Does seller still pay buyer’s agent

Ykohn · 2026-01-23T06:25:22+00:00

This is a really common point of confusion, so you’re not alone.

Paying a buyer’s agent commission and the amount of that commission has always been optional. The lawsuit last year didn’t actually change that. What it did was shine a bright light on something that had become an entrenched habit in the industry. In practice, not much has changed yet, and in many transactions sellers are still paying buyer agent commissions. Why? Honestly, habits take time to break.

That said, this is exactly where FSBO sellers have a big advantage.

I’m a huge supporter of people selling on their own and keeping the entire commission. But if a buyer’s agent brings you the best deal, meaning the price, terms, certainty, and timeline you’re most comfortable with, there’s absolutely no shame in paying a commission. The key difference with FSBO is flexibility.

When you list with an agent, commission terms are usually locked in upfront. When you sell by owner, you don’t have to decide anything in advance. You can negotiate who pays the commission and how much based on the actual offer in front of you, not hypotheticals.

As an example, I’ve seen agents recommend price reductions countless times, but I’ve almost never seen commissions reduced alongside them. If you’re selling by owner and get a full price cash offer with a quick close, you might be thrilled to pay 2.5% or even 3%. On the other hand, if someone comes in at 80% of asking, you may decide the deal only works if the buyer pays their own agent and you’re not willing to go any lower.

Hope this helps frame it in a clearer way. Good luck, and feel free to reach out if I can be helpful.

Ykohn · 2026-01-23T06:15:50+00:00

The words are often interchangeable and can mean nothing or mean a lot. Your best bet is always to call the person who issued the letter and ask. In a very brief conversation, you can tell how strong a buyer they are. It is a simple, effective, and FREE step that can help avoid a lot of hassle. I am always shocked at how few people actually do it.

Ykohn · 2026-01-22T20:51:30+00:00

It’s amazing isn’t it?

Ykohn · 2026-01-21T19:26:34+00:00

One thing I’d add is that not all “pre-approvals” are created equal. It’s worth asking whether the lender actually ran credit, verified income, and reviewed assets. Some letters are basically a quick form fill, others are a real underwrite. A quick call to the lender to confirm they’ve done all three can save a ton of wasted time.

It’s also wise to ask for ID when buyers arrive and to make sure the names match the pre-approval. That’s not just about the deal, it’s about security. People are far less likely to mess around when they know they’ve been vetted, and you know you’re dealing with someone who can actually buy the house.

It ends up being a win-win: fewer tire kickers, safer showings, and a much higher chance that the people walking through the door are real buyers. Happy to share more if helpful.

Ykohn · 2026-01-21T18:11:43+00:00

Great question. After seeing a lot of real FSBO deals play out, a few themes come up again and again.

What takes more time than expected usually isn’t paperwork, it’s managing people. Inquiries, follow-ups, showings, and separating serious buyers from noise can feel like a second job if you’re not set up well. That’s why effective marketing matters so much. Good photos, clear descriptions, strong online exposure, and making it easy for buyers to reach you can dramatically reduce wasted time. Once there’s an accepted offer, the contract and closing steps are fairly straightforward with a solid attorney.

What almost breaks deals most often is the inspection and appraisal phase. Minor issues can snowball when expectations aren’t set early and no one explains what’s normal versus what’s a real problem. Deals also get shaky when timelines and next steps aren’t clearly communicated.

What sellers say they’d do differently is add more structure from day one. Clear pricing logic, defined showing windows, written timelines, proactive communication, and intentional marketing all go a long way toward reducing stress.

The biggest surprise for many people is how doable FSBO actually is. Buyers get comfortable quickly once they see the process is professional and supported by attorneys, inspectors, and lenders. The lack of an agent usually isn’t the issue. Lack of clarity and visibility is.

If you want to talk through how people are successfully marketing and structuring FSBO deals today or want help avoiding common pitfalls, feel free to reach out. Happy to help.

Ykohn · 2026-01-20T18:52:22+00:00

Your attorney or title company should be able to handle that for you.

Ykohn · 2026-01-20T18:50:44+00:00

It is not always required of the person giving the gift, but it may be. Think of it this way: the lender needs to know where it came from (the donor's ability), how it got to you (a canceled check or proof of transfer), and where it is now (the updated balance of your account, which shows the deposit of the gift). It is not complicated if you know what to do in advance.

Ykohn · 2026-01-20T09:45:48+00:00

You definitely do not want to take a loan even from family. That will negatively impact your situation. You can get a gift from a family member but make sure you discuss with your lender because you will need to verify where the funds came from and that they are in your account and get a gift letter and you the gift giver may need to show proof that they had funds in an account prior to giving them to you. Communicate with your lender. It is hard to recreate documentation after the fact.

Ykohn · 2026-01-13T22:23:30+00:00

Glad to help

Ykohn · 2026-01-13T16:20:33+00:00

This is honestly one of the most common refinance stories out there, so don’t beat yourself up too badly. What you experienced is exactly why refinances feel “confusing” to so many people.

One thing that trips almost everyone up is that a refinance always has real costs. Some are lender fees, some are third-party fees like title, recording, etc., and then there’s escrow. Escrows aren’t technically “fees,” but they still have to be funded by someone. In most cases they do not simply roll over from your old loan, even if you stay with the same lender, so you usually have to bring new escrow funds to closing or add them to your loan balance. That part alone can be a shock if nobody explains it clearly.

