8 Things That Changed for Home Buyers After the NAR Settlement | BuyUnrepped

The NAR settlement was called the biggest shake-up in real estate in decades. The reality is more nuanced, some things changed dramatically, some barely moved, and one surprise went the wrong direction entirely.

This is the fast-reference version: eight specific changes, in plain English, with the numbers that matter for Tennessee buyers. For the full breakdown of the settlement history and the pending Eighth Circuit appeal, see our complete guide or our Tennessee buyer's NAR settlement guide.^1,2

Effective August 17, 2024, here's what actually changed.

The 8 Changes, At a Glance

Here are the eight specific things that took effect, and why each one matters if you're buying in Tennessee.

#	What Changed
1	You must sign a buyer-broker agreement before touring homes
2	MLS listings no longer show commission offers to buyer agents
3	Buyers now negotiate agent compensation directly
4	Sellers can still offer to pay buyer agents, just off the MLS
5	Seller concessions (closing cost credits) are still on the table
6	Unrepresented buyers gained more leverage
7	Tennessee buyers were already ahead of the curve
8	Commissions didn't fall, and what 2026 may bring

#1: You Must Sign a Buyer-Broker Agreement Before Touring Homes

Before an agent can show you a single property, in person or via live virtual tour, they must have a signed written agreement in place. This requirement took effect August 17, 2024, nationwide.¹

The agreement must include:^1,2

A specific compensation amount: a dollar figure or percentage, not a vague range like "2–3%"
A conspicuous statement that commissions are fully negotiable and not set by law
A cap prohibiting the agent from receiving more than the agreed-upon amount from any source

One important exception: if you're simply walking through an open house on your own, no agreement is required. The agent hosting the open house is there at the seller's direction, not yours.⁴

NAR's own consumer guidance puts it plainly: "You are in the driver's seat with these agreements, which are fully negotiable."⁴ Before you sign, negotiate the fee amount, the term length (push for 30–90 days rather than six months), and the scope of services you're actually receiving.

For a clause-by-clause breakdown of what to watch before you sign, see our buyer-broker agreement guide.

#2: Commission Offers Disappeared from MLS Listings

Before August 17, 2024, every MLS listing displayed how much the seller would pay a buyer's agent, typically 2.5–3%. Every agent in the country could see it, and it was treated as a given.¹

That's gone. All compensation fields were stripped from MLS data feeds, consumer-facing listings, and MLS products. Commission offers are now prohibited from appearing anywhere in MLS listings.¹

The practical consequence: buyers and their agents can no longer assume the seller is offering compensation. You have to ask.⁵

Tip: Before scheduling a private showing, call or email the listing agent directly. Ask whether the seller is offering any buyer-agent compensation, how much, and how it's structured. Don't assume the answer is yes, and don't assume the answer is no.

#3: Buyers Now Negotiate Agent Compensation Directly

Under the old system, sellers set buyer-agent compensation and baked it into the listing price. Most buyers never saw it, questioned it, or negotiated it.

Now, buyer-agent compensation is negotiated directly between the buyer and their agent in a written agreement, entirely separate from any negotiation with the seller.

Here's what the data shows after 18 months under the new rules:

Buyer-agent commissions dipped to 2.36% right after the settlement (Q3 2024), then rebounded to 2.43% nationally by Q2 2025, essentially back to pre-settlement levels.⁶
For homes under $500K, the rate hit 2.52% in Q2 2025, the highest since Q3 2023.⁶
Only 27.2% of recent buyers negotiated or tried to negotiate their agent's fee. 47.8% didn't try at all.¹¹

Tennessee's average buyer-agent rate sits at 3.10%: well above the 2.43% national average.⁸ On a $386,700 Tennessee median-priced home, that's $11,988. Discuss compensation in dollar amounts, not percentages. Propose a flat fee. The new rules make this conversation expected, not awkward.

See the full commission cost breakdown by Tennessee market in our buyer agent commissions guide. Our guide to buyer agent costs in Tennessee goes deeper on what you actually get for that fee.

#4: Sellers Can Still Offer to Pay Buyer Agents, Just Not on the MLS

This is the most widely misunderstood point of the settlement. The new rule bans commission offers on the MLS. It does not ban sellers from offering buyer-agent compensation entirely.⁵

Sellers still offer buyer-agent compensation through off-MLS channels: flyers, emails, brokerage websites, direct communication with listing agents, and the purchase contract itself. Many Tennessee sellers continue to offer it, especially in price ranges targeting first-time buyers.²

What changed is the default assumption. You used to be able to see it on every listing. Now you have to ask.

Allowed	Prohibited
Seller offers compensation off-MLS (flyers, emails, direct negotiation)	Compensation offers displayed on MLS listings
Seller concessions for closing costs shown on MLS	MLS fields for buyer-agent commission amounts
Negotiating compensation into the purchase contract	Filtering MLS listings based on compensation offered

#5: Seller Concessions (Closing Cost Credits) Are Still On the Table

Seller concessions, credits the seller pays toward your closing costs, were never part of the commission ban. They remain fully negotiable and can still appear on MLS listings.⁵

Concessions cover buyer closing costs: loan origination fees, title fees, prepaid property taxes, homeowner's insurance, and mortgage rate buydowns. They are legally distinct from buyer-agent compensation. One important rule: any MLS-advertised concession cannot be conditioned on using a specific buyer's agent, which means unrepresented buyers have equal access.⁵

One more critical detail Fannie Mae and Freddie Mac confirmed: seller-paid buyer-agent compensation is exempt from interested party contribution (IPC) caps. Commissions and concessions are two separate buckets, paying your agent doesn't eat into the closing cost credit limits for your loan type.³

Tennessee's current market makes concession requests increasingly realistic. As of February 2026, the state has roughly 5 months of supply, 39,356 homes for sale (up 7% year-over-year), and 61.8% of sales closing below list price.¹⁰ Requesting 3% in concessions, about $11,600 on the Tennessee median, is a reasonable ask in most markets right now. On an FHA loan, you can request up to 6%.

