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How much commission does a real estate agent charge?
The national average total real estate commission is approximately 5.70% of a home's sale price, divided between the listing agent and the buyer's agent. Each agent in a transaction typically earns between 2.5% and 3% of the sale price, though rates are negotiable and vary by location and property value. The Bureau of Labor Statistics notes that the commission varies by the type of property and its value, and that commissions are often divided among the buying agent, selling agent, brokers, and firms.
Real estate commission in Alabama averages 5.96% of the sale price based on a February 2026 survey of 13 Alabama agents, with an average listing commission of 2.96% and an average buyer's agent commission of 3.00%. Commission rates are negotiable and generally fall between 5% and 6%, with the seller typically paying. Agents must share a portion of their commission with their sponsoring brokerage, often as much as half.
Sources: AREC — AL License Law Rule 790-X-1-.18 (Reciprocal License Requirements); AREC — Become a Licensed Real Estate Professional.
A February 2026 survey found the average real estate commission in Alaska is 5.52%, below the national average of 5.70%. The average listing-side commission in Alaska is 2.73%, and the average buyer's-agent commission is 2.78%. Real estate commissions are negotiable, and agents typically share as much as half of their commission with their sponsoring brokerage.
Sources: Alaska Real Estate Commission — Education; Alaska REC — Salesperson Licensing Requirements.
Typical residential real estate commission in the United States ranges between 5% and 6% of the home's sale price, paid at closing and divided among the buying agent, selling agent, and their brokers. The national average buyer's agent commission rate declined from about 3% in the late 1990s to about 2.7% as of 2023, per Federal Reserve research. Following the March 2024 NAR settlement, commission rates must be disclosed as fully negotiable, and advertising commission rates to buyers' agents in MLS listings is no longer permitted.
Sources: ADRE — How to Obtain a License; ADRE — Salesperson License.
The average total real estate commission in Arkansas is approximately 5.66%, with the listing side averaging 2.82% and the buyer's agent side averaging 2.84%. Commission rates are negotiable and can vary based on location, market conditions, and individual contracts. Following the August 2024 NAR settlement, buyers and sellers negotiate commissions separately with their respective agents rather than the seller automatically paying both sides.
Sources: AREC — Reciprocal States; AREC — New Applicant Licensing.
Real estate commissions are negotiable, and in California the average total commission is approximately 5.47% of the sale price, according to May 2026 data. Each agent in a transaction typically earns between 2.5% and 3% of the sale price, with the total commission often divided among the buying agent, selling agent, and their respective brokers. Following changes that took effect August 17, 2024 after a NAR settlement, sellers no longer must propose compensation to prospective buyers' agents, and commissions are negotiated upfront.
Sources: CA DRE — Salesperson Requirements; CA DRE — Salesperson Exam & License.
Real estate commissions in Colorado are negotiable between the parties. A February 2026 survey by Clever Real Estate found the average total commission in Colorado was 5.71%, split between 2.98% for the listing agent and 2.73% for the buyer's agent. Nationally, the typical residential real estate commission ranges between 5% and 6%. Colorado law does not permit dual agency, and following the 2024 NAR settlement, sellers are not required to pay the buyer's agent commission.
Sources: CO DRE — Broker Applications, Documents and Fees; Colorado DRE — Broker License Application Requirements.
Typical United States residential real estate commission ranges between 5% and 6% of the sale price, though commissions are negotiable. According to the Federal Reserve, the national average buyer's agent commission rate declined from about 3% in the late 1990s to about 2.7% as of 2023, with Northeast rates lower at a median of 2%. The March 2024 NAR settlement banned advertising commission rates to buyers' agents in MLS listings and required buyer representation agreements.
Sources: CT DCP — RE Salesperson Initial Exam; CT DCP — RE Salesperson Licensing.
Nationally, the traditional residential real estate commission model had the buyer's and seller's agents each paid as much as 3% of the home value by the seller, though the national average buyer's agent commission rate has declined to about 2.7% as of 2023, according to the Federal Reserve. In Delaware, average total commission rates run slightly below the national average. Following the March 2024 NAR settlement, changes effective August 2024 banned advertising commission rates in MLS listings and required explicit buyer representation agreements, meaning sellers and buyers now negotiate agent fees separately.
