Real Estate Commission, How Real Estate Agents Get Paid

Fouye Real Estate > Information about Real Estate > Real Estate Listings In order for you to really understand who pays the real estate commission, whether it's the buyer or the seller, you need to understand how real estate agents get paid. How Real Estate Commissions Work The real estate agent works for the real estate broker. That means all fees that are paid to the real estate agent has to pass through the broker.  Only a real estate broker can pay a real estate commission to the agent Now... In any real estate transaction you have the buyer and you have a seller and... Most of the time, the buyer and the seller are from different brokerage companies.  For example a buyer goes to a Century21 real estate agent and he/she decides to buy a house that was listed by a Remax agent That means it's complicated... When the transaction is completed, the listing agent gets a commission, so does the selling agent and both brokerage companies. Who Really Pays the Commission? From what's I've read... The buyer always pays the commission. Why? Usually it's part of the sales price of the home you are buying. If the seller agrees to pay the commission, everything is calculated and added to the selling price of the house. If you think you're getting a bargain because the selling price is lower, it usually means you have to pay the commission. Guess what... When I bought my house, I thought I was getting a great deal for $169,000 but the seller made it clear that I had to pay the commission... How much? When the dust settled, I think everything came up to about $12,000. Add that to the price... I paid $181,000 I bet you... If I review my paperwork, I'll probably cry again! REPLY to this article | 1 Comment Share this: Twitter  Facebook  More Also read these articles Real Estate Mortgage & Financing Real Estate Law Real Estate Appraisal Real Estate Foreclosures Real Estate Attorney   Comment (1) Courtney Hanseen says: Re: Real Estate Commission, How Real Estate Agents Get Paid Wow! 12, 000 more! That's incredible Courtney H. Commission Agent Twitter  Facebook  More REPLY     Leave a Reply Name (required) E-mail (will not be published) (required)   <<   Enter code Return from Real Estate Commission to Real Estate Listings