ANSWERS: 3
  • I think it depends on the contract they have with their broker and if there are other agents involved. Anywhere from 1-6% normally.
  • Hi. I am a real estate agent in PA. Most people think we make so much money, but the truth is, usually that is not the case. Okay, here is an example. It is usually a 6% comission in the sales agreement. What that means is if I sell a 100,000 house my office gets 3% and the buyers office (their agent) gets 3%. Then... you take that 3,000 dollars and devide it by 2. I (as the realtor) get 1.5% and my broker gets 1.5%. So on a $100,000 house a real estate agent makes 1,500 dollars. Plus we pay all our insurances, gas, real estate fees and all out time, etc. Not what most people think!
  • In many cases there is a total commission of 5% to 6% of the total sale price. This is for a residential, single family home. For new construction, the commission may be less. HOWEVER the agent doesn't get ALL of that money. In fact, when its a cooperating deal ["co-op deal"] with another office: The listing agent has the property and The selling agent has the buyer There is STILL not a 2 1/2% to 3% split between the agents. In the case of a "co-op deal", there are 2 licensed offices involved. The agents work under the license of a real estate broker. Yes the offices split 2 1/2% to 3% each or whatever the arrangement is, which is stated in the contract, HOWEVER, the agents are on a flat pay basis OR on a commission basis of that office's share of the commission. For example: Agent A in Office A gets a listing for a property at $100,000. The Agent does everything which is connected with the sale on the Seller's behalf to bring the deal to settlement/closing/escrow. Agent B in Office B introduces the Buyer to the property. Agent B does the paperwork and makes sure the Buyer does everything the Buyer has to do to get the deal to closing/settlement/escrow. At the time of closing/settlement/escrow, the total commission is 6% or $6,000, which is equally divided between the two offices. Agent A had the listing. According to the arrangements Agent A has with Office A, Agent A's share of the commission is 1/2 of the 3% or 1 1/2% or $1,500. Office A has bills and expenses to pay too. They get the other $1,500. Agent B had the Buyer. According to the arrangements Agent B has with Office B, Agent B's share of the commission is 70% of the 3% or $1,050. Office B has bills and expenses to pay too. They get the balance of 30% of that $1,500 or $450. NOTE: THIS IS NOT ALWAYS THE SCENARIO OR OUTCOME. Different offices have different fees and different commission schedules. Thanks for asking your Q! I enjoyed answering it! VTY, Ron Berue Yes, that is my real last name! Sources: My wonderful family! In the real estate business over 34 years in PA. My wonderful coaches & mentors. Yes, after all these years I continue having them in my corner! THE ABSOLUTE BEST, MOST WONDERFUL real estate investment group in the world, which I was very proud to be a member of! "THE University of Hard Knocks"

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