Who pays the buyer's agent in Georgia?
The short answer: whoever the paperwork says. Often it is still the seller — but you agree to the amount, and you should know what happens if the seller won't.
Your buyer agreement sets the amount
Your written buyer agreement states what your agent is paid. That is the number that matters. It is negotiable, and it is agreed between you and your agent before you tour.
Sellers still often pay it
Many Georgia sellers offer to pay some or all of the buyer's agent compensation, because it widens the pool of buyers who can afford their house. A seller can agree to it up front, or you can ask for it in your offer.
If the seller agrees to pay less than your agreement says, the agreement tells you what happens to the difference: you may owe it, your agent may agree to accept less, or you may ask the seller for a closing cost credit that covers it.
Asking for it in your offer
Your offer can ask the seller to pay your agent's compensation, or to give you a credit toward closing costs. Both show up on the settlement statement. Whether a seller says yes depends on the market: a home that has sat for 70 days is a different conversation from one with five offers. Our lists of slower markets show where buyers tend to have room.
Loan rules on seller contributions
Seller-paid closing costs and concessions are limited by your loan program, and the limit depends on the loan type and your down payment. Your lender will tell you the cap that applies to you. See seller concessions in Georgia.
What you will see at closing
The closing attorney's settlement statement lists every payment, including agent compensation and who pays it. Read it before closing day and ask about anything you did not expect.
Compare it line by line with your buyer agreement and your contract. If the contract says the seller pays your agent 2.5% and the statement shows it on your side, raise it with your agent and the attorney before you sign — fixing a settlement statement on closing day is routine, fixing it afterwards is not. Ask the attorney's office to email you the draft statement a day or two early so you have time to check it calmly.
A worked example
Say your agreement pays your agent 2.5% and you buy a $360,000 home. That is $9,000. If the seller agrees to pay it, it comes out of the seller's proceeds. If the seller agrees to 2%, that covers $7,200, and your agreement says who handles the $1,800 difference. Knowing that before you write the offer is the whole point of the agreement.
Four ways the money can flow
| Scenario | Who pays your agent | Effect on your cash to close |
|---|---|---|
| Seller agrees to pay the full amount | Seller, from proceeds | None |
| Seller pays part | Seller pays part; your agreement covers the rest | You may owe the difference unless your agent accepts less |
| Seller gives a closing-cost credit instead | You, using the credit | Reduced, within your loan's limits |
| Seller pays nothing | You, per your agreement | Increases by the full amount |
New construction is often different
Builders commonly set their own policy for paying a buyer's agent, and many require that your agent be with you on your first visit to the community or register you in advance. If you walk into a model home alone and sign in, you may lose the builder's contribution. See buying new construction in Georgia.
How to negotiate it
- Look at days on market. A home that has sat is more likely to say yes to paying your agent.
- Combine requests: price, closing-cost credit and agent compensation are one package to the seller.
- Keep an eye on your loan's cap on seller contributions so a credit isn't wasted.
- Ask your agent to show you the net to the seller of each version of your offer — sellers compare net, not headline price.
Questions to ask your agent
- What is your compensation, and is any part of it negotiable?
- If a seller offers less, will you accept it, or will I owe the difference?
- Will you ever charge me a separate administrative or transaction fee?
- How do you handle builders who pay agents only if you're at the first visit?
Common questions
Does the seller pay the buyer's agent in Georgia?
Often, but not automatically. The seller may offer to, or you can ask in your offer. Your buyer agreement sets what your agent is owed.
What if the seller won't pay my agent?
Your buyer agreement says what happens. You might pay the difference, negotiate a closing cost credit, or your agent may agree to accept less.
Can I roll my agent's commission into my mortgage?
Not directly. A seller-paid closing cost credit, within your loan program's limits, is the usual way to reduce cash due at closing.
What is a typical buyer's agent commission in Georgia?
There is no standard rate set by law; it is negotiated between you and your agent and stated in your buyer agreement.
Does a builder pay my agent if I visit a model home alone?
Often not. Many builders pay a buyer's agent only if the agent came with you on your first visit or registered you in advance. Bring your agent to the first visit, or call ahead so they can register you, before you sign in at the sales office.
Read next
General information for Georgia home buyers, not legal, tax or lending advice. Loan programs, rates, limits, tax rates and insurance terms are set by lenders, agencies, counties and insurers and change — confirm current figures with them, and have your closing attorney review anything you sign.