Is a 6% Real Estate Commission Still Standard in 2025?

The once-standard 6% real estate commission is no longer the norm — but it hasn’t vanished, either. The standard real estate commission in 2025 averages 5.57%, slightly higher than before the NAR settlement took effect.

Clever Real Estate co-founder Luke Babich explains that this reversal surprised many, including his own team. “There were great expectations, including from us, that commissions were likely to drop after the NAR settlement,” Babich says. 

Clever's data shows that buyer’s agent fees did dip briefly — from about 2.6% to 2.5% — but that drop was short-lived. "By early 2025, commissions had rebounded and even climbed higher than last year’s levels," he says. 

According to Babich, this rebound underscores a fundamental truth: buyers continue to value professional representation and are willing to pay for it, especially when the cost is factored into the overall price of the home.

In other words, the 6% model may be fading, but the total fees sellers pay aren’t dropping the way many predicted. Fortunately, sellers don’t have to wait for the market to change to save money.

Clever Real Estate connects you with top-rated local agents from major brokerages like Keller Williams and RE/MAX who offer full service for a pre-negotiated 1.5% listing fee—saving you thousands compared to the old 6% model. Compare top agents and see how much you could save today.

What is 6% real estate commission?

The 6% real estate commission has long been considered the traditional standard in U.S. home sales. Historically, this total fee covered both the seller's agent and the buyer’s agent, with each receiving roughly 3%.

In recent years, average commission rates have fallen from the classic 6% benchmark to around 5.6% nationwide. Trends show that rates fluctuate depending on local market conditions, competition, and seller demand.

Realtor commission trends: Are 6% fees making a comeback?

The chart below shows five years of national and state-by-state trends from Clever’s Real Estate commission survey. You can select your state to see how local commission rates compare — and whether agents in your area are charging closer to, or below, the traditional 6% benchmark.

Average commission rates have fluctuated over the past five years, but the long-term trend shows they’re creeping back toward the traditional 6% mark.

After dipping to around 5.32% in 2024 — the lowest point in Clever’s five-year survey — rates rebounded sharply in 2025 to roughly 5.57%, their highest level since 2021.

This rebound shows that, despite predictions after the NAR settlement, commissions haven’t dropped. Instead, rates are climbing again as many sellers still cover buyer agent fees and the market settles into a new normal.

💰 How much does a realtor make on a $500,000 sale?

To understand how a 6% real estate commission works in practice, it helps to break down a typical home sale.

Realtor commissions are usually paid by the seller and split between two agents — one representing the seller and the other representing the buyer. The total fee is based on the home’s final sale price, so the higher the price, the more each agent earns.

This means the seller pays around 3% to the listing agent who markets the property and 3% to the buyer's agent who brings in the purchaser, and the fee is calculated based on the home's final sale price.

So if you sell your home for $500,000 with a 6% total commission, you’d pay $30,000 in realtor fees—$15,000 to each agent. 

💬 Do I still need to pay 6% commission in 2025?

The traditional 6% commission is no longer the default — but it hasn’t disappeared. After the NAR settlement took effect on August 17, 2024, buyers and sellers gained more control over how commissions are negotiated and who pays them.

Here’s what’s changed:

• Buyers must sign an agent agreement before touring homes, outlining what services their agent will provide and how they’ll be paid.
• Sellers no longer have to offer buyer’s agent commission or advertise it in the MLS.[1]
• Buyer’s agent fees are negotiable, and can be requested as part of the purchase offer, similar to asking for closing cost help.

These updates were expected to lower seller costs. But in reality, most sellers still offer buyer agent compensation, especially in competitive markets or when working with first-time buyers who can’t afford to pay those fees out of pocket.

“If sellers don’t offer buyer agent compensation, they may see fewer showings—especially from buyers who can’t afford to cover that cost themselves,” says Shane Parker, a broker in Metro Detroit. “It’s a strategic decision and needs to be part of your pricing and negotiation plan.”

Commissions are now more flexible than ever, but in most markets, the total still hovers around 5.5–5.6%. The key takeaway: 6% is no longer the rule — but it’s still the reality for many sellers.

Discount broker models gain traction

The NAR settlement has also given a major boost to discount real estate brokerages. These services offer full-service representation for a fraction of the traditional 3% listing fee, helping sellers cut their total commission from 6% to 4.5% or less.

Discount brokers like Clever Real Estate and Redfin match sellers with top-rated local agents who charge just 1.5% for listing services. Clever partners with agents from well-known brokerages like Keller Williams or RE/MAX.

 With buyer's agent fees now negotiable and less commonly offered upfront, sellers using these low-commission options can potentially save thousands, without sacrificing service or support.

Is a 6% commission realtor ever worth it?

With record home prices and fewer listings, many agents earn more per sale, making 6% less justifiable and commissions more flexible.

