns, and advice on estate/trust, tax, retirement planning, as well as income generation, asset protection, business management/transition, and much more. All advice is on a strict fiduciary, no-commission basis. 

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