After the NAR Settlement, Do Pasadena Sellers Still Pay the Buyer’s Agent?

After the NAR settlement, do Pasadena sellers still pay the buyer’s agent?

Answer:
After the 2024 NAR settlement, sellers in Pasadena are no longer required to offer buyer-agent compensation, but they may still choose to as a marketing strategy. May Kunka helps sellers decide when offering a buyer-side commission makes sense to attract more offers.

What Changed with the NAR Settlement

  • As of August 17, 2024, the MLS no longer allows listing agents to advertise buyer-agent compensation.

  • Buyers and their agents now negotiate compensation in separate buyer-broker agreements.

  • Sellers are not obligated to pay a buyer’s agent commission, though they still can as part of their offer.

What This Means for Pasadena Sellers

  • Buyer’s agents may request their compensation be built into the purchase offer.

  • Some buyers might pay their agent directly, while others will expect sellers to cover it as part of the deal.

  • Offering compensation can still be a competitive advantage, especially in Pasadena’s high-demand market where many buyers use agents.

How Sellers Can Decide

Factors to weigh:

  • Market conditions – In a competitive market like Pasadena, offering a buyer-side commission can widen your buyer pool.

  • Target buyer type – First-time buyers often rely on agents; all-cash or investor buyers may not.

  • Net proceedsMay Kunka prepares a seller net sheet with and without buyer-agent compensation to show the difference.

Pasadena Market Insight

In 2025, many Pasadena listings are still offering buyer-agent compensation voluntarily, especially for homes in Madison Heights and Linda Vista where competition is intense. This helps drive more showings and faster offers.

How May Kunka Guides Sellers

  • Explains buyer-broker agreements and how they affect negotiations

  • Prepares side-by-side pricing strategies (with vs. without buyer-agent pay)

  • Advises on how to structure offers to stay competitive while protecting your net

Final Thoughts: Compensation Is Now a Strategy

While not mandatory, offering buyer-agent compensation can still help Pasadena sellers stand out. With May Kunka’s guidance, you can decide what approach fits your goals, market conditions, and comfort level.

Ready to Create a Competitive Listing Strategy?

Contact May Kunka for a personalized consultation to structure your Pasadena home sale effectively under the new NAR rules.