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Rethinking Real Estate: Who Should Decide on Representation and Compensation?

Friday, July 18, 2025   /   by Sharon St Clair

Rethinking Real Estate: Who Should Decide on Representation and Compensation?

Rethinking Real Estate: Who Should Decide on Representation and Compensation?
After spending more years in real estate than I care to count, I’ve witnessed countless shifts in our industry, especially regarding cooperation, private listings, and agent compensation. Yet, despite all the debate, I believe the answer is simple: the consumer should be free to choose who represents them and how those professionals are compensated.
The Value of Representation
When working with buyers, it’s crucial to demonstrate your value, clearly outline your services, and negotiate your commission upfront. If needed, there are ways to structure the purchase agreement so the seller can contribute to the buyer’s agent’s commission. The same principles apply when signing a listing agreement with a seller—transparency and clarity are key.

The Problem with Dual Agency
I’ve never been a fan of dual agency, where one agent represents the buyer and the seller. Each party deserves its own advocate—someone with a fiduciary responsibility solely to them. This ensures both sides receive unbiased advice and representation throughout the transaction.
Evolving Practices and Consumer Choice
For years, listing agreements included published offers of compensation to buyer’s agents, making it easy for buyer’s agents to secure their commission at the time of the offer. Now, with buyers required to sign a buyer agency agreement before viewing homes, agents must clearly articulate their value and negotiate their compensation directly with the buyer.

Frankly, I don’t believe sellers should be forced to pay a buyer’s agent, especially when they have no control over who that agent is or how qualified they are. Instead, compensation should be a matter of negotiation and mutual agreement, based on the value provided.

Moving Forward
As our industry evolves, I hope we keep the consumer’s best interests at the center of every decision. Whether you’re a buyer or a seller, you deserve transparency, choice, and representation that truly serves your needs.

Call to Action
If you’re a fellow real estate professional, I’d love to hear your thoughts on how we can better serve our clients in this changing landscape. And if you’re a buyer or seller navigating your real estate journey, let’s connect! I’m always happy to share insights, answer questions, and help you make informed decisions about your next move.

Feel free to comment below or reach out directly—I look forward to continuing this meaningful conversation with you!
Howard Hanna Real Estate Services
Sharon St Clair
180 Fort Couch Road
Upper St. Clair, PA 15241
724-503-0014
412-833-3600

Information is provided exclusively for consumers’ personal use and may not be used for any purpose other than to identify prospective properties consumers may be interested in purchasing. Data is deemed reliable, but is not guaranteed accurate by the MLS.
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