What is a Realtor's commission?
A realtor's commission is the fee agreed to in turn for their help in assisting home-buyers or sellers during a real estate transaction. The commission is decided upon by services to be rendered and depending upon the amount of work and market conditions. If you choose to employ both a listing and selling broker this commission is roughly split between the two parties.
If you choose to buy or sell a home and employ a real estate agent, an important factor to consider is the real estate agent's fees and commission. It is essential people understand not only how much each agent charges, but also how these extra fees are paid once the transaction is complete.
How much will an agent charge me?
Commissions paid …show more content…
What usually happens, is that because the fee comes from the proceeds of the sale the commission is often split evenly between the two agents.
Regardless, when calculating the real estate commission it is important to note that this fee comes out of the cost of the home and must be calculated before tallying up the final amount pocketed for the seller.
Concerns with real estate commission fees
A lot of people are in agreement that the biggest issue about real estate fees is that they are too high and that the services rendered aren't worth 6% of the sale price. This is especially the case when an expensive home gets listed and is sold within the month.
If the property is worth $500,000 and the real estate agent finds a buyer relatively quickly, his or her fees would still add up to around $30,000 or 6%. For only listing the home, discussing pricing with the seller and answering his or her questions that could be a steep price.
However, in many cases, a home can also take weeks, months or, in rare cases, years to sell. This can add to many hours spent marketing the property, which
A realtor's commission is the fee agreed to in turn for their help in assisting home-buyers or sellers during a real estate transaction. The commission is decided upon by services to be rendered and depending upon the amount of work and market conditions. If you choose to employ both a listing and selling broker this commission is roughly split between the two parties.
If you choose to buy or sell a home and employ a real estate agent, an important factor to consider is the real estate agent's fees and commission. It is essential people understand not only how much each agent charges, but also how these extra fees are paid once the transaction is complete.
How much will an agent charge me?
Commissions paid …show more content…
What usually happens, is that because the fee comes from the proceeds of the sale the commission is often split evenly between the two agents.
Regardless, when calculating the real estate commission it is important to note that this fee comes out of the cost of the home and must be calculated before tallying up the final amount pocketed for the seller.
Concerns with real estate commission fees
A lot of people are in agreement that the biggest issue about real estate fees is that they are too high and that the services rendered aren't worth 6% of the sale price. This is especially the case when an expensive home gets listed and is sold within the month.
If the property is worth $500,000 and the real estate agent finds a buyer relatively quickly, his or her fees would still add up to around $30,000 or 6%. For only listing the home, discussing pricing with the seller and answering his or her questions that could be a steep price.
However, in many cases, a home can also take weeks, months or, in rare cases, years to sell. This can add to many hours spent marketing the property, which