How commission works | Save on commission | New Jersey housing market | Best low commission companies | Methodology
📊 The data:
We surveyed local agents and found that the average real estate commission in New Jersey is 5.13%, which is less than the national average of 5.37%.
To sell a house in New Jersey worth $451,559 — the median home value in New Jersey — you’ll pay about $23,165 in realtor fees.
Realtor commission is usually the largest cost you'll face when selling your home — but you don't have to pay the full 5.13%.
Clever Real Estate could help you save thousands on commission by pre-negotiating 1.5% listing fees with full-service New Jersey realtors from top brokerages.
On that same $451,559 home — you'd pay just $15,800, up to 32% less than paying average rates.
» SAVE: Sell with Clever for 1.5% listing fees and save thousands in commission!
How real estate agent commission works
Average listing commission | 2.63% |
Average buyer's agent commission | 2.50% |
Total average commission | 5.13% |
There are usually two real estate agents involved in a home sale:
- The seller's agent (also called the listing agent), who represents the home seller
- The buyer's agent, who represents the person buying the home
Based on our research, the average commission rate for listing agents is 2.63% of the final home price and 2.50% for buyer's agents, for a total of 5.13%.
» LEARN: How do real estate commissions work?
Who pays realtor fees in New Jersey?
In New Jersey, home sellers pay real estate commission fees out of the final sale proceeds for both agents involved in a deal. Offering to pay for the buyer's agent's commission is an incentive for agents to show your home to their clients.
If you'd like to save on commissions, Clever can connect you with a top listing agent in your area. You'll pay just 1.5% (or $3,000 if your home sells for less than $350,000), keeping more money in your pocket at the end of your sale.
How to save on realtor fees in New Jersey
Commission rates are not set in stone. In fact, we found that while 5.13% is the average in New Jersey, rates typically fall between 4.36% and 5.89%. You can save money by negotiating a lower rate with your listing agent or by working with brokerage that has a discounted commission model.
Listing commission range | 2.24%– 3.01% |
Buyer's agent commission | 2.12%– 2.88% |
Total commission range | 4.36%– 5.89% |
STOP AT Tips for negotiating realtor commission in New Jersey
Low commission real estate companies in New Jersey
Negotiating a lower rate with a professional negotiator can be hard! In many cases, home sellers can save just as much (or more!) by selling with a low commission real estate company.
These are some of the top discount and flat-fee MLS services in New Jersey.
The top discount real estate companies in New Jersey
Discount real estate companies typically offer full-service support for a reduced commission percentage or flat rate. How they create those discounts will depend on the company's model, with some creating more risks and trade-offs than others.
Clever Real Estate
Get Started💲 Listing Fee
1.5% (min. $3,000)
💰 Avg. Savings
$5,625
⭐ Avg. Customer Rating
4.9/5 (1,995 reviews)
Clever is a quick, easy, and free way to find a top-rated local agent. And, unlike many similar companies, Clever pre-negotiates big discounts on your behalf, so you can save thousands without sacrificing on service.
- Clever offers a free, nationwide agent-matching service that partners with full-service local agents from conventional brokerages like Keller Williams, Century 21, and RE/MAX.
- You get multiple agent matches so you can interview, compare marketing plans, and choose the best fit.
- Clever pre-negotiates low rates on your behalf — you get full service for a low 1.5% listing fee.
- If you buy with Clever, you could get cash back after closing.
- You may not get matched with an agent from your preferred real estate brokerage.
- Agents may not provide premium services like drone photography and professional home staging.
Clever has a 4.9 out of 5 rating on Trustpilot, based on 1,844 reviews.
Clever has pre-negotiated low commission rates with top agents in all 50 states and Washington, DC.
Redfin
Full Review💲 Listing Fee
1.5% (min. fees vary)
💰 Avg. Savings
$5,550
⭐ Avg. Customer Rating
3.7/5 (301 reviews)
Redfin offers real savings and is a proven brand. But sellers could compromise on service — especially agent experience and availability.
- If you buy and sell with Redfin, you'll get a 0.5% listing fee discount.
