2 answers
Dwayne
Student
Miami Gardens, Florida
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Questions
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What is the highest percentage of pay can a real estate agent be paid from selling a home or any type of property?
#real-estate
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2 answers
Julio Guzman
Train, manage, agents, and run day to day operati o ns of the brokerage
10
Answers
Tampa, Florida
Updated
Julio’s Answer
Any commission is determined by agreement between Broker and the person agreeing to pay it. (plain and simple). The amount can be a flat fee, a percentage of sales or contract price, either party to the contract (who agreed in writing) can pay; it can even be split between the parties. The amount is arbitrary to the agreement.
Most real estate agents who use for example the MLS, a "selling-agent" is entitled only what was offered in the listing as a co-operating broker; *note- must be paid through an employing broker, sales associates cannot get paid without or outside of their brokerage. Thus, if you want a specific amount, then a Brokerage agreement should be executed with that Buyer or Seller; specifying the amount to be paid and who is paying and who is recieving.
As to the amounts, that as above is determined by agreement, and is comensurate with duties and obligations performed per that agreement. These fee's or commissions vary in degree from as low as $1.00 dollar to as High as the sky! I have personnally, depending on the transaction, been paid as much as 7% for one residential transaction, and 10% for another (commercial); property management fees vary as well, from 4% to as high as 15% of EGI-effective gross income. There is no "cookie-cutter" rule, that would be illegal, known as price-fixing or violating the "sherman-Clayton act and other state and federal laws.
Most real estate agents who use for example the MLS, a "selling-agent" is entitled only what was offered in the listing as a co-operating broker; *note- must be paid through an employing broker, sales associates cannot get paid without or outside of their brokerage. Thus, if you want a specific amount, then a Brokerage agreement should be executed with that Buyer or Seller; specifying the amount to be paid and who is paying and who is recieving.
As to the amounts, that as above is determined by agreement, and is comensurate with duties and obligations performed per that agreement. These fee's or commissions vary in degree from as low as $1.00 dollar to as High as the sky! I have personnally, depending on the transaction, been paid as much as 7% for one residential transaction, and 10% for another (commercial); property management fees vary as well, from 4% to as high as 15% of EGI-effective gross income. There is no "cookie-cutter" rule, that would be illegal, known as price-fixing or violating the "sherman-Clayton act and other state and federal laws.
Hassan Al
Product Management Professional
372
Answers
Austin, Texas
Updated
Hassan’s Answer
According to https://www.simpleshowing.com/blog/what-is-the-real-estate-commission-in-florida the sellers typically pay a 5% fee. 2.5% to the seller's agency and 2.5% to the buyer's. However, these fees are negotiable and some agencies like Redfin only charge a 1% seller fee.
Of the seller's fee the agent typically gets ~50% but that will depend on the terms the agent has with their broker. Sometimes agents will become brokers so they get to keep more of the commission but that has its own challenges and costs. https://www.flcaa.com/post/what-is-the-difference-between-a-real-estate-agent-and-broker
So if you were a broker/agent AND represented both the buyer and seller (uncommon due to conflict of interest) then you could get the max 5% commission.
Of the seller's fee the agent typically gets ~50% but that will depend on the terms the agent has with their broker. Sometimes agents will become brokers so they get to keep more of the commission but that has its own challenges and costs. https://www.flcaa.com/post/what-is-the-difference-between-a-real-estate-agent-and-broker
So if you were a broker/agent AND represented both the buyer and seller (uncommon due to conflict of interest) then you could get the max 5% commission.
Extremely detailed and helpful I appreciate this information
Dwayne