Sources: Delaware DPR — Salesperson Licensure; Delaware DPR — Broker and Associate Broker Licensure.
A February 2026 survey found the average total real estate commission in DC is 4.50%, below the national average of 5.70%. The average listing commission in DC is 2.00% and the average buyer's agent commission is 2.50%. Real estate commissions are negotiable, and since the 2024 NAR settlement, sellers and buyers negotiate rates with their own agents separately.
Sources: DC DLCP — Real Estate Commission; DCREC — Approved Pre-License Courses (2023–2025).
Compensation in Florida real estate is fully negotiable and not set by law. A broker and buyer or seller may agree to compensation based on a flat fee, a percentage of the sale price, or a combination. Nationally, the average buyer's agent commission rate was approximately 2.7% as of 2025, down from about 3% in the late 1990s, with the total commission on a transaction typically around 5% to 6% split between buyer and seller agents. Sales associates in Florida can only collect compensation through their broker, not directly from clients.
Sources: FL DBPR — FREC Education; FL DBPR — RE Education Requirements.
Real estate commissions are typically 5% to 6% of the sale price and are usually paid by the seller, with the commission split between the listing agent and the buyer's agent. The commission rate is negotiable. Following the August 17, 2024 NAR settlement, sellers are no longer required to propose compensation to prospective buyers' agents, and brokers must disclose potential costs before showing homes.
Sources: GA Admin Code — GREC Rules 520-1 (Licensure and Brokerage); GREC — License Renewal Guide.
The average total real estate commission in Hawaii is 5.52%, based on a February 2026 survey of 533 agents nationwide. This breaks down to an average listing commission of 2.73% and an average buyer's agent commission of 2.78%. Commission rates are legally negotiable, with typical ranges running 4% to 6%.
Sources: Hawaii REB — Examination & Licensing; Hawaii REB — Application & Registration Fees.
Real estate commission rates are negotiable. Nationally, typical residential commissions range from 5% to 6% of the sale price and are usually paid by the seller, according to Investopedia. The Federal Reserve reports that the national average buyer's agent commission rate declined to about 2.7% as of 2025, down from about 3% in the late 1990s. In Idaho, average total commissions run approximately 5.7%, with listing commissions averaging about 3% and buyer's agent commissions about 2.7%. The commission is typically split between the listing and buyer's agents, and each agent then shares a portion with their sponsoring brokerage.
Sources: Idaho DOPL — REC FAQs & Consumer Info; Idaho DOPL — Real Estate Commission.
Real estate commissions are negotiable and not set by any state regulatory authority. The Federal Reserve reported in May 2025 that the national average buyer's agent commission rate declined from about 3% in the late 1990s to about 2.7% as of 2025. Historically, total commission was around 6% of the sale price, split between the listing and buyer's agents. The March 2024 NAR settlement decoupled seller and buyer agent compensation and banned advertising commission rates to buyer agents in MLS listings.
Sources: IDFPR – Real Estate Broker 75-Hour Pre-License Curriculum (Official Document); Illinois Administrative Code – IDFPR Broker License Requirements (ilga.gov).
A February 2026 survey found the average total real estate commission in Indiana is 5.50%, below the national average of 5.70%. The average listing-side commission in Indiana is 2.65% and the average buyer's-agent commission is 2.85%, though individual listing commissions range from 1.00% to 4.00% and buyer's-agent commissions range from 1.50% to 3.00%. Following the NAR settlement, buyers and sellers negotiate agent fees separately, and commission offers are no longer permitted on the MLS. A total commission of 5% to 6% remains common in Indiana.
Sources: Indiana PLA — Real Estate Licensing Information; Pearson VUE — Indiana Real Estate Candidate Handbook (March 2025).
