First-Time Homebuyers Face New Access Barriers as Agent Commissions Remain Static

First-time homebuyers are increasingly responsible for paying their own agent fees, but these costs have not declined. According to a study by the Consumer Federation of America and the National Urban League, 53% of housing counselors report that sellers now rarely or sometimes pay the buyer's agent commission. Only 7% of counselors say their clients are paying lower commissions than a year ago, while 36% believe fees have remained stable or increased.

This lack of price movement follows the National Association of Realtors settlement, which decoupled buyer and seller agent commissions to encourage competition. The stagnation is attributed to a lack of negotiation; two-thirds of counselors report their clients rarely or never negotiate fees. A November 2025 study by the Consumer Policy Center found that agents often make it difficult for homebuyers to negotiate lower rates.

Despite the shift in payment responsibility, commission costs are not yet causing deals to collapse. Approximately 47% of counselors say they rarely or never see a purchase fail due to a commission fee, and only 9% say this happens often or always. Instead, the primary barriers to entry remain affordability and inventory. 88% of counselors report that saving for a down payment is difficult or very difficult for their clients, while 73% cite the difficulty of finding a house that meets their needs.

As traditional listing practices shift, pocket listings—private listings kept within a single firm—are emerging as a significant access hurdle. Bright MLS found that in February 2025, 8% of new listings in its mid-Atlantic footprint started as office exclusives, up from a historical range of 2% to 4%. In some Washington, D.C. metro ZIP codes, these exclusives exceeded 20%.

46% of housing counselors report that first-time buyers struggle with pocket listings, which reduce visibility for those searching independently or using competing firms. The National Association of Hispanic Real Estate Professionals has warned that these practices can reinforce segregation and enable discriminatory steering. Urban League President and CEO Marc H. Morial stated that these trends threaten to usher in a new form of redlining for Black homebuyers.