The real estate industry went through one of its most significant structural shifts in decades when the National Association of Realtors reached its landmark settlement agreement. The changes that followed have affected how agents work with buyers, how compensation is discussed and disclosed, and how the agent-client relationship is established from the very first conversation.
If you are a real estate agent working in the greater Philadelphia area — in Montgomery County, Bucks County, Delaware County, Chester County, or Philadelphia proper — and you are still not fully clear on what the settlement means for your day-to-day practice, you are not alone. But you need to get clear, because the agents who understand these changes are serving their clients better and winning more business because of it.
Here is what you need to know.
What Did the NAR Settlement Actually Change?
The settlement, which took effect in August 2024, made two principal changes to how real estate is practiced in the United States:
First: Buyer's agent compensation can no longer be offered through the MLS. Sellers are no longer required to offer compensation to a buyer's agent through the listing, and that offer — when it exists — cannot be communicated via MLS fields.
Second: Agents working with buyers must have a written buyer-broker agreement in place before touring homes. This agreement must specify how the agent will be compensated and must be agreed to by the buyer before the working relationship begins.
These changes did not eliminate buyer agent compensation. They changed how it is discussed, negotiated, and documented.
How Are Buyer Agents Getting Paid in 2026?
Buyer agent compensation in the post-settlement landscape works through several mechanisms:
Seller-offered compensation: Sellers can still offer compensation to a buyer's agent — they just cannot do it via MLS. This offer can be communicated outside the MLS, through listing marketing, through direct agent-to-agent communication, or through the purchase agreement itself.
Buyer-paid compensation: Buyers can agree to pay their agent directly, either as a flat fee, a percentage, or a hybrid. This is specified in the buyer-broker agreement.
Seller concessions: Buyers can request that sellers cover their agent's compensation as part of the offer — either as a direct concession or through a higher purchase price that accounts for the closing cost.
In practice, many transactions in the greater Philadelphia market are continuing to work in ways that are functionally similar to the pre-settlement era — but with explicit documentation and conversation that were not previously required.
What Does This Mean for Buyer Consultations?
The buyer consultation has become the most strategically important meeting in a buyer's agent practice. It is now the moment where agents must:
Clearly explain the services they provide
Present their compensation structure transparently
Secure a signed buyer-broker agreement before beginning to show homes
Help the buyer understand how compensation will work in the offer and negotiation process
The agents who have embraced this shift are finding that the buyer consultation, done well, actually strengthens their client relationships. They are having more honest conversations about value from the very beginning. Buyers who commit via a signed agreement are more serious clients who follow through.
The agents who are struggling are the ones still treating the consultation as a formality — and being caught flat-footed when buyers push back on compensation discussions.
What Should Philadelphia Area Agents Be Doing Right Now?
If you have not already done the following, make it a priority:
Understand your buyer-broker agreement fully and be able to explain every term clearly and confidently. Practice the compensation conversation until it feels natural. Know how to address the most common buyer objections. Stay current on how sellers in your market are approaching compensation offers.
Frequently Asked Questions: NAR Settlement and Philadelphia Real Estate Agents
Do I have to have a buyer-broker agreement signed before every showing? Yes. Under the settlement rules, a written agreement must be in place before you tour any property with a buyer. This applies regardless of whether the showing is at an open house, a private showing, or a builder model home.
Can sellers still offer buyer agent compensation in Pennsylvania? Yes. Sellers in Pennsylvania can still offer buyer agent compensation — they simply cannot do so through an MLS field. The offer can be communicated in listing marketing, through agent-to-agent outreach, or through the terms of an accepted offer.
What if a buyer refuses to sign a buyer-broker agreement? You cannot work with that buyer in a legally compliant way until they do. The conversation about why the agreement protects them — it codifies your obligations to them, not just their obligations to you — is one that agents need to be prepared to have confidently.
How is the Philadelphia market handling buyer compensation in 2026? Based on transaction activity across Montgomery County and the surrounding suburbs, a majority of transactions continue to involve seller-offered compensation. However, the mechanism and the conversation are different, and buyers are more aware of the dynamic than they were before the settlement.
Come Get Clarity at Agent Uplift Live
The Questions Bowl session at Agent Uplift Live on May 21, 2026 is exactly where questions like these get real, honest, from-the-trenches answers. Bring what you are navigating. The room will help.
Free for licensed agents. Breakfast and a full catered lunch included. Golf simulator happy hour with CrossCountry Mortgage.
Date: Thursday, May 21, 2026 | 9:30 AM - 2:30 PM
Location: AVE Blue Bell, 1600 Union Meeting Road, Blue Bell, PA 19422
The rules changed. The agents who understand them will win. Get there.
Agent Uplift Community is a network of real estate professionals committed to excellence across the greater Philadelphia area. agentupliftcommunity.com.
