Who Pays Realtor Fees in Texas? (2026 Guide)
Quick answer: in Texas the seller usually pays the listing agent. Since the August 2024 NAR settlement, the buyer’s agent is paid under a written buyer agreement, often still by the seller if the seller agrees to cover it. Traditional commissions total about 5–6%, roughly $24,000 on a $400,000 home. With KAT Realty Group, a buyer pays a flat $4,999 at closing with nothing upfront, and a seller pays a flat $5,999 ($600 at listing signing, the balance at closing). Those fees apply to homes under $900,000; higher-priced homes have their own fixed fee. When the seller covers more than $4,999 of buyer-agent pay, the difference goes back to the buyer.
Who pays realtor fees in Texas?
Traditionally the seller paid both the listing agent and the buyer’s agent from the sale proceeds — so buyers paid nothing directly. After the NAR settlement, the listing fee stays on the seller’s side, while buyer-agent compensation is now spelled out in the buyer’s representation agreement. In practice, many Texas sellers still offer to pay the buyer’s agent to make the home more attractive, but it is negotiated deal by deal rather than assumed.
How much are realtor fees in Texas?
The Texas average runs near 5.5–6% of the sale price total, commonly split as roughly 3% to each side. There is no legally set rate — every commission is negotiable. What this looks like in dollars:
| Sale price | Total at 6% | Listing side at 3% | KAT Realty flat $5,999 |
|---|---|---|---|
| $300,000 | $18,000 | $9,000 | $5,999 |
| $400,000 | $24,000 | $12,000 | $5,999 |
| $500,000 | $30,000 | $15,000 | $5,999 |
| $750,000 | $45,000 | $22,500 | $5,999 |
Figures are illustrative; actual percentages vary by agreement.
Are realtor fees paid out of pocket?
No — for sellers, commissions are deducted from the sale proceeds at closing, not paid upfront. Buyers using a flat fee buyer agent may owe a fee if seller-paid compensation falls short, which is disclosed in the representation agreement.
How flat fee pricing changes who pays — and how much
A flat fee decouples the cost from the sale price. KAT Realty lists for a flat $5,999 regardless of whether your home sells for $300K or $900K, and represents buyers for $4,999 — with potential rebate value when seller-paid compensation exceeds the fee. Same full service; the percentage simply goes away.
FAQs
Do buyers pay realtor fees in Texas now?
Sometimes. Sellers frequently still cover the buyer’s agent, but it is negotiated per transaction. Your buyer representation agreement states what you owe if the seller’s offer falls short.
Can you negotiate realtor fees in Texas?
Yes — always. No rate is fixed by law. See our guide to negotiating commission.
Are realtor fees tax deductible?
For a primary residence they generally adjust your cost basis rather than being deductible — confirm with a tax professional.
Related: how much does a realtor cost in Texas and 2026 Texas commission data.
KAT Realty Group operates under Texas Ally, a licensed Texas real estate brokerage. This article is general information, not legal, tax, or lending advice. Company names are referenced for comparison only.
