As of Wednesday, September 16, 2026, one of the most practical shifts from the 2024 NAR settlement-driven rule changes is this: sellers can no longer rely on the MLS to display an offer of buyer-agent compensation.
In MichRIC-connected MLSs, the offer-of-compensation field was removed on August 13, 2024, and WMLAR guidance also states that MLS listings will not accept compensation language in either public remarks or agent-only remarks. (WMLAR)
That does not mean compensation disappeared. It means the compensation conversation moved out of the MLS and into your listing plan, your offer instructions, and the buyer’s written paperwork.
What actually changed (and what didn’t)
1) Offers of compensation are prohibited in the MLS
NAR practice changes that took effect on August 17, 2024 require MLSs to eliminate compensation fields and prohibit communicating offers of compensation in the MLS. (NAR)
Locally, MichRIC removed the field in advance of the effective date, and WMLAR’s MLS guidance states that after removal, the MLS will no longer accept any language regarding offers of compensation, including in remarks. (WMLAR)
2) Buyers’ agents working under MLS rules must use written buyer agreements before touring
As of August 17, 2024, NAR states that an MLS Participant “working with” a buyer is required to enter into a written agreement with the buyer prior to touring a home, including in-person and live virtual tours. (NAR)
Why sellers should care: in many cases, the buyer’s offer strategy will be influenced by what that written buyer agreement says about the buyer’s representation cost and how it can be satisfied in the transaction.
3) Cooperation still exists, but the money conversation moved
The MLS still supports cooperation (sharing listing information and facilitating access). What changed is where compensation can be communicated and how it shows up in negotiation and documentation. (NAR)
Compensation vs. concessions: two different levers (do not conflate them)
Buyer-broker compensation and seller concessions can both impact your net, but they are not the same thing.
- Buyer-broker compensation: an amount paid to the buyer’s broker/agent as agreed in the buyer’s representation agreement and addressed in the transaction paperwork. NAR emphasizes that commissions are fully negotiable and that compensation must be memorialized in a written agreement with the client. (NAR)
- Seller concessions: a credit or contribution that helps cover certain buyer costs. NAR notes concessions can help cover transaction costs, including fees for buyer broker services, but also states that concessions cannot be conditioned upon or tied to payment to a buyer broker. (NAR)
Lender guideline note (high level): mortgage programs treat credits and fees differently. For example, Fannie Mae clarified that if a seller or seller’s agent pays the buyer’s agent commission in accordance with local common and customary practices, it is not required to be counted toward interested party contribution (IPC) limits. (Fannie Mae, Selling Notice April 15, 2024) Freddie Mac published similar guidance indicating buyer agent fees paid by the seller or seller’s agent remain excluded from financing concession limits as long as the practice remains customary. (Freddie Mac)
Thomas Switek’s default approach: put it in the offer, then negotiate it
Thomas’s practical preference is straightforward: have the buyer’s agent submit the offer, and if the buyer wants the seller to pay buyer-agent compensation, the buyer can request it in the offer. From there, it is negotiable like any other term (price, inspection posture, possession, closing date, and so on).
This approach keeps the transaction compliant with the MLS compensation-display prohibition, and it forces the conversation into the place where it belongs: the written offer and counteroffer process.
A seller decision framework: three workable paths
There is no single “right” approach. The right approach depends on the property, the market, the terms of the offer, and ultimately what produces the strongest combination of net proceeds and deal certainty.
Path A: Offer nothing up front, evaluate each offer on its own terms
- Upside: You do not pre-commit to a number you may not need.
- Tradeoff: Some offers may include requests related to buyer-agent compensation and/or buyer closing costs, which can create additional negotiation steps.
Path B: Stay tight to the comparable market, then use concessions or compensation as a negotiation tool
- Upside: You keep list price aligned with the market, then decide which deal structure produces the best net and certainty.
- Tradeoff: You need a clean way to compare offers with different mixes of price, concessions, and seller-paid costs.
Path C: Use a proactive concession plan to reduce the buyer’s cash-to-close hurdle
Separate the label from the math. A concession strategy can be used to help a buyer with eligible closing costs and prepaid items. If a buyer is also requesting seller-paid buyer-broker compensation, evaluate that as its own negotiated term, not as “just a concession with a different name.”
- Upside: Can make your listing workable for buyers who are stretching on cash-to-close.
- Tradeoff: Concession-heavy structures can increase appraisal sensitivity and underwriting scrutiny depending on the loan program and overall deal structure.
How offers may be structured now (what sellers should watch for)
1) Higher price paired with a seller concession request
You may see an offer where the buyer raises price and asks for a concession to cover eligible costs.
Seller lens: Focus on net proceeds and appraisal risk. Concessions are typically calculated and constrained using the lower of the sales price or appraised value under common secondary market guidelines. (Fannie Mae Selling Guide, IPCs)
2) Clean price, but the buyer requests seller-paid buyer-agent compensation
A buyer may ask the seller to pay the buyer’s broker/agent as part of the deal.
Seller lens: Treat it like any other negotiated term. If you accept it, your net changes. If you counter it, the buyer’s cash-to-close and willingness to proceed may change.
3) The buyer’s representation model affects the offer structure
NAR’s written buyer agreement rules require the agreement to disclose the amount or rate of compensation (or how it will be determined), and prohibit open-ended compensation terms. (NAR)
Seller lens: You are negotiating the offer in front of you, but it helps to recognize that the buyer’s written agreement can influence how the buyer frames compensation requests.
Marketing and communication: staying compliant while staying responsive
Because offers of compensation cannot be communicated in the MLS and the field is removed, take MLS compliance seriously, including remarks fields. (WMLAR)
Practical, compliant preparation can include:
- Deciding your stance before the listing goes live so responses are consistent across inquiries.
- Being ready to respond quickly when a buyer’s agent asks how the seller wants to handle requests related to concessions or seller-paid buyer-broker compensation.
- Keeping the negotiation where it belongs: in the written offer and counteroffer process.
Net-protection tactics that matter more than the headline conversation
1) Compare offers by net sheet, not by headline price
In today’s environment, two offers that look far apart on price can land close together once you account for concessions, requested seller-paid costs, timeline, inspection terms, and financing risk.
2) Evaluate risk alongside dollars
A concession-heavy structure, a financing contingency, or tight appraisal margins can change the probability of closing on time and at the agreed terms.
3) Stay consistent in how you evaluate and counter
Consistency reduces confusion. It also helps your listing agent communicate your position cleanly and professionally.
A pre-list checklist for West Michigan sellers
- Pick your default stance: (A) no up-front commitment, (B) negotiate strategically, or (C) a proactive concession plan.
- Define your limits: your maximum total seller-paid amount you will consider (including concessions and any seller-paid buyer-broker compensation).
- Pressure-test appraisal sensitivity: if an offer uses price to “create room” for credits, make sure the deal still has a clean story for the appraiser and lender.
- Align on compliance: understand what your MLS will and will not allow in fields and remarks. (WMLAR)
- Expect written buyer agreements: the buyer’s agent may be required to have one in place before touring, and it can shape the buyer’s offer structure. (NAR)
The bottom line
The post-2024 rule changes did not remove negotiation. They removed one specific MLS communication method and forced compensation discussions to be more direct and more individualized.
If you are preparing to sell in Greater Grand Rapids or across West Michigan and want a clean, compliant plan for handling buyer-agent compensation requests and concessions, Thomas Switek can help you map the options and build an offer-review framework focused on net proceeds and deal certainty.