Who pays the buyer's agent in Illinois after the NAR settlement?

Since August 2024, buyer-agent compensation is no longer advertised in the MLS and is negotiated separately. Buyers must sign a written agreement with their agent before touring homes. Sellers may still choose to offer compensation to a buyer's agent as a marketing decision, but it is optional and negotiated deal by deal.

What is a typical real estate commission in Illinois?

There is no typical or standard rate, and quoting one as if it were standard would be inaccurate. Total commissions have historically fallen in a range of roughly 4 to 6 percent of the sale price split between both sides, but rates vary widely by brokerage, service level, and property. On a median DuPage County home of about $477,652, each percentage point equals roughly $4,777.

Should I offer to pay the buyer's agent commission?

It is optional, and it is a marketing decision rather than a rule. Offering compensation can widen your buyer pool, since many buyers have limited cash after their down payment and closing costs. Declining to offer it may save money but can reduce showings. The right answer depends on your price point, your local inventory, and how quickly you need to sell.

Is a lower commission always better for the seller?

Not necessarily. What matters is your net proceeds, not the fee percentage. Accurate pricing, professional photography, and skilled negotiation frequently move the final sale price by more than the difference between commission rates. A one point difference on a median DuPage home is about $4,777, while a mispriced listing that sits and requires reductions can cost several times that.

Commissions

Are real estate commissions negotiable in Illinois?

Q: Are real estate commissions negotiable in Illinois?

Yes. Real estate commissions in Illinois are always negotiable. They are not set by law, by any REALTOR association, or by any multiple listing service. Every brokerage sets its own rates independently, and sellers are free to negotiate both the listing fee and any compensation offered to a buyer's agent.

By Chris Powell, licensed Illinois real estate broker · Updated July 2026

The short answer: Yes — always. Commissions are not set by law, by any association, or by the MLS, and any agent who implies otherwise is describing a habit, not a rule. Since the 2024 NAR settlement, buyer-agent compensation is negotiated separately and no longer advertised in the MLS, which means you now have two numbers to discuss instead of one.

This is the question sellers most want answered and least often get a straight reply to. So here it is plainly: there is no standard commission in Illinois. There never was. Any rate you have heard quoted as "the going rate" is a custom that formed over decades, not a regulation. Every brokerage sets its own fees independently, and you are free to negotiate.

What actually changed in 2024

The National Association of REALTORS® settlement took effect in August 2024 and changed two practical things:

Buyer-agent compensation left the MLS. Listings no longer advertise what a seller is offering the buyer's side. If compensation is offered, it is negotiated separately between the parties.
Buyers must sign a written agreement with their agent before touring homes. That agreement spells out what the buyer's agent is paid and by whom.

What did not change: commissions were negotiable before the settlement and they are negotiable now. The settlement made the negotiation visible rather than creating it.

You now have two conversations, not one

Before, sellers usually discussed a single total percentage and the split happened behind the scenes. Now the two pieces are separate and each is yours to decide:

1. What you pay your listing agent

This covers pricing analysis, preparation advice, photography and marketing, showing coordination, negotiation, and managing the contract through closing. Ask exactly what is included — the gap between agents on this is enormous, and it is where the fee is actually justified or not.

2. Whether you offer anything to the buyer's agent

This is now optional and strategic. Offering compensation can widen your buyer pool, because many buyers are stretched thin after their down payment and closing costs and cannot also pay their agent out of pocket. Declining may save money but can cost you showings. Which way to lean depends on your price point, your competition, and your timeline.

What one percentage point is actually worth

On the DuPage County median sale price of $477,652, one percentage point is about $4,777. Worth negotiating — and also worth keeping in perspective against pricing decisions that can swing the sale price by far more.

Run your net proceeds

How to have the conversation

You do not need to be adversarial about this. The questions that get you real answers:

"What is your fee, and what specifically does it include?" Photography? Floor plan? Video? Print? Get it itemized. Some agents charge extra for things others include.
"What would you recommend offering a buyer's agent, and why?" A good answer references your price band and current inventory, not a habit.
"What is your average sale-to-list ratio?" This is the number that matters. An agent who consistently gets close to asking is worth more than one who discounts their fee and then discounts your price.
"What happens if I am not satisfied?" Ask about the listing term and whether you can cancel.

Where I land on this

I would rather tell you my fee up front and explain what it buys than dance around it. What I include as standard — professional photography and a measured floor plan with every listing — a lot of agents treat as an upgrade, and that difference matters more than a fraction of a percent.

And the honest caution: the cheapest listing fee is not automatically the best outcome. What determines your net is the sale price, and the sale price is driven by pricing accuracy, presentation, and negotiation. I have watched sellers save half a point and lose ten times that on a listing that sat for ninety days and needed two price cuts. Judge the whole package.

Common questions

Is there a standard commission rate in Illinois?

No. Rates are set independently by each brokerage and are always negotiable.

Can I refuse to pay the buyer's agent?

Yes. It is optional. Consider the trade-off in showings before deciding, and talk it through with your agent based on your specific market.

Does a discount brokerage make sense?

Sometimes — particularly for a well-maintained home in a hot price band that will sell itself. Be clear about what you are giving up: pricing counsel, marketing, and someone negotiating hard on your side. Compare net proceeds, not fees.

When is commission actually paid?

At closing, out of the sale proceeds. You do not pay anything up front, and if the home does not sell, no commission is owed.

Sources & notes: Reflects the National Association of REALTORS® settlement practice changes effective August 2024. Market figures from Redfin (June 2026). Commission rates referenced are illustrative examples only — rates are set independently by each brokerage and are always negotiable. This is general information for Illinois home sellers, not legal advice.