How Much Do Real Estate Agents Make When They Sell Your Home?

Published On: December 1, 2021|Categories: Real Estate|Tags: How much do real estate agents make, Real estate agents commission|

Just how much money do you pay a real estate agent to sell your home? This guide explains.

How Much Do Real Estate Agents Make When They Sell Your Home?

Real estate agents work on commissions, which means they make a percentage of a home’s sale price when they sell. Typically, the seller is the one who pays the real estate agent’s commission – and they don’t just pay their own agent. They pay the buyer’s agent as well.

Commissions are sometimes negotiable between the listing agent and their client. However, some brokers don’t leave much wiggle room. In many cases, commissions earned by a seller’s agent are between 3 and 6 percent of the home’s total sales price.

For example, if you sell your home for $500,000, your real estate agent may make between $15,000 and $30,000. Typically, the agent must then pay their broker a portion of what they earned.

How Are Real Estate Agents Paid?

Real estate agents don’t get paid until they close a deal. Typically, all the money changes hands on closing day period from there, the real estate agent gets their cut for marketing the home.

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