Deciding to sell your home is the first step to boost your homeselling profits. You may think that selling your home by yourself is the best call to avoid paying any realtor fees. However, hiring a real estate agent can help you sell your home faster, boost your profits and avoid any homeselling headaches.
You might be thinking about it twice because you don’t know how much a realtor’s commission for selling a home is. Believe it or not, understanding realtor fees is easier than you think.
Want to know how much your real estate agent may charge you? We’ll tell you all you need to know to figure out how much your agent may charge you for selling your home.
What Are Real Estate Agent Fees?
Realtor commissions are the fees paid to the real estate agent for their services. If your realtor is a full-service agent, he or she will cover from listing your house to staging it for potential buyers.
On average, each realtor involved in a sale receives between 2.5% to 3% of the home sale price. The agents that represent the buyer and seller will receive their commission at the closing of the sale.
A real estate agent may tell you that they’ll charge you a 6% commission. However, these rates are negotiable. Also, keep in mind that your agent won’t receive 6% from your home sale.
Your real estate agent will split this commission with the buyer’s real estate agent. However, the agent has to pay 30% to 50% of their commission to their real estate broker such as Remax, Keller Williams, among other major companies. The agent’s brokerage handles the advertising of your house such as the sign in your yard.
Keep in mind that homesellers are responsible for paying the realtor fees. Yet, you may receive a competitive offer from a buyer offering to pay a portion of the realtor fees. If you get this lucky, you may pay even less in fees and boost your homeselling profits.
How Much Are the Realtor Fees for Selling Your Home?
Your realtor fees will depend on your agreement with your agent and your home sale price. If you sell your property for $300,000 under a 6% commission agreement, you will have to pay about $18,000 in realtor fees.
The listing agent and buyer agent don’t receive the same amount. Your real estate agent will receive about 3% to 4% commission depending on the agreement between the realtors. The buyer’s agent will receive between 2% to 3% of the sale price.
In our example, your agent may receive between $9,000 to $12,000. While the buyer’s agent may receive $6,000 to $9,000. As a seller, you wouldn’t be involved in the negotiation of these rates.
How Can You Calculate the Realtor Fees for Selling Your Home?
Calculating your realtor fees is easier than you think. You can multiply your home sale price by the agreed commission rate. If you sell a house listed for $450,000 under an agreed 6% commission rate, you will pay $27,000 real estate in commissions.
A 6% commission can be a hefty price for selling your home. However, that isn’t your only option. You may consider partnering with one of our Clever Partner Agents. Believe it or not, our agents charge a lot less for selling your home.
When you choose a Partner Agent, you’ll be charged a flat fee of $3,000 or 1% if your home sale price is over $350,000. When sellers hire a Clever Partner Agent, they save on average $10,000 while receiving the best quality service in their market. Our Partner Agents will be your full-service agent providing an all-around approach to your home sale.
The agent will take high definition photos from your home, list it on MLS, show your house, among other added value. They will be your true partner in selling your home.
Selling a home isn’t easy and can be stressful for everyone involved in the transaction. An agent will help you sell your home at the best price and make sure the sale runs smoothly.
Clever Partner Agents are experienced top performers in your market who know how to handle negotiating with potential buyers and market your home. Hiring the best real estate agent in your market will help you avoid any headaches, increase your homeselling profits and odds of selling home faster.