For loan-type concession limits and negotiation tactics, see our Tennessee seller concessions guide.

#6: Unrepresented Buyers Gained More Leverage

The structural change matters here. When buyer-agent compensation was advertised on every MLS listing, unrepresented buyers showed up to listings that already had a 2.5–3% commission priced in for an agent they weren't using. That money just stayed with the seller.

Now, because the automatic assumption is gone, unrepresented buyers can negotiate directly with the listing agent and explicitly redirect what would have been a buyer-agent commission toward a price reduction or closing cost concession.¹²

A few things worth knowing if you're considering this path:

Listing agents cannot refuse to present your offer. NAR's Code of Ethics requires presenting all offers to the seller unless the seller has a written policy against it, and blanket policies against unrepresented buyers carry fair housing risks.
A real estate attorney ($500–$1,500 flat fee) handles contract review, negotiation, and closing representation for a fraction of the cost of a full commission. Tennessee doesn't require one at closing, but for unrepresented buyers it's the most important hire you'll make.
71% of active real estate agents did not close a single home sale in 2024, according to a Redfin survey. If you do hire an agent, vet them on actual transaction volume, not just reviews.

If you're considering going without an agent, see our complete step-by-step guide to buying unrepresented in Tennessee. And see how much you could save on your specific purchase.

#7: Tennessee Buyers Were Already Ahead of the Curve

Here's what most Tennessee buyers don't realize: the settlement nationalized what Tennessee already required.

Written buyer representation agreements have been standard practice for Tennessee brokers for years, long before the August 2024 national mandate. Greater Nashville REALTORS called the changes "business as usual" for the state.⁷ TREC Rule 1260-02-.36 has required written exclusive buyer representation agreements since October 2006, nearly two decades before other states were required to catch up.

For Tennessee buyers, the paperwork side isn't new. The real shift is financial transparency and the new expectation to negotiate compensation openly.

Two Tennessee-specific dynamics make that negotiation especially high-stakes:

Tennessee's commission rates are above average. At 3.10% for buyer's agents versus 2.43% nationally, there's more to save per transaction here than in most states.⁸
Tennessee's no-income-tax status keeps attracting buyers. Ongoing in-migration from California, Illinois, and Georgia, particularly into Nashville and Knoxville, sustains demand and adds competitive pressure, especially in those markets.¹⁰

The opportunity is proportionally larger in Tennessee. So is the cost of not negotiating.

#8: Commissions Didn't Fall, And What to Watch in 2026

This is the counterintuitive outcome: the settlement was expected to drive buyer-agent commissions down. It didn't.

After dipping briefly to 2.36% immediately post-settlement (Q3 2024), buyer-agent commissions rebounded to 2.43% nationally by Q2 2025, back to pre-settlement levels. The average combined commission rate (buyer's agent plus seller's agent) actually rose from 5.32% to 5.44% in the year following the settlement.^6,11 Market forces, specifically, sellers needing to attract buyers in a competitive environment, kept rates stable and pushed them back up.

The system adapted. The transparency is real. The automatic savings are not.

What to watch in 2026:

Eighth Circuit ruling (expected late summer/fall 2026). The appeals court heard oral arguments on January 14, 2026. A reversal is considered unlikely, but a ruling against the settlement could reshape the landscape. Current rule changes remain fully in force during the appeal.⁹
DOJ antitrust investigation. The Department of Justice maintains an active investigation into NAR practices. Additional regulatory changes could follow independent of the settlement outcome.⁹

Don't wait for the market to lower commissions on your behalf. The buyers who save are the ones who negotiate, or skip the full-commission agent entirely. Our post on when you don't need a buyer's agent breaks down exactly who those buyers are.

How BuyUnrepped Helps

The settlement created transparency. It didn't create savings. Those are two different things.

Tennessee makes the distinction even sharper: the state is one of only 10 where commission rebates are illegal. You can't hire an agent and get money back. You either negotiate hard upfront, or you skip the full-commission agent entirely. There's no middle path.

BuyUnrepped is built for Tennessee buyers who want professional support without the percentage-based price tag, not a 3.10% commission on a $386,700 home (~$11,988), but a flat fee with:

State-approved Tennessee purchase agreement templates so your contracts protect you
Step-by-step closing coordination so nothing falls through the cracks
Comparable sales data and closing cost calculator to replace the research an agent would provide
Expert support when you need it: at a fraction of the traditional commission

The settlement made commissions visible. BuyUnrepped makes them optional.

See how much you could save or check out our pricing to get started. Have questions? Reach out to our team, we're happy to help.

Eight changes, one clear opportunity. The settlement didn't lower the bar automatically, commissions are up, not down. But the rules now work in your favor: you know what you're paying before you sign anything, concessions are still on the table, and going without a full-commission agent is more viable in Tennessee than ever before.

See how much you could save on your specific purchase →

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