UrbanTurf Reader Asks: What is a Real Estate Agent’s Commission These Days?

by Mark Wellborn

From an UrbanTurf reader:

Do you know what percent commission realtors typically receive these days when a house is sold? I know the norm, in a good market, is around 3% for both the buyer’s and seller’s agents. Is it any different in this economy?

We spoke with a few agents who said that the commission for both the buyer’s and seller’s agent is still around 2.5 to 3 percent. Let us know in the comments section if you have heard something different.

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This article originally published at http://dc.urbanturf.com/articles/blog/urbanturf_reader_asks_what_is_a_real_estate_agents_commission_these_days/683


  1. Kirsten said at 9:20 am on Friday March 20, 2009:

    We signed on recently w a buyer’s agent (L&F)  She indicated that commissions are continuing around 5-6% (both listing and buyer’s).

  1. Lenny Nascimento said at 10:29 am on Friday March 20, 2009:

    I’m hearing the same—that commissions haven’t really come down and are still in the 2.5 - 3.0% range.

  1. Bethesda said at 10:45 am on Friday March 20, 2009:

    Why should Realtors’ commissions go down, simply becuase the economy is in bad shape? The MAJOR slowdown in the housing market has caused a serious drop in Realtor’s income as it is. Agents work very hard to earn every cent of their commission. Don’t forget that the Brokers take a hefty split. If you want someone to do a good job, you should to compensate them accordingly.
    Try selling your house yourself (for free). Then you will see how challenging it is, and how much time you will have to devote to the process. How would you like it if someone asked you to do your job for a fraction of what you are currently paid?

  1. Keith said at 12:49 pm on Friday March 20, 2009:

    Having been an agent, I can tell you that while the entire commission may be 5-6%, after the splits and the broker cut, each agent might pull 1.75%. Not much considering agents typically pay full freight on their costs.

  1. bes said at 3:46 pm on Friday March 20, 2009:

    I did not get the impression from the original question that the person was saying anything about lowering commissions.  If anything in this market, the agent is working harder than ever before and I would hope that no one thought it appropriate to pay less of a commission.

  1. James said at 10:18 pm on Sunday March 22, 2009:

    SMART sellers AND Listing Agents understand in a down market they need to offer 4 percent+ commissions to Buyers Agents ensuring those homes get shown and sold much faster.  Think about it, your listing is drowning in a sea of available listings, short sales, AND foreclosures. You have to stand out to that Buyers Agent who has those precious few qualified buyers, get it shown, and sold.

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