- Redfin gives its listings premium placement in its popular home search app.
- If finding the right agent is a top priority, you'll have limited options — Redfin only has a few agents in each of its markets.
- Redfin agents handle more customers at once than the average realtor, so they may not be able to provide as much personalized service.
Redfin has a 3.7 out of 5 rating (301 reviews) across popular review sites like Google and Yelp.
Redfin is available in 80+ U.S. markets (see all locations).
Houwzer
Full Review💲 Listing Fee
1% (min. $2,500)
💰 Avg. Savings
$7,625
⭐ Avg. Customer Rating
4.8/5 (1,400 reviews)
Houwzer has very low listing fees, but you may be frustrated working with a team instead of just your realtor.
- You’ll pay a 1% listing fee, which is one of the lowest rates in the industry.
- Houwzer’s maximum listing fee of $10,000 makes it a great deal for homes over $1 million.
- Houwzer has a small team, which limits your options if you don't hit it off with the first agent it sends you.
- The company uses a team-based approach, which increases the chances of miscommunication and mistakes.
Houwzer has a 4.8 out of 5 rating (1,400 reviews) across popular review sites like Google and Zillow.
Houwzer is available in the following locations: FL, MD, NJ, PA, VA, DC.
REX Real Estate
Full Review💲 Listing Fee
2.5% ($9,000 min.)
💰 Avg. Savings
-$325
⭐ Avg. Customer Rating
4.7/5 (1,041 reviews)
REX’s promise of huge savings is misleading. Its advertising misrepresents the significant risks of its pricing model and marketing approach. And its high minimum fees mean that many sellers won't save anything.
- REX's approach is incredibly risky — but if the gamble pays off, you could save about 50% on realtor fees
- Like other full-service brokerages, REX agents provide in-person services and support
- REX's 2.5% listing fee doesn't save you much — many full-price agents charge similar rates
- REX doesn't list your home on the MLS, so up to 90% of buyers may not even know it's for sale
- This risky marketing strategy seems likely to fail, so you may not save anything on commission
REX has a 4.7 out of 5 rating (1,041 reviews) across popular review sites like Google and Zillow.
REX is available in the following areas: AZ, CA, CO, FL, GA, MD, NV, NJ, OR, PA, TX, WA, DC.
» LEARN: How do discount real estate brokers offer lower fees?
The top flat fee MLS listing services in New Jersey
Flat fee MLS services list your home on your local MLS for a low fee, often around $250–$600. The trade-off is that you'll have to handle almost the entire home-selling process yourself.
New Jersey Real Estate Boutique
New Jersey Real Estate BoutiqueBest For
Inexperienced sellers who want a little extra guidance from the listing broker
Price Range
$395-995
Pros:
- The basic listing includes a for sale sign with a 1-888-number that forwards calls directly to your phone number. Many flat fee MLS companies charge extra for signs and automatic call forwarding.
- You can post as many open houses as you want on the MLS without paying extra.
- You can add a la carte options like professional photography and home staging if you don't want to upgrade to the agent-assisted flat fee MLS plan ($995).
Cons:
- The money-back guarantee becomes void once your listing goes live on the MLS (usually within 48 hours after you turn in your listing forms).
Realmart Realty
Realmart RealtyBest For
Sellers looking for a lot of a-la-carte options
Price Range
$395
Pros:
- You can choose from a lot of different a la carte options, like lockboxes, professional photography, and yard sign upgrades.
- If you decide to go with a full-service broker, you can get a full refund when you sign with someone Realmart referred you to.
Cons:
- You'll have to pay extra if you want to change any photos after your listing is live on the MLS.
» MORE: What you need to know about flat fee MLS services.
Tips for negotiating realtor commission in New Jersey
Whether you’re selling a renovated home in Newark, a chic condo in Jersey City, or a sprawling family home in Montclair, you should always try to negotiate a lower commission rate — it could save you thousands!
Negotiating a lower realtor percentage in New Jersey depends on two main factors: your situation and the housing market.
