Home Buying in 92029>Question Details

Dan Burstain,…, Real Estate Pro in Austin, TX

What is the going commission rate for an $800K home in both the listing and buying agent?

Asked by Dan Burstain, Realtor, Austin, TX Sun Mar 17, 2013

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6
Per real estate law, commission rates are always negotiable. The commissions rates in Southern California are typically in the 5-6% range. Usually the listing agent will split that 50/50 with the selling agent so your total commission is the 5-6%. Seller agrees per a listing agreement to pay to Broker as compensation for services irrespective of agency relationship(s), either percent of the listing price (or if a purchase agreement is entered into, of the purchase price). Seller should be advised of Broker’s policy regarding cooperation with, and the amount of compensation offered to, other brokers.
Broker is authorized to cooperate with and compensate brokers participating through the multiple listing service(s) ("MLS") by offering to MLS brokers out of Broker’s compensation specified.

Anything else I can help with, please call.

Charles Sommer
Sommer Realty
760-809-2940
0 votes Thank Flag Link Mon Mar 18, 2013
The commissions here are typically between 5-6% charged to the seller at the time of close of escrow. Usually the listing agent will split that 50/50 with the selling agent so your total commission is the 5-6%. The the buyer's agent is paid their portion (either 2.5% or 3%) at closing time. It is also common for most agents (buyer's and seller's agents) to tack on a $300-500 fee for their transaction coordinator. This is in addition to the percentage you agree upon and is due at time of close of escrow...and they can only charge you if you agree up front.

If an agent is quick to reduce their commission while claiming to offer you the same services they are typically too hungry for business. An agent with the experience you really need to protect your interests will know the value in their service and so will their clientele.....they will be too busy to see the need in lowering their commission below that 5% mark.

Jessica Hart
858-232-1002
0 votes Thank Flag Link Mon Mar 18, 2013
Commission rates are not fixed in stone - they are always negotiable. That said, firms tend to set what they want to charge and then decide if they wish to negotiate from there or not.
0 votes Thank Flag Link Mon Mar 18, 2013
Dan,
As Dusty and Keri mentioned the commission in San Diego normally is 5-6%. If it is dual agency (representing both buyer and seller) there can be a brake. What is the norm for TX?
Any other question please feel free to contact me.
Best wishes,
Raana Jamshide
HomesSD@yahoo.com
0 votes Thank Flag Link Sun Mar 17, 2013
In this area, especially with the market being what it is, it stays within the norm of the 5-6% total commission, split, of course equally to the buyer and the seller agents.

What I tend to do is give a break, should I end up repersenting both sides, not because there is any less work, but because we have it all in house and we know it will go more smoothly and quickly, so I like to help out my clients by giving whatever break I can and leave them happy!

If there is anything further that you need, please feel free to contact me and I would be happy to help you on a more personal level. keri.cook@century21.com

Best of luck!
0 votes Thank Flag Link Sun Mar 17, 2013
Hi Dan
I'd say 5 % would look like something on a higher end home in Escondido. 6% is not out of the question by any means, especially for the type of marketing a seller would get from a Realtor with Pacific Sotheby's Realty. Do you have a possible referral? Let me know if there is anything I can do to help. Feel free to use my http://www.LivinginEscondido.com site to get more in tune with the real estate market in Escondido.
0 votes Thank Flag Link Sun Mar 17, 2013
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