When selling a home people may wonder what percentage of the sale do realtors charge?
The average fee for a realtor is six percent of the sale of the home. This money does not have to be upfront and it is paid at the closing. The selling agent needs to share their cut with the buyer’s agent. The buyer’s agent can get anywhere between one to three percent of the total sale from the seller’s agent.
Can a homeowner lower the percentage rate?
While the six percent is standard there may be some cases where a homeowner can negotiate a lower percentage rate on the sale of their home. If the person has used the realtor before or they have several properties listed with the agent they may get another agreement at a lower rate. If the home is a luxury property the seller can negotiate a lower rate. Even at a smaller percentage rate, the real estate agent will still do well from the sale.
What does a realtor do to earn their percentage?
The real estate agent will list the home on the market and will advertise the property. They will be responsible for the negotiations and be the go-between from the seller to the buyer. They will handle all of the required paperwork to sell the home and they will draw up the contract. Most people do not have the time or the skills to list their home or complete all of the paperwork so they use a realtor.