Typical U.S. residential real estate commission rates range from 5% to 6% of the sale price, though commissions are fully negotiable. The commission is usually paid by the seller and is split between the listing agent and the buyer's agent, with each agent's broker also taking a share. As of August 2024, National Association of REALTORS® rules require buyer agreements to disclose that broker fees and commissions are negotiable.
Sources: Iowa DIAL — Real Estate Salesperson and Brokers License by Exam; Iowa DIAL — PSI Licensing Information Bulletin (Iowa Real Estate Commission).
A February 2026 survey of agents found the average total real estate commission in Kansas is 5.84%, with an average listing-side commission of 2.96% and an average buyer's-agent commission of 2.88%. Commission is always negotiable. Following the March 2024 NAR settlement, compensation offers are no longer displayed on the MLS, and all commission arrangements are negotiated directly between the parties. Agents typically share a portion of their commission with their sponsoring brokerage, with new agents often receiving 50% to 60% and experienced agents retaining a higher percentage.
Sources: KREC — Broker Requirements; KREC — Kansas Real Estate Commission FAQ.
The average total real estate commission in Kentucky is 5.66% based on a February 2026 survey of agents, with the listing side averaging 2.82% and the buyer's agent side averaging 2.84%. A total commission of 5% to 6% remains a common benchmark for Kentucky residential sales. Following the 2024 NAR settlement, sellers and buyers negotiate REALTOR® fees separately, and buyer's agents must sign agency agreements before providing services.
Sources: KREC — Continuing Education; KREC — License Renewals (Maintain a License).
Real estate commission rates are not set by law or any regulatory body and are fully negotiable between the agent and the client. The Federal Reserve reports the national average buyer's agent commission rate declined to about 2.7% as of 2023, implying a total commission of about 5.4%. Typical residential commission ranges from 5% to 6% of the sale price. In Louisiana, average total commission rates fall within this national range, generally between 5% and 6%.
Sources: LREC — CE Requirements; LREC — License Renewal Season.
There is no standard or regulated brokerage commission rate in Maine; the amount or method of compensation is negotiable between the seller or buyer and the real estate company. Nationally, typical residential real estate commission rates run between 5% and 6% of the sale price, though rates vary by region and transaction. Brokers and agents earn most of their income from commissions on sales, with the total commission typically split between the listing and buyer's sides and further divided among the agents and their brokerages.
Sources: Maine RE Commission — Individual Licenses (Reciprocal Licensing Section); Pearson VUE — Maine Real Estate Candidate Handbook (December 2025).
As of February 2026, the average total real estate commission in Maryland is approximately 5.41% of a property's sale price, below the national average of 5.7%. This typically splits between the listing agent (approximately 2.77%) and the buyer's agent (approximately 2.64%), though commission rates are negotiable between agents and their clients.
Sources: MD MREC — Taking the Exam (Real Estate Exam Info); MREC — Licensing FAQs.
The average total real estate commission in Massachusetts is 5.57% as of February 2026, based on a survey of agents by Clever Real Estate, which is below the national average of 5.70%. The average listing-side commission in Massachusetts is 2.90%, and the average buyer's agent commission is 2.67%. Following the National Association of REALTORS® settlement effective August 2024, buyers and sellers negotiate commissions separately rather than the seller automatically offering compensation to the buyer's agent.
Sources: MA DPL — Real Estate License Fees; Mass.gov — RE License Exam Guide.
The average total real estate commission in Michigan is 6.20% of the home's sale price, based on a February 2026 survey of 22 Michigan agents. This is higher than the national average of 5.70%. The commission is typically split between the listing agent and the buyer's agent, with the average listing-side commission at 3.09% and the buyer's agent commission at 3.11%. Following the NAR settlement effective August 2024, commissions are fully negotiable and sellers are no longer required to propose compensation to buyer agents.
Sources: MI LARA BPL — Real Estate Individual Broker Licensing Guide; MI LARA BPL — Real Estate Salesperson Licensing Guide.
As of February 2026, the average total real estate commission in Minnesota is 5.84%, slightly above the national average of 5.70%. The average listing-side commission is 2.96% and the average buyer's-agent commission is 2.88%. Commission rates are negotiable, and agents typically share a portion of their commission with their sponsoring brokerage.
