A realtor’s commission from a home sale can vary based on location and the individual agent. The average total commission in the U.S. is 5.57%, split between the seller’s and buyer’s agents, and it's paid from the sale proceeds.
Realtor fees make up a large part of home sale costs — often 70% or more. On a median U.S. home of $363,505, sellers pay about $10,251 to their listing agent and $9,996 to the buyer’s agent.
The good news is, there are simple ways to save on realtor commissions without giving up quality service.
For example, Clever Real Estate works with top agents from trusted brokerages to offer low commission rates. These agents provide full-service support at a reduced listing fee of just 1.5%, compared with the typical 2.5–3%. Find a top agent near you today and save thousands on realtor fees.
What percentage do real estate agents make?
Agent | Average rate |
---|---|
Listing agent | 2.82% |
Buyer's agent | 2.75% |
Total | 5.57% |
The percentage agents make varies by state and region.
Our survey shows that the national average commission rate is 5.57%, ranging from 4% to 6%. The seller's agent receives an average of 2.82%, and the buyer's agent gets 2.75% of the home sale proceeds.
Similarly, Anywhere Real Estate, the parent company of Coldwell Banker and Century 21, disclosed an average brokerage commission rate of 2.45% for the seller side in its latest quarterly report.[1]
Why do commission rates vary?
Although national averages show trends in real estate commission, they don't tell the whole story.
Rates may vary depending on the property's value (higher-priced homes may have lower rates), condition, and location, as well as the complexity of the sale and the services provided by the agent.
For example, the average total commission in Hawaii is 5.03%, while commission rates in West Virginia average 5.65%.
» Find the average commission rate in your area.
Real estate commission in dollars
$300,000 home | $500,000 home | $750,000 home | |
---|---|---|---|
Seller's agent commission (3%) | $9,000 | $15,000 | $22,500 |
Buyer's agent commission (3%) | $9,000 | $15,000 | $22,500 |
Total commission (6%) | $18,000 | $30,000 | $45,000 |
To illustrate how commission costs add up, let's say you sold your home for $500,000. If both the buyer's agent and the seller's agent have a 3% commission rate, you would pay $30,000 in total realtor fees.
However, you don't have to pay 6% in total commissions. Instead, you can use a low-commission agent to cut the seller's agent fee in half.
If you pay a 3% buyer's agent fee and a 1.5% seller's agent fee, your total commission cost would be 4.5% — which would save you $7,000.
The "standard" 6% commission predates the internet, when realtors had to work harder to find clients and potential buyers.
At Clever, we connect top-rated real estate agents with sellers like you at zero upfront cost to the agents — so they’re willing to pass savings along to you.
You get full service for a pre-negotiated low listing fee (1.5% instead of the typical 3% rate), which can save you tens of thousands at the closing table.
Who pays realtors?
Traditionally, the seller pays for both their listing agent and the buyer's agent, as outlined in the listing agreement.
Sellers often agree to cover the buyer’s agent fee because it makes their home more attractive and financially accessible to buyers. Most buyers can’t easily pay their agent out of pocket, so having the seller fold the fee into the purchase price allows the buyer to finance it as part of their mortgage and reduces their upfront costs.
However, after the 2024 NAR lawsuit settlement, sellers can no longer advertise a set buyer’s agent commission in their MLS listings. Instead, buyers and their agents must agree on the rate in writing before agents show homes.
Sellers still commonly cover this cost via a concession at closing, but buyers are responsible for anything the seller doesn't cover.
How much do real estate agents make on commission?
On paper, agents receive $3,635 to $16,358 from the average home sale. However, the average realtor's take-home pay in the U.S. is only around $6,151.
This is much less than the commission fees you'll pay at closing. Most real estate agents work through a brokerage, such as Keller Williams, Coldwell Banker, or RE/MAX. Because brokerages cover certain overhead costs, agents must pay them part of their commission after the sale closes.
After the brokerage receives the commission, it pays out the agents and subtracts any fees associated with the brokerage.
An agent's exact take-home pay depends on the agreement they've worked out with their brokerage. More experienced agents generally keep higher commission percentages than less experienced ones.
Take-home pay for the average sale | |
---|---|
Listing agent | $2,181–9,815 |
Broker | $1,454–6,543 |
Can you negotiate realtor commission?
In theory, you can negotiate realtor fees, but many agents stick closely to their standard rates. In fact, only about 22% of sellers successfully negotiate the commission down.[2]
Certain scenarios may increase your chances of securing a lower rate:
- Buying and selling with the same agent: When agents handle both sides of the transaction, they're more likely to consider a reduced rate due to the increased earnings from combined commissions.
- Using a dual agent: If the same agent represents both the buyer and the seller, they may be willing to lower the overall commission since they earn the full amount themselves.
- Selling in a competitive seller's market with limited inventory: In hot markets, agents are motivated to secure listings quickly to beat out the competition. Homes are also easier to sell, which means agents have to put in less work for their commission.
The easiest way to save on realtor commission
Negotiating the commission rate on your own can be challenging.
An easier way to save is to work with a low-commission agent. This is a straightforward path to reduced rates without sacrificing service quality.
These agents charge a listing fee as low as 1.5% — while still providing full-service support, including pricing guidance, marketing, showings, and negotiations. You get the same expertise as a traditional agent but keep more of your sale proceeds.
You can quickly find top low-commission agents through a free service like Clever Real Estate.
The process is simple: you answer five short questions, and Clever sends profiles of recommended local agents to your inbox, often within minutes. Each agent offers a pre-negotiated 1.5% commission rate and has been vetted for years of experience, successful sales, high customer ratings, and more.
You can interview the agents, request more matches, or walk away at any time. Sellers save an average of $7,000 while still getting the full suite of traditional services. Get matched with the top 1.5% agents in your area, and save thousands in realtor fees.
- Answer 5 simple questions about your sale
- Get matched with 2–3 top local agents in minutes
- Compare options, choose the best fit, save up to 50% on fees