Real estate agents are paid a percentage of the total sales price of a home when

they sell it. This is called a commission, and it’s one of the largest expenses when

selling a property. Understanding how much is real estate commission is important

to anyone looking to buy or sell a home.

In the US, the average real estate commission is 6% of the sales price. This amount

is split between the listing agent and the buyer’s agent. Typically, the listing agent

keeps a larger portion of the commission since they are responsible for finding

buyers and managing the transaction. The commission is paid at closing, and it’s

deducted from the final sale price of the property.

Commission rates vary across markets and can be negotiated. However, the

standard six percent commission rate remains very common. Some real estate

agents may charge a higher or lower percentage than others, depending on their

experience, market, and other factors. In this article, we will discuss the basic

structure of real estate commission, the different ways to save on realtor fees, and

other questions related to the cost of selling a home.

How Much is Real Estate Commission in NYC?

In New York City, the average real estate commission is 6%. This includes both the

broker commission and the agent’s commission. The broker commission is the

percentage of the total sales price that is paid to the brokerage. The agent’s

commission is the percentage that is paid to the individual agent. The agent’s

commission can be negotiated with the broker, and it may be based on their

experience level and the number of leads they provide to the broker.

The real estate agent’s commission can be negotiated between the broker and the

individual agent, and it can vary greatly from one broker to the next. Generally, the

higher-producing agents receive a larger percentage of the commission than their

less-experienced counterparts. In addition, the broker may offer a commission

incentive to attract new agents to the firm. Also read

Real estate commissions can also fluctuate based on whether the market is a seller’s

or buyer’s market. In a seller’s market, there are more interested buyers than homes

for sale, so houses often sell quickly and at or above the asking price. In a buyer’s

market, the opposite is true and homes can sit on the market for a long time.

Many people want to know how much real estate agents earn, especially if they are

thinking about becoming a realtor themselves. While some people choose to work in

real estate for the flexibility and freedom it offers, others are motivated by the big

paychecks that come with a successful career.

While the average real estate agent’s salary is about $124,600 per year, the highestpaid

agents can make over $326,000 annually. The majority of the money that real

estate agents make comes from the commission they receive on each transaction.

As a result, many people are curious about how much is real estate commission and

how it is determined.