Realtor Commission Calculator
See the commission on a sale, how it splits, and what each agent keeps.
Details
= $22,000 across both agents
50% splits it evenly. Since 2024 the two sides are agreed separately.
Total commission
$22,000
5.5% of $400,000, divided between two sides
Listing side
$11,000
Buyer side
$11,000
Listing agent keeps
$7,700
Buyer's agent keeps
$7,700
Each 1% costs
$4,000
Biggest single share
1.93%
This works out the total commission on a home sale, how it divides between the listing side and the buyer's side, and what each agent keeps after their brokerage takes its cut.
Enter the sale price and the rate to see what the seller pays. Open If you're the agent to see a single agent's take-home.
How realtor commission works
Realtor commission is the fee paid out of a home's sale price when it closes, almost always as a percentage of that price rather than a flat amount. On a $400,000 sale at 5.5%, that is $22,000.
The number that matters is not the headline rate, because the headline is divided twice before anybody is paid. First between the two sides, the listing agent's and the buyer's. Then again between each agent and the brokerage that holds their licence.
Run the $22,000 through both divisions and the largest cheque any single person receives is around $7,700 — 1.9% of the sale price, not 5.5%. That gap is the single most misunderstood thing about commission, and it cuts both ways: sellers overestimate what their agent pockets, and new agents overestimate what they are about to earn.
Since August 2024 the two sides are negotiated separately rather than set together, so the even 50/50 split is now a convention rather than a rule. Work out the whole picture with the seller net proceeds calculator once you have the commission figure.
The seller writes off 5.5%. The best-paid individual in the transaction receives 1.9% of the price, before their own tax and expenses.
What to enter
- Sale price
- The agreed price, not the asking price. Commission is charged on what the house actually sells for.
- Total commission
- The combined rate across both agents. Historically 5-6%; it is fully negotiable and always has been.
- Your brokerage split
- The share an agent keeps from their own side. New agents are often on 50%; a established producer may be on 80-90%.
- Transaction fee
- A flat desk, franchise or compliance fee some brokerages take off the agent's share on every deal.
What this assumes
Commission is paid at closing out of the sale proceeds, so a seller never writes a cheque for it separately.
This does not include the seller's other closing costs — title, escrow, transfer tax and any concessions — which commonly add another 1% to 3%.
Agents are self-employed in almost all cases, so the take-home figures here are before income tax, self-employment tax and their own marketing costs.
How to calculate a real estate commission
Take the rate off the sale price, split the result between the two sides, then split each side again with the brokerage. Three multiplications, and the last one is the one people skip.
- sale price
- The agreed price the home sells for.
- rate
- The total commission percentage across both sides.
Take the rate off the price. Multiply the sale price by the rate and divide by 100. On $400,000 at 5.5%, that is $22,000. This is the figure that leaves the seller's proceeds.
Split it between the two sides. Apply the listing side's share. At an even 50/50, each side receives $11,000. If the seller agreed 3% to their own agent and 2.5% to the buyer's, the split is 55/45 instead.
Split each side with the brokerage. Apply the agent's split to their own side. An agent on a 70% split keeps $7,700 of their $11,000; the brokerage keeps $3,300. Any flat transaction fee comes out of the agent's share after that.
Check what a point is worth. Divide the sale price by 100. On a $400,000 home each percentage point is $4,000, which is what you are actually negotiating over when an agent moves from 6% to 5.5%.
See a worked example: A $300,000 sale at 5%
- Sale price
- $300,000
- Total commission
- 5%
- Listing side's share
- 50%
- Agent's brokerage split
- 70%
Total commission: $300,000 × 5 ÷ 100 = $15,000.
Each side: $15,000 ÷ 2 = $7,500.
The listing agent's share: $7,500 × 70% = $5,250, leaving $2,250 with the brokerage.
The seller keeps $300,000 − $15,000 = $285,000 before their other closing costs.
$15,000 total, of which one agent receives $5,250 — 1.75% of the price.
Frequently asked questions
- What percentage do most realtors charge?
Most residential sales in the United States run between 5% and 6% in total across both agents, and that band has held for decades. The Consumer Federation of America has documented how uniform the rate has historically been across markets.
There is no set or legal rate. Commission is negotiable in every state, and since August 2024 the seller's side and the buyer's side are agreed separately rather than as one number.
- Is 2% a good realtor fee?
A 2% listing fee is well below the typical 2.5-3% one side commands, so it is a good rate for a seller if the service behind it is the same. Discount and flat-fee brokerages advertise rates in that range.
Check what is included before comparing. A lower rate sometimes means limited photography, no open houses, or that you handle showings yourself, which may or may not matter on a home that will sell quickly.
- What is a realtor's commission on a $300k house?
On a $300,000 sale, a 5% total commission is $15,000 and a 6% total is $18,000. At 5.5% it is $16,500.
That total is then split between the two sides, so each agent's side of a 5% deal on that house is $7,500 before their brokerage takes its share.
- What is the commission rate of 5% on a sale of $250,000?
5% of $250,000 is $12,500. The seller keeps $237,500 from the price before their other closing costs.
Divided evenly, each side receives $6,250, and an agent on a 70% brokerage split would keep $4,375 of that.
- Who pays the realtor commission, the buyer or the seller?
Commission comes out of the sale proceeds at closing, so it is deducted from what the seller receives. The seller pays their own listing agent directly.
Since the August 2024 rule change, buyers agree their agent's fee in writing with that agent before touring homes. The seller may still agree to cover some or all of it, but it is now negotiated rather than assumed.
- How much does a realtor actually keep from a sale?
Far less than the headline rate. After the sale splits between two sides and each agent splits with their brokerage, a typical agent receives roughly a third of the total commission.
On a $400,000 sale at 5.5%, that is around $7,700 of the $22,000 — and that figure is before self-employment tax, marketing costs and any flat brokerage fees.
Problems people actually run into
Assuming the rate is fixed
Commission has always been negotiable, and it is now explicitly required to be presented that way. A half-point on a $400,000 home is $2,000.
The practical limit is what the market will carry: an agent who cuts their side may also be cutting the marketing budget that comes out of it. Ask what changes at the lower rate rather than whether the rate can move.
Confusing the total with one agent's pay
A seller looking at $22,000 is not paying one person $22,000. It is divided between two sides and then with two brokerages.
The reverse mistake costs new agents more. A first-year agent on a 50% split closing a $300,000 sale at 5% sees $15,000 quoted and receives $3,750.
Forgetting that the buyer's side is now separate
Before August 2024, a seller agreed one rate and the MLS advertised what the buyer's agent would receive out of it. That advertisement is now prohibited.
Sellers today agree their listing fee, then decide separately whether to offer anything toward the buyer's agent. Treating it as one number is how people end up surprised at closing.
Budgeting for commission and nothing else
Commission is the largest selling cost but not the only one. Title, escrow, transfer taxes, prorated property tax and any buyer concessions commonly add another 1% to 3% of the price.
Run the full figure through the seller net proceeds calculator before you commit to a price you need to clear.
Results are estimates for general information only and are not professional financial, medical, or legal advice. Read our full disclaimer.
Sources
- What the NAR Settlement Means for Home Buyers and Sellers · National Association of Realtors
- Summary of 2024 MLS Changes · National Association of Realtors
- Diverse Real Estate Commissions · Consumer Federation of America
Last updated: September 11, 2026