NAR Settlement One Year Later: What Arizona Agents Need to Know About Buyer Agreements & Commissions

When the National Association of Realtors' landmark settlement practice changes took effect in August 2024, the real estate industry braced for seismic disruption — lower commissions, confused buyers, and a wave of agents leaving the business. More than a year later, the reality on the ground is more nuanced, and in many ways, more encouraging than the headlines suggested.

If you're a real estate agent working the Phoenix or Scottsdale market, here's what the data actually shows — and how to position yourself to thrive in this new landscape.

The Commission Story Nobody Expected

The NAR settlement was widely predicted to compress buyer agent commissions as sellers stopped automatically paying them through the MLS. What actually happened? According to industry surveys, average buyer agent commission rates rose from approximately 2.67% in early 2025 to around 2.82% by early 2026 — a nearly 6% relative increase in less than a year. Total average commissions now sit near 5.70%.

Why? Because in a market where buyers still need professional guidance — especially in a complex, fast-moving metro like Phoenix — quality agents have been able to demonstrate their value clearly and command competitive compensation. In most transactions, sellers are still choosing to cover buyer agent fees. Industry data suggests roughly 78% of sellers nationwide continue to offer buyer agent compensation as a strategic move to attract more offers and reduce friction for buyers.

The agents who struggled after the settlement were those who couldn't articulate what they do. The agents who thrived? They leaned into transparency and made the case for their expertise upfront.

Buyer Agreements Are Now the Norm — Here's How to Frame Them

One of the most significant operational changes from the NAR settlement is the requirement that buyers sign a written buyer representation agreement before touring homes. For many agents, this felt uncomfortable at first — asking a new client to commit before they've even seen a property.

But experienced agents across the Phoenix metro are finding that the buyer agreement conversation is actually an opportunity. It forces a real discussion about the agent's value, their process, and how they get paid — conversations that used to happen vaguely (or not at all). Agents who approach the agreement as a professional boundary-setting moment, rather than a sales pitch, report that most buyers are fine with it once it's explained clearly.

Tips that are working in Arizona:

• Lead with the service, not the paperwork. Walk buyers through what you'll do for them — negotiations, inspections, lender coordination, timeline management — before sliding over the agreement.
• Position the seller concession conversation early. Buyers often don't know that sellers can and do still contribute to buyer agent fees. Setting that expectation before an offer is written reduces last-minute friction.
• Partner with a responsive mortgage team. One of the fastest ways to lose a buyer client is a slow or disorganized loan process. Agents who work closely with a lender like Pillar Mortgage Group — where communication and speed are core to the process — report fewer fallouts and more referrals.

What Phoenix's Current Market Means for Agents

Understanding the local market data is one of the clearest ways agents differentiate themselves from part-timers. Here's what the Phoenix metro looks like right now:

• Active listings are up approximately 16% year-over-year, with roughly 4,800 homes available in April 2026.
• The median home price in Phoenix sits near $458,000, down slightly (-1.51%) compared to last year — a sign of a moderating market, not a crash.
• Homes are moving in about 56 days on average, and sellers are receiving approximately 97.5% of their list price.
• More than 3,000 Phoenix homes closed in April 2026 alone, up significantly from the prior year as buyer activity picks back up.

The takeaway for agents: we are not in a seller's market anymore, but we are not in a buyer's market either. Scottsdale and the broader Phoenix metro remain near balance, with specific submarkets still favoring sellers. That nuance is exactly what a great buyer's agent explains — and exactly what separates professional advisors from order-takers.

If your buyer clients are actively looking, have them browse available listings across the Phoenix-Scottsdale area at Arizona Luxury Property Search to get a real-time sense of what's on the market right now.

The Agent-Lender Partnership Has Never Mattered More

In the post-settlement world, agent value is proved in execution — not just door-opening. A significant part of that execution involves having a mortgage partner who doesn't slow down the deal. Pre-approvals that actually hold up at underwriting, clear communication on loan timelines, creative solutions for complex borrowers (self-employed, investors, non-QM scenarios) — these are the things that protect an agent's reputation and keep buyers from walking.

If you're a Scottsdale or Phoenix area agent looking to strengthen your lender relationships, our team at Pillar Mortgage Group works exclusively with a network of trusted agents who value the same things we do: speed, transparency, and getting deals closed.

Frequently Asked Questions

Do buyers still have to sign a buyer representation agreement in Arizona?

Yes. Following the NAR settlement practice changes that took effect in August 2024, buyers are required to sign a written buyer representation agreement before touring homes with an agent. The agreement outlines the agent's services and how they will be compensated. Arizona agents must have this agreement in place before showing property.

Are sellers still paying buyer agent commissions after the NAR settlement?

In most cases, yes. While sellers are no longer required to offer buyer agent compensation through the MLS, industry data shows that roughly 78% of sellers continue to offer it voluntarily — because it attracts more buyers and reduces friction in the deal. Agents should have this conversation with seller clients upfront during the listing presentation.

Did buyer agent commissions go down after the NAR settlement?

Contrary to many predictions, average buyer agent commissions have actually risen slightly since the settlement took effect — from approximately 2.67% in early 2025 to around 2.82% by early 2026. Agents who clearly demonstrate their value to buyers have maintained strong compensation.

What is the current state of the Phoenix real estate market for agents?

The Phoenix metro is operating near balance in mid-2026 — inventory is up 16% year-over-year, median prices are slightly softer, and homes are averaging about 56 days on market. It's an active market with over 3,000 closings in April 2026 alone. Agents who understand the submarket nuances (Scottsdale vs. Mesa vs. Chandler, etc.) have a clear edge in advising clients.

How can Arizona real estate agents work better with mortgage lenders after the NAR changes?

Partnering with a responsive, communication-first lender is one of the highest-leverage moves an agent can make in this environment. Strong lender relationships mean faster pre-approvals, fewer surprises at closing, and the ability to handle complex borrower scenarios — all of which protect an agent's reputation and referral pipeline.