When a home is listed, the seller and the sellers agent are signing these "who pays what" provisions into a listing contract where the seller agrees to pay a certain percentage to have their home sold. The buyer will usually pay a transaction fee to the real estate company but the commission is usually with the seller.
A common commission for real estate agents is 6% of the purchase price of the property. The fee is paid at closing by the seller, unless some other arrangement has been made.
Negotiating the amount you pay to your real estate agent could therefore be the easiest way to save money. In a typical home sale, each party — the buyer and the seller — works with his or her own real estate agent. But it’s the seller who generally pays the commission for both real estate agents from the proceeds of the sale.
The house is on the market for about $300,000 and the mortgage is $192,000. There is also the real estate agent’s commission..
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The seller normally pays the agent’s commission. In some cases, if the listing only pays the buyer broker and seller’s agent commission then the buyer would pay the buyer broker’s commission which is negotiated upfront.
Real estate commissions can vary. But agents typically receive between 5% and 6% of the home sale price. So if a home sells for $300,000, the agent’s cut could range from $15,000 to $18,000. How Commissions Are Divided. Usually, there are two agents in a real estate transaction – one on the buyer’s side and one on the seller’s side.
Who Pays Massachusetts Realtor Fees? When considering the Realtor fees for selling a house in Massachusetts, keep in mind that the total real estate commission rate is decided upon before a home is placed in the Multiple Listing Service (MLS). A total amount of compensation is decided upon between the property owner and the real estate agent representing them, the listing agent or broker.