Since the NAR settlement took effect in August 2024, broker commissions in Greater Boston are fully negotiable, and buyer-agent compensation can no longer be advertised through MLS listings. Sellers now choose whether to offer compensation to a buyer’s broker, pay only their listing agent, or structure a seller concession toward the buyer’s costs. No rule or law sets a commission amount; the rate you pay is whatever you and your listing brokerage agree to in writing.
What the NAR Settlement Actually Changed (and What It Didn’t)
The two biggest operational changes, effective August 2024, were straightforward. First, offers of buyer-broker compensation can no longer be published on the MLS. In Greater Boston, that means MLS PIN no longer carries compensation fields the way it used to. Second, buyers must now sign a written buyer-broker agreement before touring homes with an agent. That agreement spells out what the buyer’s broker expects to be paid and how. For a full picture of every line that comes off your proceeds at closing, see how much you’ll actually net from a Boston home sale. And for the smoke and CO certificate you’ll need regardless of commission structure, see Massachusetts smoke and CO detector certificate requirements for sellers.
What did not change: commissions are still fully negotiable. NAR is explicit that the settlement does not set or cap commission amounts. No law does either. The Massachusetts Board of Registration of Real Estate Brokers and Salespersons confirms that fee arrangements must be clearly disclosed in listing and buyer representation agreements, and that they are negotiated between the client and the brokerage.
What This Means for You as a Greater Boston Seller
You now have more explicit choices than before. Your practical options include: pay your listing broker only (the buyer pays their own agent directly); pay your listing broker, who then shares with the buyer’s broker (the seller agrees to this structure in the listing agreement, the split is not published on MLS); or offer a seller concession that the buyer can apply toward their broker’s fee or other closing costs, subject to lender rules and negotiation. Every one of those structures is legal. None is automatic.
Does the Settlement Mean Commissions Are Lower Now?
Not necessarily. The settlement changed how compensation is negotiated and disclosed, not what the market will bear. What the settlement does give you is a cleaner conversation. You negotiate the listing-side fee in your listing agreement. Any buyer-broker compensation you choose to offer is a separate, explicit decision, not a default buried in MLS fields. That transparency is genuinely useful.
Massachusetts Closing Costs Sellers Pay Beyond Commission
Commission is usually the largest line item for a seller, but it is not the only one. Massachusetts is an attorney-closing state, meaning real estate closings are conducted by attorneys, not title or escrow companies.
Massachusetts Deed Excise Tax
This is statutory and non-negotiable on the seller’s side. Massachusetts imposes a deed excise tax on the transfer of real estate, calculated at $4.56 per $1,000 of consideration in most Greater Boston counties: Suffolk, Middlesex, Norfolk, and Essex. The Department of Revenue specifies that the excise is imposed on the grantor (the seller) and collected by the Registry of Deeds at recording.
Other Common Seller-Side Cost Categories
- Seller’s attorney fees for contract review, title resolution, and closing support.
- Recording fees for the deed and related documents, charged by the county Registry of Deeds.
- Municipal lien certificate fees and utility payoffs. In Boston, sellers must arrange a final water/sewer reading and payment through the Boston Water and Sewer Commission before closing.
- Smoke and CO detector inspection fee. Massachusetts law (M.G.L. c.148, S26F and S26F-1/2) requires sellers to obtain a compliance certificate from the local fire department before selling a one- or two-family home.
- 6(d) certificate for condos. Required under M.G.L. c.183A, S6(d) from your condo association confirming all common charges are current.
- Title 5 septic inspection for properties in outer suburbs served by on-site septic systems.
