California Real Estate Commission and Selling Without an Agent

Last updated November 13, 2026. Reviewed by the Cash Home Buyers CA team. Facts come from the California Department of Real Estate (DRE) and the California Legislature’s published codes; sources are listed at the end.

Real estate commissions in California are not set by law. Each broker sets them, and they are negotiable between you and the broker. Since the nationwide agent-compensation settlement and California’s AB 2992, a buyer’s agent now has to agree on pay directly with the buyer in a signed written agreement. You can still choose to offer a seller concession toward that cost, but you are not required to.

California agent commissions at a glance

Is there a set commission?	No. DRE’s required notice says the amount or rate is not fixed by law and may be negotiable between seller and broker
Who sets the buyer agent’s pay?	The buyer and their agent, in a signed buyer-broker representation agreement
When must that agreement be signed?	As soon as practicable, and no later than the buyer’s offer (Civil Code 1670.50)
What must it cover?	Broker compensation, services, when compensation is due, and contract termination
How long can it last?	No more than three months for individual buyers, with no automatic renewal
Effective date	January 1, 2025
Does a seller have to pay the buyer’s agent?	No. DRE describes it as a concession the buyer may request and the seller may accept or reject
Do you need an agent to sell?	No. The disclosure duties still apply to you as the seller

How much is a real estate agent commission in California?

There is no official California rate, and we will not quote a “typical” percentage because no government source publishes one. DRE’s reference book explains that a broker can set a standard rate for the firm but cannot use a listing form with the amount or rate preprinted. Any listing agreement has to carry a boldface notice, placed before the compensation clause, telling you the rate is negotiable.

DRE’s consumer alert goes further. It says an agent who claims there is a “standard” commission is misrepresenting the law. Before you sign, ask each agent for their full fee in writing, including what the listing side costs and any fees outside the percentage.

What changed after the NAR settlement and AB 2992?

Before the settlement, the seller and listing agent typically set the pay for both agents when the listing was signed. DRE says that no longer works: buyers’ agents now negotiate their compensation with their own clients, which puts the buyer at the center of the discussion.

• Under the settlement, a buyer’s agent needs a signed representation agreement before touring a property, and what the buyer and agent agree is the most the agent can receive from any source for that representation.
• Under AB 2992, every buyer’s agent in California must have a signed agreement no later than the buyer’s offer, even where the settlement does not reach (for example, agents who are not association members and do not use a multiple listing service).
• The agreement cannot be longer than three months for an individual buyer, and it does not renew on its own.
• A violation is treated as a breach of the agent’s licensing law, and an agreement made against these limits is void.

For you as a seller, the practical effect is that the offer you accept may include a request that you cover part of the buyer’s agent fee. DRE says the seller may accept or reject that request, and if the seller refuses, the buyer remains responsible for paying their own agent if they proceed.

Net proceeds calculator: what a commission costs you

Enter the numbers from your own quotes. The calculator does not assume any rate; it only does the arithmetic.

Can I sell my house in California without a real estate agent?

Yes. Nothing in the sources we reviewed requires an owner to hire an agent to sell their own home. What does not go away is the paperwork. DRE’s disclosure guide says a seller of residential property with one to four units must give the buyer a Real Estate Transfer Disclosure Statement, with limited exceptions. Civil Code section 1102 is where the rule lives.

• Transfer disclosure statement: a written statement of the property’s condition, delivered by the seller.
• Natural hazard disclosure: required in most sales. See our natural hazard seller disclosure guide.
• HOA documents: if the home is in a common interest development. See the HOA disclosure guide.
• Agency disclosure: agents give the Section 2079.14 form; if you sell alone, you are not an agent, but any agent on the other side still gives it to their buyer.
• Unpermitted work: disclose it. Read selling as-is with unpermitted work.

Selling alone also means you handle pricing, marketing, showings, negotiation and the buyer’s agent request for compensation yourself. A buyer who has signed an agreement with their own agent will often ask you to cover some of that agent’s pay, so expect the question.

Other costs when you sell in California

Commission is only one line. A seller also usually faces escrow and title charges, county and sometimes city transfer tax, payoff of loans and liens, and any repairs agreed in the contract. We break those down in the California seller closing costs guide and the transfer tax report. Profit on the sale may also be taxable; see the capital gains guide.

How to sell a house in California without paying a commission

You have three routes, and each trades money for time or effort:

1. List with an agent and negotiate the fee. Get at least two written quotes, ask what is included, and decide up front whether you will entertain a buyer-agent concession.
2. Sell it yourself. You keep the listing-side fee, but you carry the disclosures, the marketing and the negotiation, and a buyer with an agent may still ask for a concession.
3. Sell directly to a cash buyer. With a direct cash sale there is no agent on our side to pay, no listing agreement and no showings. We buy as-is, so repairs are not part of the deal. Escrow, title and transfer tax are still part of any California sale, and we spell out who pays what in the written offer.

A cash offer is not always the highest number, so compare it against your own net from the calculator above. It tends to fit when speed, condition or certainty matters more than the last few thousand dollars. See Los Angeles, San Diego, Sacramento, San Jose, Fresno and Riverside, or browse all California seller guides.

Want to know what a no-commission cash sale would look like for your house? Call (424) 435-2326 or request a cash offer. There is no cost and no obligation.

California commission FAQ

Is the real estate commission in California fixed at a set percentage?

No. California law does not fix it. Each broker sets their own rate and it is negotiable. A listing agreement must say so in a notice placed before the compensation clause.

Do I have to pay the buyer’s agent in California?

No. Under DRE’s description, the buyer pays their agent under their own agreement and may ask the seller to cover some or all of it as a concession. The seller can accept or reject that request.

When did buyer-broker agreements become required in California?

January 1, 2025, under AB 2992 (Civil Code 1670.50). The agreement must be signed no later than the buyer’s offer to purchase.

Can I sell my house myself in California?

Yes, but you still owe the buyer the required written disclosures, including the transfer disclosure statement for one-to-four-unit residential property.

Does Cash Home Buyers CA charge a commission?

No. We buy directly, so there is no commission, no listing agreement and no fee for the offer. Closing costs are described in the written offer.

Sources

• California DRE Consumer Alert: Changes to Buyer Representation and Compensation
• California DRE Licensee Advisory: Changes to Buyer Representation
• California Civil Code 1670.50 (AB 2992)
• California Civil Code 1102: Disclosures Upon Transfer of Residential Property
• DRE Reference Book, Chapter 20: Basic Contract Provisions and Disclosures
• DRE: Disclosures in Real Property Transactions (RE 6)

This guide is general information, not legal or tax advice. Laws and forms change; confirm current requirements with the California Department of Real Estate or a licensed attorney.