Sources: MN Commerce — Licensing Education; MN Commerce — RE License Guide PDF.
Average total REALTOR® fees in Mississippi are 5.66% of the home sale price, slightly below the national average of 5.70%. The listing commission averages 2.82% and the buyer's agent fee averages 2.84%. Commission rates are negotiable, and listing commissions in Mississippi typically range from 1.00% to 4.00%. After the NAR settlement rules that took effect in August 2024, sellers and buyers negotiate REALTOR® fees separately, and buyer's agents must sign agency agreements before providing services.
Sources: MREC PSI Candidate Information Bulletin; MREC Rules and Regulations (Rev 02-21-2025).
The average real estate commission rate in Missouri is approximately 5.93% as of February 2026, slightly above the national average of about 5.7%. Commission rates are negotiable and not set by law. Following the NAR settlement effective August 17, 2024, sellers no longer must propose buyer agent compensation on the MLS, and buyer agents must have signed representation agreements before touring homes. Commissions are typically split between the listing and buyer brokerages, then further divided between each agent and their broker based on the agent's commission split.
Sources: MO Prof. Registration — RE How-To; MO RE Commission — Application PDF.
The average total real estate commission in Montana is 5.70% of the home's sale price, matching the national average, based on a February 2026 survey. The average listing commission is 2.98% and the average buyer's agent fee is 2.73%, with listing commission rates typically ranging from 2.00% to 4.00%. Nationally, the average buyer's agent commission rate declined from about 3% in the late 1990s to about 2.7% as of 2025, according to the Federal Reserve. Commissions are negotiable and are often split between the agent and their sponsoring brokerage.
Sources: Montana DLI — RE Broker Licensing; MT DLI BSD — Broker Checklist.
Real estate commissions in Nebraska are not regulated by law and are negotiable between the parties to a transaction. Survey data indicates that average total commission rates in Nebraska are approximately 6% of the home's sale price. The commission is typically split between the listing and buyer's agents, and each agent then shares a portion of their commission with their sponsoring brokerage.
Sources: Nebraska Real Estate Commission — License Information (Applicant Information, Nebraska Resident); Nebraska Real Estate Commission — Salesperson Licensing (Resident Salesperson Information PDF).
The average total real estate commission in Nevada is 5.70%, with listing commissions averaging 2.98% and buyer's agent commissions averaging 2.73%. Nationally, the Federal Reserve reports the average buyer's agent commission rate has declined from approximately 3% in the late 1990s to approximately 2.7% as of 2023, with total commissions historically around 5% to 6%. Following the August 2024 NAR settlement, sellers are no longer required to compensate both agents, and buyer representation agreements are now mandatory.
Sources: Nevada RED — Salesperson License Requirements; Nevada RED — Form 501 (Licensing Requirements).
Real estate commissions are negotiable. Nationally, the average buyer's agent commission rate declined from about 3% in the late 1990s to about 2.7% by 2023, and commission rates tend to be lower in the Northeast, according to the Federal Reserve. Following the March 2024 NAR settlement, sellers no longer advertise commission rates to buyers' agents in MLS listings, and buyers' agents must sign a written agency agreement before providing services. New Hampshire has required a buyer representation agreement since 1996.
Sources: NH OPLC — Real Estate Examination Information; NH OPLC — RE Commission Testing Provider, PSI, Inc..
According to a February 2026 survey, the average total real estate commission in New Jersey is 5.20%, with 2.70% on the listing side and 2.50% for the buyer's agent, compared to a national average of 5.70%. Commission rates are negotiable and are not set by law or regulation. Following the NAR settlement that took effect August 17, 2024, sellers' agents can no longer advertise compensation to buyers' agents through MLS listings, and sellers are no longer required to compensate both agents.
Sources: NJ DOBI — Requirements for Licensure as a NJ Real Estate Salesperson or Broker; NJ DOBI — Real Estate Licensing and Education Hub.