However, commission rates vary widely based on location, home value, the real estate agency, market trends, and other factors. In some cases, hiring an agent who charges a 6% total commission may be practical.

For example, paying 6% might be worthwhile if:

• You find a top local agent who offers full service and hands-on support throughout your home sale, and they have a strong track record.
• The agent provides extra marketing efforts, including open houses, social media promotions, 3D tours, and aerial photography, to help your home sell quicker and for more money.
• The agent's commission covers the cost of home staging or other additional services that would cost you thousands of dollars.
• Agreeing to cover the buyer's agent fee in full creates better negotiations and flexibility between you, the buyer, and their agent.
• The agent helps you secure a sale price that exceeds your expectations, offsetting the added commission cost.

When paying 6% commission could make sense

Let's say you're selling a home valued at around $500,000 and can choose between Agent A, who charges a listing fee of 3%, and Agent B, who charges 1.5%.

• Agent A secures a full-price offer of $500,000;
• Agent B's 1.5% fee gets you a below-list price offer of $490,000.

In this example, it's worth paying the higher commission, as you'd still earn $2,350 more with the higher-cost agent. Despite the higher commission rate, the first agent’s ability to secure a stronger offer results in more money in your pocket.

If you want full service but don’t want to gamble on commission eating into your profits, a low commission model like Clever offers a better middle ground.

Remember that this 6% rate assumes you're responsible for the buyer's agent fee. Under the NAR settlement, you might not have to pay this fee, or you could perhaps negotiate to pay only part of it. For example, this could lower your total commission to 3-4% instead of 6%. 

However, opting not to pay the buyer's agent fee could lead to tougher negotiations on other aspects of the sale, such as the final sale price, repairs, or closing costs. Buyers may seek these other concessions to offset the added cost. It's best to consult with a local realtor for more market-specific advice.

Where does the commission go?

A 6% commission rate may seem like overpaying, but agents don't keep it all.

• Commissions are split between the listing agent, buyer’s agent, and their brokerages.
• On a $500,000 home, a 3% listing commission is $15,000. But an agent with a 50/50 split might only take home $7,500.

“Splits can range from a flat fee to 50% or more,” says realtor Kristyn Grewell. “High-producing agents usually get better splits, while newer agents give more to their brokerage.”

Example: Anywhere Real Estate, which includes brands like CENTURY 21® and Coldwell Banker®, reported an 80% commission split in its most recent public filing.[2]

I can relate to this from my own experience as a former agent. Initially, my commission splits were 30% for me and 70% for my brokerage. As I reached higher sales volumes, these splits improved to 50/50 and eventually to 70/30 in my favor.

How to pay less than 6%

1. Work with a company that offers built-in savings
2. Negotiate with your agent
3. Sell your home for sale by owner (FSBO)

Thankfully, there are ways to pay much less than 6% currently, while still getting full-service support from a top-rated realtor.

1. Work with a low commission realtor

The most reliable way to save money on realtor fees is to work with a real estate brokerage that offers built-in savings. The best low commission realtors offer discounted listing fees in exchange for full service and support from a high-quality realtor.

For example, Clever Real Estate offers a low 1.5% listing fee and matches you with top, full-service realtors in your area.

On a median-priced home sale of $363,932, you'd save $6,624 with Clever compared to what you'd pay with an agent charging the national average rate of 5.57%!

Clever is also backed by strong customer ratings, with over 3,000 5-star reviews on TrustPilot, and since its inception, more than 23,000 customers have sold or bought a home using Clever's agents.

2. Negotiate realtor commission

Real estate commissions are technically always negotiable, and it's worth it to try negotiating a lower rate. Even a 1% difference can save you thousands in commissions.

That said, your realtor may not be willing to budge on commission — especially if your home is less expensive than the area average or comparable homes in your area are selling slowly.

Negotiating with an industry professional can also be challenging. One study found that only 22% of home sellers discussed commissions and successfully negotiated a lower rate with their agents.[7]

In addition, many realtors work for brokerages with set minimum commission requirements, so your agent may be unable to lower their rate.

» MORE: How to negotiate realtor fees

3. Sell your home for sale by owner (FSBO)

You can avoid paying a listing fee by selling your home without an agent, but this means you'll handle the entire sale process yourself. This includes setting a listing price, marketing to potential buyers, and navigating negotiations and closing. Essentially, you’re giving yourself a new job that may or may not pay well when all is said and done.

While the potential savings are real, there are several risks involved with selling FSBO homes. Statistics show that homes sold by owners typically sell for nearly $50,000 less than those sold with the help of an agent.[8] Unsurprisingly, 89% of buyers and sellers used an agent in their transactions, indicating a high reliance on professional assistance.[9]

The bottom line is that FSBO can work for experienced home sellers who are comfortable pricing, marketing, and negotiating on their own. But for most people, it can mean leaving money on the table—or making costly mistakes.

» MORE: How to sell your house without a realtor

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