Flashcard 14 - Practice and Disclosures Flashcard Set for the Real Estate License Exam

seller

In most real estate buyer agency arrangements, the buyer’s agent is typically paid by the seller through the commission offered by the listing agent. However, with guidelines effective as of August 2024, buyers may now be responsible for directly negotiating and paying their agent’s commission. This change increases transparency, allowing buyers to have more control over the terms of the compensation agreement with their agent. Despite this shift, the traditional model where the seller covers the buyer’s agent commission remains common.