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If a real estate agent works with a buyer or a seller for weeks or even months without a resulting transaction, then they just aren’t paid for their time.<\/p>\n\n\n\n
Realtors earn a commission based on the sales price of the home and they only receive that commission only after the transaction goes to closing.<\/p>\n\n\n\n
Commissions are negotiable between listing agents and their clients. Some brokerages offer commission discounts for sellers, but a typical commission is between 5 and 6 percent of the sales price.<\/p>\n\n\n\n
Most of the time, the commission is evenly split between the buyers’ agent and the listing agent, but sometimes the split is negotiated unevenly.<\/p>\n\n\n\n
For example, a seller could agree to pay a 5.5 percent commission divided so that the listing agent receives 3 percent and the buyers’ agent receives 2.5 percent. So it all depends on what they agreed on.<\/p>\n\n\n\n
Who Ends Up Paying the Commission?<\/p>\n\n\n\n
Technically, the total commission is always paid by the seller at the closing table, where the fee is subtracted from the proceeds of the home sale.<\/p>\n\n\n\n
The commission is split at the settlement table between the listing agent’s brokerage and the buyers’ agent brokerage; then the agents themselves are paid by their brokers.<\/p>\n\n\n\n
Now if it’s a short sale property, then it works a bit differently and I’ll be talking in detail about that in my next video. “How Do Realtors Get Paid on a short sale”<\/p>\n\n\n\n
For more information call us at 407-902-7750 or visit us at https:\/\/orlandorealtyconsultants.com\/<\/a><\/p>\n\n\n\n