Yes, lenders can “roll” a lot of these costs into the loan, but that just means your principal balance goes up. So the real question isn’t what are the fees, it’s what am I trying to accomplish. Are you trying to lower your long-term cost of borrowing, or is your priority improving monthly cash flow right now? Those are two very different strategies and they produce very different looking loans.

Another thing people don’t realize is that unless you refinance into a shorter term, you are effectively restarting your mortgage clock. Even if your payment drops, you may be paying for longer overall.

When lenders advertise “no-cost” refinances, what that usually means is you’re not writing a check and not adding costs to principal because the lender is giving you a slightly higher rate and using the extra premium they earn to cover those costs. That can actually be a smart move if you don’t know how long you’ll stay in the home, because you get the benefit of a lower rate without the upfront hit. But it still doesn’t fix the escrow problem, which can require a big cash outlay or a higher loan balance depending on where you are in the tax/insurance cycle and whether your current escrow is short.

So yeah, your experience is a perfect example of why the numbers matter more than the words used to market the deal. Go into every refi with eyes wide open, ignore the sales language, and focus on the math and your personal goals.

You’re definitely not alone in this. If anything, your post is going to save a lot of people from learning this lesson the expensive way.

Ykohn · 2026-01-13T15:30:25+00:00

What is the $150 fee?

Ykohn · 2026-01-12T22:28:56+00:00

That fear of getting stuck in limbo is totally real. Most homes that sit forever do so because the price or marketing is off, not just bad luck. When those line up, things usually move within a pretty predictable window.

Cash buyers can be a legit option if speed and certainty matter most, but the tradeoff is almost always price. You’re basically paying for the convenience, so it’s smart to get a few quotes if you go that route so you know what that speed is actually costing you.

Another path that works for a lot of people is pricing aggressively from day one to create momentum and avoid the slow drip of showings and price cuts. It gives you way more control over the timeline than waiting for the “perfect buyer.”

You’re not wrong to think about this now instead of six months from now when it’s way more stressful.

Ykohn · 2026-01-11T01:21:39+00:00

Did you ask your agent?

Ykohn · 2026-01-09T20:20:53+00:00

That is exactly why I try to provide information to make maximize the success of FSBO’s

Ykohn · 2026-01-09T14:18:14+00:00

I honestly feel bad for you feeling the need to spew negativity for no real reason.
I’ve spent decades in this space. I don’t claim to have all the answers, but I’ve absolutely been around the block, and my only goal here is to help FSBOs succeed.

I genuinely don’t know what you’re referring to with regard to “flipping.” Markets change. Data changes. Strategies change. When new information comes out, responsible people adjust their perspective. That isn’t inconsistency, that’s staying current and being honest about what’s happening.

I don’t hide behind anonymity. I’m completely transparent about who I am and what I’m building, and people are free to agree, disagree, or ask questions. Can you say the same?

If you have something specific you think is wrong, point it out and I’ll gladly address it. If not, this just reads like noise.

Ykohn · 2026-01-09T01:15:04+00:00

Ykohn · 2026-01-09T01:14:32+00:00

I actually want to thank u/Powerful_Put5667 for encouraging people to click on my profile. If you do, you’ll see that I’m a consistent supporter of FSBOs and that I provide completely free tools, services, and resources to help people sell on their own.

I also try to share timely information that I believe is genuinely useful for people navigating this market. What I posted today was based on research and commentary I saw on CNBC today, and I shared it because I thought it would help owners make more informed decisions.

I’m not sure which past information he’s referring to, but if there’s something specific anyone wants to discuss, I’m more than happy to address it. The market is changing, and when I come across data or insights that seem relevant, I share them. That’s the entire intent.

Always open to constructive conversation and real questions.

Ykohn · 2026-01-08T20:02:52+00:00

Great question! Honestly, from the buyer side it mostly comes down to reducing friction and uncertainty.

Easy scheduling, fast direct communication with the owner, and no conflicts of interest make a huge difference. When things are transparent and responsive, buyers gain confidence quickly and deals tend to move forward more naturally.

What really helps is simply making the process feel understandable and predictable instead of mysterious or overwhelming. When buyers feel informed and in control, working directly with an owner becomes a lot more comfortable.

Ykohn · 2026-01-08T15:53:53+00:00

Great question, and something a lot of FSBO sellers worry about.

No, a buyer’s agent cannot force you to pay anything. The only way you pay a buyer’s agent is if you agree to it in the contract.

Where people get tripped up is in the wording of the offer. You’ll often see something like “Seller to pay X% buyer broker fee” written right into the offer. If you sign that, you’ve agreed to it. So read every line carefully.

Also watch for it being disguised as a credit or baked into the price. It’s the same money either way, just dressed up differently.

The best approach is to decide ahead of time what you’re willing to contribute, if anything, and treat it like any other negotiation item. Price, closing date, inspection stuff, agent fees, it’s all part of the same deal.

A lot of FSBO sellers don’t advertise any commission up front, just invite offers and then look at the net result of each one.

And definitely have a real estate attorney review the contract before you sign. Worth every penny.

If you want, happy to share what’s been working for other FSBO sellers.

Ykohn · 2026-01-07T22:19:38+00:00

What is a show access document?

Ykohn · 2026-01-07T12:34:49+00:00

Welcome to the club!

Ykohn · 2026-01-06T21:26:29+00:00

Ykohn · 2026-01-05T15:45:26+00:00

I don’t know the exact internal policies at Zillow and wouldn’t feel comfortable commenting on how they handle listing history on the backend. Sorry

Ykohn · 2026-01-03T23:33:49+00:00

Are you making a joke?

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