| Cost Category | Who Typically Pays | Negotiable? |
|---|---|---|
| Listing broker commission | Seller | Yes, set in listing agreement |
| Buyer-broker compensation | Seller, buyer, or split | Yes, no MLS publication post-settlement |
| Massachusetts deed excise tax ($4.56/$1,000) | Seller (imposed by statute on grantor) | No, statutory obligation |
| Seller’s attorney fees | Seller | Yes, negotiated with attorney |
| Smoke/CO detector inspection | Seller (by custom) | Customary; can be addressed in P&S |
| 6(d) certificate (condos) | Seller (by custom) | Processing fee negotiable in P&S |
| Municipal lien certificate/utility payoff | Seller | Payoff amount fixed; allocation negotiable |
| Recording fees | Varies by document type | Customary allocations; negotiable in P&S |
Massachusetts Disclosure Rules Sellers Need to Know
Massachusetts follows the caveat emptor (buyer-beware) doctrine for residential real estate. There is no general mandatory seller disclosure form required by statute for one-to-four family resales. That does not mean you can stay silent about known problems: sellers and their agents cannot misrepresent or actively conceal material defects. Massachusetts General Laws c.93A, the consumer protection statute, applies to fraud, misrepresentation, and unfair or deceptive practices.
Specific mandatory disclosures that do apply: lead paint notification for homes built before 1978 (required before the buyer signs the P&S); Title 5 septic inspection for properties on private septic; smoke and CO detector certificate from the local fire department; and 6(d) certificate for condo sales.
Frequently Asked Questions
How does the NAR commission settlement change who pays the buyer’s agent in Boston now?
Since August 2024, sellers are no longer required to offer buyer-broker compensation, and such offers can no longer be published on MLS PIN. Sellers can choose to pay the buyer’s broker (negotiated in the listing agreement), let the buyer pay their own agent directly, or offer a seller concession the buyer applies toward their broker’s fee. None of these structures is automatic.
If I’m selling a condo in Somerville, do I still have to pay the buyer’s agent, or can the buyer pay their own broker?
You are not required to pay the buyer’s agent. Post-settlement, the buyer signs a written agreement with their broker that spells out compensation before they tour homes. You can structure your listing so the buyer handles their own broker’s fee, offer a concession toward buyer costs, or negotiate a seller-paid amount in your listing agreement.
What closing costs does a seller pay in Massachusetts besides the real estate agent commission?
The main categories are: the Massachusetts deed excise tax ($4.56 per $1,000 of sale price, imposed on the seller by statute), your attorney’s fees, recording fees at the Registry of Deeds, the smoke and CO detector inspection fee, a municipal lien certificate, and any utility payoffs required before closing. Condo sellers also need a 6(d) certificate from their association.
What is the Massachusetts deed excise tax, and why is the seller usually the one paying it at closing?
The Massachusetts deed excise tax is a state tax on the transfer of real estate, set at $4.56 per $1,000 of consideration in most Greater Boston counties. The Department of Revenue imposes it on the grantor (the seller), so it is not negotiable as to who legally owes it. The closing attorney computes it from the final sale price and collects it at closing before recording the deed.
Do I have to fill out a seller disclosure form to sell my house in Boston, or is it really buyer beware?
Massachusetts follows caveat emptor; there is no general mandatory seller disclosure form for one-to-four family resales. That said, you cannot misrepresent or conceal known material defects, and Massachusetts General Laws c.93A applies to fraud and deceptive practices. Specific disclosures are required for pre-1978 homes (lead paint notification), properties with septic systems (Title 5 inspection), and condos (6(d) certificate).
Does the NAR settlement mean commissions are lower now in Greater Boston, or just that they’re negotiated differently?
Primarily the latter. The settlement changed how and where compensation is disclosed; offers can no longer appear on MLS PIN, but it does not cap or set rates. Commissions remain fully negotiable between sellers and their listing brokerage, as they always have been under Massachusetts licensing law. Whether market conditions in Greater Boston push compensation levels in any direction depends on inventory, buyer demand, and what you negotiate.
Have questions? Let’s connect.
About Juan Murray
Juan Murray is a Boston broker associate with more than 30 years of experience helping buyers, sellers, and investors across Greater Boston, personally leading every transaction from the first conversation through closing.
RE/MAX Real Estate Center · (617) 721-0961
Equal Housing Opportunity. Juan Murray is licensed as a Broker in Massachusetts, regulated by the Massachusetts Board of Registration of Real Estate Brokers and Salespersons. This article is general information only and does not constitute legal, tax, or financial advice. Confirm your specific costs and obligations with your closing agent, tax advisor, or lender.