Factor | You may have an easier time negotiating low rates if... |
|---|---|
Your situation |
|
The New Jersey housing market |
|
While your personal situation will obviously vary, New Jersey real estate market conditions will affect all home sellers in your area.
In general, in a seller's market — where home sellers have more leverage than buyers — a listing agent's job is easier and they may be more willing to lower their commission rates. The opposite is usually true in a buyer's market.
» LEARN: Find our top tips for negotiating lower commission fees
To judge the current state of your real estate market, look at these three factors:
- Months of inventory ⓘ
- Sale to list price ⓘ
- Home value trends ⓘ
If every factor points to New Jersey being a seller's market, then you may be in a good position to negotiate a lower commission rate with your agent. If market conditions are mixed or favor buyers, it may be more challenging to persuade your realtor to accept a cheaper fee.
The current state of the New Jersey real estate market
Factor | Trends | Indication |
|---|---|---|
Months of inventory | There's 1.2 months of housing inventory on the market | Seller's market |
Sale-to-list ratio | Homes are selling for 99.12% of their listing price | Seller's market |
Home values | Home values have risen 30.38% year over year | Seller's market |
Low commission real estate companies in New Jersey
Negotiating a lower rate with a professional negotiator can be hard! In many cases, home sellers can save just as much (or more!) by selling with a low commission real estate company.
These are some of the top discount and flat-fee MLS services in New Jersey.
The top discount real estate companies in New Jersey
Discount real estate companies typically offer full-service support for a reduced commission percentage or flat rate. How they create those discounts will depend on the company's model, with some creating more risks and trade-offs than others.
Clever Real Estate
Get Started💲 Listing Fee
1.5% (min. $3,000)
💰 Avg. Savings
$5,625
⭐ Avg. Customer Rating
4.9/5 (1,995 reviews)
Clever is a quick, easy, and free way to find a top-rated local agent. And, unlike many similar companies, Clever pre-negotiates big discounts on your behalf, so you can save thousands without sacrificing on service.
- Clever offers a free, nationwide agent-matching service that partners with full-service local agents from conventional brokerages like Keller Williams, Century 21, and RE/MAX.
- You get multiple agent matches so you can interview, compare marketing plans, and choose the best fit.
- Clever pre-negotiates low rates on your behalf — you get full service for a low 1.5% listing fee.
- If you buy with Clever, you could get cash back after closing.
- You may not get matched with an agent from your preferred real estate brokerage.
- Agents may not provide premium services like drone photography and professional home staging.
Clever has a 4.9 out of 5 rating on Trustpilot, based on 1,844 reviews.
Clever has pre-negotiated low commission rates with top agents in all 50 states and Washington, DC.
Redfin
Full Review💲 Listing Fee
1.5% (min. fees vary)
💰 Avg. Savings
$5,550
⭐ Avg. Customer Rating
3.7/5 (301 reviews)
Redfin offers real savings and is a proven brand. But sellers could compromise on service — especially agent experience and availability.
- If you buy and sell with Redfin, you'll get a 0.5% listing fee discount.
- Redfin gives its listings premium placement in its popular home search app.
- If finding the right agent is a top priority, you'll have limited options — Redfin only has a few agents in each of its markets.
- Redfin agents handle more customers at once than the average realtor, so they may not be able to provide as much personalized service.
Redfin has a 3.7 out of 5 rating (301 reviews) across popular review sites like Google and Yelp.
Redfin is available in 80+ U.S. markets (see all locations).
Houwzer
Full Review💲 Listing Fee
1% (min. $2,500)
💰 Avg. Savings
$7,625
⭐ Avg. Customer Rating
4.8/5 (1,400 reviews)
Houwzer has very low listing fees, but you may be frustrated working with a team instead of just your realtor.
- You’ll pay a 1% listing fee, which is one of the lowest rates in the industry.
- Houwzer’s maximum listing fee of $10,000 makes it a great deal for homes over $1 million.
- Houwzer has a small team, which limits your options if you don't hit it off with the first agent it sends you.
- The company uses a team-based approach, which increases the chances of miscommunication and mistakes.
