What is an Agent’s Commission Fee?

In a real estate transaction, an agent’s commission fee is the fee for the service and expertise provided by the agent. Typically, a real estate commission fee is 5-6% of the home’s sale price, and the buyer’s agent and seller’s agent split the fee. There are unique circumstances where the commission fee is outside of the general 5-6%. It is also important to note that the sale of a home pays for both the buyer’s agent and seller’s agent, meaning it’s especially best for buyer’s to work with experienced agents as there is no additional cost. Obviously, the seller’s agent provides a tremendous value as well in coordinating the open houses, marketing, and necessary paperwork for the sale of the home.

Considerations: Article has been modified and adapted from Nerdwallet.com, Rocket Mortgage, Zillow, and Investopedia.