Real Estate Commission Calculator

Real Estate Commission Calculator

Real Estate Commission Calculator

Calculate commissions and net proceeds for your property sale

Property Details
Commission Split
Additional Fees
Commission Breakdown
Total Commission
$0
Net Proceeds to Seller
$0
Listing Broker Share
$0
Selling Broker Share
$0
Listing Agent's Commission
$0
Selling Agent's Commission
$0
Listing Broker's Commission
$0
Selling Broker's Commission
$0

Commission Information

Typical Commission Rates: Residential real estate commissions typically range from 5-6% of the sale price, though this can vary by market.

Standard Splits: The commission is usually split evenly between listing and selling brokers (50/50), with agents typically receiving 70-80% of their broker's share.



This tool helps estimate agent commissions for property sales, including:

  • Total commission amount

  • Listing vs. buyer agent splits

  • Net proceeds after commission


How Real Estate Commissions Work

  1. Standard Commission Rates: Typically 5-6% of sale price (varies by market)

  2. Split Between Agents: Usually 50/50 between listing and buyer's agents

  3. Broker Fees: Agents often pay 20-50% of their share to their brokerage


Commission Calculation Formula

Total Commission=Sale Price×(Commission %100)Listing Agent Share=Total Commission×(Listing %100)Buyer Agent Share=Total Commission×(Buyer %100)Seller’s Net Proceeds=Sale PriceTotal CommissionOther Fees

Example Calculation

ParameterAmount
Sale Price$500,000
Total Commission Rate5.5%
Listing/Buyer Agent Split50/50

Calculations:

  1. Total Commission: $500,000 × 5.5% = $27,500

  2. Listing Agent Share: $27,500 × 50% = $13,750

  3. Buyer Agent Share: $27,500 × 50% = $13,750

  4. Seller's Net Proceeds: $500,000 - $27,500 = $472,500 (before other fees)


Commission Structures

TypeHow It WorksBest For
Standard %5-6% of sale priceTraditional sales
Flat FeeFixed amount (e.g., $5,000)High-value properties
Tiered %Lower % after certain priceLuxury homes
Discount Broker1-3% (limited services)FSBO support

Factors Affecting Commission

  • Market norms (Urban vs. rural areas)

  • Property type (Luxury, commercial, land)

  • Negotiation (Some agents accept lower rates)

  • Dual agency (If one agent represents both sides)


How to Reduce Commission Costs

  1. Negotiate the rate (Common in hot markets)

  2. FSBO (For Sale By Owner) + Flat Fee MLS listing

  3. Discount brokerages (1-3% commission models)

  4. Offer buyer agent bonus instead of higher %


Try the Calculator

Enter your numbers:

  • Sale Price: $_______

  • Total Commission Rate: ___%

  • Listing/Buyer Split: %/%

Results:

  • Total Commission: $_______

  • Listing Agent Gets: $_______

  • Buyer Agent Gets: $_______

  • Your Net Proceeds: $_______