Houwzer has a 4.8 out of 5 rating (1,400 reviews) across popular review sites like Google and Zillow.
Houwzer is available in the following locations: FL, MD, NJ, PA, VA, DC.
REX Real Estate
Full Review💲 Listing Fee
2.5% ($9,000 min.)
💰 Avg. Savings
-$325
⭐ Avg. Customer Rating
4.7/5 (1,041 reviews)
REX’s promise of huge savings is misleading. Its advertising misrepresents the significant risks of its pricing model and marketing approach. And its high minimum fees mean that many sellers won't save anything.
- REX's approach is incredibly risky — but if the gamble pays off, you could save about 50% on realtor fees
- Like other full-service brokerages, REX agents provide in-person services and support
- REX's 2.5% listing fee doesn't save you much — many full-price agents charge similar rates
- REX doesn't list your home on the MLS, so up to 90% of buyers may not even know it's for sale
- This risky marketing strategy seems likely to fail, so you may not save anything on commission
REX has a 4.7 out of 5 rating (1,041 reviews) across popular review sites like Google and Zillow.
REX is available in the following areas: AZ, CA, CO, FL, GA, MD, NV, NJ, OR, PA, TX, WA, DC.
» LEARN: How do discount real estate brokers offer lower fees?
The top flat fee MLS listing services in New Jersey
Flat fee MLS services list your home on your local MLS for a low fee, often around $250–$600. The trade-off is that you'll have to handle almost the entire home-selling process yourself.
New Jersey Real Estate Boutique
New Jersey Real Estate BoutiqueBest For
Inexperienced sellers who want a little extra guidance from the listing broker
Price Range
$395-995
Pros:
- The basic listing includes a for sale sign with a 1-888-number that forwards calls directly to your phone number. Many flat fee MLS companies charge extra for signs and automatic call forwarding.
- You can post as many open houses as you want on the MLS without paying extra.
- You can add a la carte options like professional photography and home staging if you don't want to upgrade to the agent-assisted flat fee MLS plan ($995).
Cons:
- The money-back guarantee becomes void once your listing goes live on the MLS (usually within 48 hours after you turn in your listing forms).
Realmart Realty
Realmart RealtyBest For
Sellers looking for a lot of a-la-carte options
Price Range
$395
Pros:
- You can choose from a lot of different a la carte options, like lockboxes, professional photography, and yard sign upgrades.
- If you decide to go with a full-service broker, you can get a full refund when you sign with someone Realmart referred you to.
Cons:
- You'll have to pay extra if you want to change any photos after your listing is live on the MLS.
» MORE: What you need to know about flat fee MLS services.
Learn more
New Jersey has it all: swank condos minutes from Manhattan, wooded estates, quaint small towns, possibly the best beaches on the East Coast along the famous Jersey Shore, plus Atlantic City, the East Coast’s answer to Las Vegas. The state also has a very diverse, forward-looking economy that looks primed for a protracted boom.
New Jersey home values are very healthy, far surpassing not only the national average, but the home values of its more high-profile neighbor, New York. Further, they’ve risen sharply over the past decade, and show no signs of slowing down.
New Jersey's booming state economy, driven by tourism and thriving biotech, tech, and pharmaceutical industries, should keep both the state’s appeal and housing demand high. Though it’s an expensive market to buy into, New Jersey real estate looks like a great investment. And if you’re selling, you’re absolutely in the driver’s seat.
If you want to save thousands of dollars of commission on your New Jersey home sale, Clever pre-negotiates a low 1.5% commission rate, or a flat fee of $3,000 if your home sells for less than $350,000, with full-service real estate agents in New Jersey. Contact Clever today to get started on your commission savings!
Methodology
We gathered our commission rate data from a survey of 630 of our partner agents. The survey asked about standard local rates for both listing and buying agents.
Additionally, we utilized the following data from Zillow and Realtor.com:
- Home values, list prices, and sale prices: Based on Zillow data as of March 2023
- Sale prices and sale-to-list ratios: Based on Redfin data as of February 2023 (unless specified otherwise)
- Months of inventory: Based on Realtor.com data as of February 2023