Washington guide

MLS Commission Advertising Rules Post-NAR Settlement in Washington

Washington home listings on the MLS can no longer advertise how much a seller will pay your buyer's agent, a change tied to the NAR settlement that took effect August 17, 2024.

Reading as buyer.

TL;DR

Washington home listings on the can no longer advertise how much a seller will pay your buyer's agent, a change tied to the settlement that took effect August 17, 2024. You should sign a written agreement with your buyer's agent that spells out their fee before you tour your first home. Sellers can still help cover that fee, but it now gets negotiated directly inside your offer instead of being pre-listed on the .

Before you start — 7 things to know

  • Washington listings on the NWMLS can no longer show an offer of compensation to a buyer's agent, because the settlement bans that field on the as of August 17, 2024.

  • Before touring homes in Washington, you must sign a written buyer brokerage agreement that states exactly how much your agent will be paid and who is expected to pay it.

  • Sellers in Washington can still agree to pay or contribute toward your buyer's agent fee, but that offer now happens through direct negotiation or inside the purchase and sale agreement instead of being advertised on the .

  • If a Washington seller will not cover your buyer's agent fee, you are responsible for paying the difference yourself out of your own funds at closing.

  • A seller concession written into the purchase and sale agreement is one common way Washington buyers cover their agent's fee, since the buyer can direct that concession toward the buyer-agent commission.

  • Commission rates in Washington are not standardized and every buyer's agent fee is negotiable, so ask any agent how they get paid and whether they will reduce their fee if the seller covers less than what you signed for.

  • Your buyer-agent fee can be a flat dollar amount, an hourly rate, or a percentage of the purchase price, but the amount must be written into your buyer brokerage agreement before you tour a home.

The timeline — step by step

  1. Interview Washington buyer's agents and ask each one in writing how much they charge and how they want to be paid.

  2. Sign a written buyer brokerage agreement with your chosen Washington agent before the first home tour, and make sure it lists the exact compensation amount.

  3. When you write an offer on a Washington home, ask your agent to add a line in the purchase and sale agreement requesting the seller contribute toward your buyer-agent fee.

  4. Negotiate the seller contribution toward your buyer-agent fee as part of the back-and-forth on price and terms, since the no longer advertises any pre-set offer of compensation.

  5. Review the final purchase and sale agreement to confirm any seller-paid buyer-agent fee or seller concession is written into the contract.

  6. At closing in Washington, review the settlement statement to confirm your buyer-agent fee was paid as agreed and that any seller concession applied correctly.

Common questions

Why can't I see the buyer-agent commission on a Washington [[MLS]] listing anymore?
As of August 17, 2024, the settlement bans listings on any , including Washington's NWMLS, from showing an offer of compensation to a buyer's agent. The amount must now be negotiated outside the or inside the purchase and sale agreement.
Do Washington buyers now have to pay their own agent out of pocket?
Not always. Washington sellers can still agree to cover all or part of your buyer-agent fee, but that has to be negotiated in your offer rather than promised on the up front. If the seller will not cover the full amount, you pay the gap yourself.
When do I have to sign a buyer brokerage agreement in Washington?
You must sign a written buyer brokerage agreement before your Washington agent shows you a home, even on the first tour. The agreement must state exactly what your agent will be paid and who is expected to pay it.
Can I ask the Washington seller to cover my buyer-agent fee in the offer?
Yes. Your offer can include a line asking the seller to pay a flat dollar amount or percentage toward your buyer-agent fee, or a seller concession you can direct toward that fee. The seller can accept, counter, or refuse it.
Is the buyer-agent commission still standardized in Washington?
No. Every buyer-agent fee in Washington is independently negotiated between you and your agent. There is no standard rate, and any agent who claims one is creating an antitrust risk under the settlement framework.
What happens if the seller offers less than what I owe my Washington buyer's agent?
You are responsible for the difference under your buyer brokerage agreement. You can try to renegotiate the price, ask for a larger seller concession, or ask your agent to reduce the fee, but if none of those work you pay the gap at closing.

Glossary

2 terms
NAR — National Association of Realtors
The national trade group for real-estate agents. The 2024 NAR settlement is the legal deal that changed how buyer's agents get paid.
MLS — Multiple Listing Service
The shared database agents use to list and find homes for sale. Most homes you'll see online started here.

Sources

  1. [1]
  2. [2]

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