The average total commission paid at closing in New Mexico is 5.82% of the home's sale price, which is above the national average of 5.70%. The average listing-side commission is 2.90% and the average buyer's agent commission is 2.92%, with individual rates typically ranging from 1.00% to 4.00%. Commission rates are negotiable, and following the 2024 National Association of REALTORS® settlement, sellers and buyers must negotiate fees with their agents separately. Agents typically share as much as half of their commission with their sponsoring brokerage.
Sources: NM RLD — RE Commission Licensing (Apply for License); NM RLD — Real Estate Commission FAQs.
New York does not regulate real estate commission rates by statute or regulation, so the amount and terms of compensation are negotiable between the broker and the client. The Real Property Law prohibits brokers from sharing commissions with unlicensed individuals. Industry data indicates that total commissions commonly run between 5% and 6% of the sale price, typically split between the listing and buyer's agents.
Sources: NY DOS — Real Estate Salesperson Syllabus (2022); NY DOS — Become a Real Estate Salesperson.
Real estate commissions are negotiable. In North Carolina, total REALTOR® fees average 5.52% of the home sale price, below the national average of 5.70%. The listing commission averages 2.80% and the buyer's agent fee averages 2.73%. Following the August 2024 NAR settlement, buyers and sellers negotiate commissions separately. Brokers and sales agents earn most of their income from commissions on sales, which are typically divided among the buying agent, selling agent, and their respective brokers.
Sources: NCREC — General Brochure (Real Estate Licensing in North Carolina, March 2024); NCREC — Licensing FAQ.
Real estate commissions are negotiable, and antitrust law prohibits stating a fixed going rate. The average total real estate commission in North Dakota is approximately 5.84%, with the listing side averaging 2.96% and the buyer's agent side averaging 2.88%. Nationally, typical residential real estate commissions range between 5% and 6% of the sale price. Commissions are typically divided among the buying agent, selling agent, and their respective brokers.
Sources: NDREC — How to Apply; ND Real Estate Commission — Exam Info.
Real estate commissions are negotiable. The average total commission rate in Ohio is approximately 5.90%, with an average listing commission of 3.10% and an average buyer's agent commission of 2.80%, based on a February 2026 survey. Nationally, commissions typically range from 5% to 6% of the sale price and are usually paid by the seller, with the commission split between the listing and buyer's sides.
Sources: Ohio REPL — Broker License Requirements; Ohio DOC — Real Estate FAQ.
The average total real estate commission in Oklahoma is 5.82% of the home's sale price, based on a February 2026 survey, which is higher than the national average of 5.70%. The average listing commission is 2.90% and the average buyer's agent commission is 2.92%. Commission rates typically range from 1.00% to 4.00% per side, and commissions are negotiable. Dual agency is not legal in Oklahoma.
Sources: OREC — Licensing & Exam FAQs; OREC — Obtain a License.
As of February 2026, the average total real estate commission in Oregon is 5.52%, below the national average of 5.70%. The average listing commission is 2.73% and the average buyer's agent commission is 2.78%. Commission rates are negotiable between clients and their agents, and following the NAR settlement rules effective August 2024, sellers are no longer required to compensate both agents.
Sources: Oregon REA — Get Broker License; Oregon REA — Approved Pre-License Schools.
Real estate commissions are negotiable and not set by any regulatory body. A February 2026 survey of 15 Pennsylvania agents found an average total commission rate of 5.77%, with an average listing-side commission of 2.97% and an average buyer's-agent commission of 2.80%. The national average total commission rate as of the same survey was 5.70%. Nationally, the median annual wage for real estate sales agents was $56,320 in May 2024, according to the Bureau of Labor Statistics, with brokers and sales agents earning most of their income from commissions on sales.
Sources: BLS OOH — Real Estate Brokers and Sales Agents.
Real estate commissions are negotiable and commonly range from 5% to 6% of the home's sale price. The commission is typically divided between the listing agent and the buyer's agent, with each agent often sharing a portion with their sponsoring brokerage. In Rhode Island, average total commission rates run slightly below the national average.
