Real Estate Commission Fees

Understanding the cost of selling a home

Understanding Real Estate Commission FeesSo you’ve made the decision to sell your home or condo in Durham and now it’s time to hire me to get the job done quickly and efficiently. Well, if you’re a first time home seller and aren’t quite as familiar with how real estate commission works, let’s dive littler deeper into it below…

What are real estate commission rates?

A typical real estate commission is 6 percent of the sale price, which is divided equally between the buyer’s agent and the seller’s agent. Each party receives 3 percent, unless the listing agent also finds a buyer, in which case that agent will receive the entire 6 percent commission fee.

Who pays real estate commission?

If you’re a home buyer, good news—you won’t pay commission fees. Only home sellers are responsible for commission costs, which are paid when the home closes.

Are commission fees negotiable?

While some agents will lower their commission fees, it’s usually only done when one agent is representing both the buyer and the seller.

Will you have to pay real estate commission if your home doesn’t sell?

In most instances, home sellers will sign a listing contract that gives an agent a certain period of time to sell your home. Should that contact expire without an agreed upon deal between all parties involved, sellers aren’t required to pay a commission. Every listing contract is different, but I’ll go over all the details and fine print before you sign any contract.