How Does The Realtor Get Paid?
Real estate agents are self-employed. They make a commission off the selling price of the home only if the transaction goes through. The seller pays the commission – it is not a buyer’s expense. Historically, the commission is between four and seven percent, which is split with the broker. Overhead costs are also taken out of the commission before the Realtor is paid. In addition, any other expenses such as MLS membership fees, insurance costs, gasoline/car, etc. must be paid out of the remaining money.
