The NAR Settlement Didn’t Kill Real Estate - It Just Exposed Who Was Faking It

by Jennifer S. Goodman

Remember when every headline screamed about the end of real estate as we knew it last summer/fall/winter?

“Commissions are over.”
“The 6% model is dead.”
“Say goodbye to Buyer Agents.”

The predictions were loud, urgent, and in most cases, completely wrong.

Q1 2025 data is in. The real estate apocalypse got canceled.

What Actually Happened When The Dust Settled

Instead of a commission collapse, we got a plot twist. And, who doesn’t love a good plot twist? It keeps life interesting.

Buyer Agent commissions went up slightly:
Q3 2024: 2.36%
Q4 2024: 2.37%
Q1 2025: 2.40%

The Seller Listing side of the equation? 75% of Agents report no change.

Despite all the noise, the outcome was refreshingly uneventful.

The real estate industry across our nation didn’t implode - it recalibrated.

The For Sale By Owner (FSBO) Takeover That Wasn’t

Yes, For Sale By Owner (FSBO) Sellers gained more leverage.
They can now negotiate directly and avoid automatic commission structures.

And yes, Agents can’t steer Buyers away from FSBO listings anymore.
(I don’t know any who ever did. The ones who did? Karma keeps receipts.)

But the predicted FSBO revolution? Well, it never showed up.

Because most people still want a sharp, experienced professional representing them when selling their largest asset.

Do you really want to negotiate against someone who negotiates for a living? You’re welcome to any time. I can coach you if you’d like. That’s a sincere offer.

Buyers However Are Feeling It

This is where the pressure is real:

66% of first-time Buyers say they can’t afford to pay their Agent directly (has this always been the case? I’d think so.)
56% of Agents are reporting longer time on market
(A reflection of economic uncertainty and persistent mortgage rate pressure)
91% of Americans know something changed in real estate - they just don’t know exactly what

In other words: Confusion is up. Confidence is down.

And, in uncertain markets, experienced guidance becomes your strongest currency.

The Real Takeaway

The NAR (National Association of REALTORS®) settlement didn’t destroy compensation. It demanded transparency and a clearer explanation of value. This is a good thing in my humble opinion.

Agents who already led with strategy and clarity?
This was our confirmation.

Agents who relied on autopilot scripts and fuzzy numbers?
They’re now scrambling to justify their fees.

Meanwhile, smart Sellers are still offering Buyer Agent commissions.

Why? Because they know it keeps their listing competitive - and that edge matters. Especially with the sheer number of homes for sale in Austin.

And the best Agents? They’re not rattled.

They’re thriving.

Not because of the rules but because of the results they deliver.

For Buyers And Sellers In Austin’s Luxury Market

Ignore the noise. Headlines are designed to cause your confusion.

Strategic clarity is what moves you forward.

If you’re navigating your next move in Austin’s real estate market and want facts over fear - I’m here for that.

Jennifer S. Goodman
REALTOR® | GRI