REALTOR Code of Ethics defines a variable-rate commission arrangement as a listing in which one amount of commission is payable if the listing broker’s firm is the procuring cause of sale (meaning they represent the buyer) and a different amount of commission is payable if the sale results from the efforts of the seller or a cooperating broker.
In other words, if the listing agent represents the buyer and the commission is reduced for representing the BUYER, the existence of the variable rate must be disclosed.
If the listing agent is taking a higher split than what is being offered to a buyer’s agent, THAT DOES NOT HAVE TO BE DISCLOSED.