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FROM MY DESK TO YOUR'S

Who pays the Real Estate Agents Commission? How much?

Updated: Jan 7, 2023

WHO PAYS THE REALTOR COMMISSION?

Historically, the seller will pay all of the real estate commissions for both sides of the transaction. This system has been in place for decades. At the closing table, there will be a breakdown of fees for both the buyer and seller. On the closing statement, it will show the agreed upon real estate commission from the seller's listing agreement. That money is then deducted from the seller's proceeds and delivered to the real estate agents after the home sells. Often the sales commission is paid to the agent's brokerage and then disbursed to the agent.



If the closer has a "Disbursement Authorization" form permitting the closer to pay the agent directly, they will get paid at closing. Otherwise, the closer will write a check to the agent's brokerage, and then the agent will have their brokerage pay them later. Every real estate brokerage handles this process differently.

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