Sources: RI DBR — Real Estate Licensing; RI DBR — Reciprocal Broker Application.
As of February 2026, the average total real estate commission in South Carolina is approximately 5.88% of the home's sale price, based on a survey of SC agents. The average listing-side commission is 2.91% and the average buyer's agent commission is 2.97%. Commission rates are negotiable between the parties, and the commission is typically split among the buyer's agent, seller's agent, and their respective brokerages.
Sources: SC LLR — Real Estate FAQ; SC LLR — Real Estate CE.
Real estate commissions are negotiable and typically range from 5% to 6% of the sale price, usually paid by the seller and split between the listing and buyer's agents. The average buyer's agent commission rate declined from approximately 3% in the late 1990s to about 2.7% by 2023, according to Federal Reserve research. A March 2024 NAR settlement banned advertising commission rates to buyers' agents in MLS listings and required buyer representation agreements, with changes taking effect in August 2024.
Sources: SD DLR — RE License Types & Requirements; SD DLR — Approved Pre-Licensing Education.
A February 2026 survey by Clever Real Estate found the average total real estate commission in Tennessee is 6.05%, consisting of approximately 2.95% for the listing agent and 3.10% for the buyer's agent. Nationally, the Federal Reserve reported the average buyer's agent commission rate declined from about 3% in the late 1990s to about 2.7% as of 2023. Commissions are negotiable between parties.
Sources: TN Commerce Support — Pre-Licensing Requirements & Exam FAQs; TN TREC — PSI & Exam Information.
Real estate commissions are negotiable, but the typical total commission on a residential sale ranges from 5% to 6% of the home's sale price, usually paid by the seller at closing. This amount is generally split between the listing side and the buyer's agent side, with each agent receiving a portion of their brokerage's share based on a negotiated commission split. Following rule changes that took effect in August 2024, buyers must sign an agency agreement before an agent provides services, and sellers are no longer required to propose compensation to buyer's agents.
Sources: TREC Fee Schedule Effective December 15, 2025; TREC — Become a Sales Agent.
Real estate commissions are negotiable. In Utah, a February 2026 survey by Clever Real Estate found the average total commission rate to be approximately 5.70% of the home sale price, with the listing agent share averaging about 2.98% and the buyer's agent share averaging about 2.73%. Nationally, the Federal Reserve reports the average buyer's agent commission rate declined from about 3% in the late 1990s to about 2.7% in recent years, and Redfin measured the national average buyer's agent commission at 2.42% in Q3 2025.
Sources: Utah DRE — Sales Agent Licensing; Utah Division of Real Estate — Broker Licensing.
Vermont's average total real estate commission rate is 5.57% as of May 2026 data, compared to a national average of 5.7%. The commission is typically split between the listing agent and the buyer's agent, with each earning approximately 2.5% to 3% of the sale price. Commissions are negotiable, and following the 2024 NAR settlement, the party responsible for paying buyer-side compensation is negotiated upfront rather than automatically paid by the seller.
Sources: Vermont OPR — RE Broker & Salesperson Administrative Rules (PDF); Vermont Statutes — 26 V.S.A. Chapter 41 (Real Estate).
Real estate commissions are negotiable, but typical residential commissions range from 5% to 6% of the sale price and are usually paid by the seller. The commission is typically split between the listing agent and the buyer's agent, with each side receiving roughly half. Federal Reserve data shows the national average buyer's agent commission rate fell from about 3% in the late 1990s to about 2.7% as of 2023. Following the March 2024 NAR settlement, sellers are no longer required to advertise commission rates to buyer's agents in MLS listings.
Sources: VA DPOR — Real Estate Board; VA DPOR — Real Estate Process PDF.
Real estate commissions in Washington are fully negotiable, with no rate set by law, association, or multiple listing service. A February 2026 survey found the average total commission in Washington was 5.90%, compared to a national average of 5.70%. Nationally, typical residential commissions range from 5% to 6% of the sale price.
Sources: WA DOL — Managing Broker License; WA DOL — Managing Broker Exam.
Real estate commissions are negotiable and typically range from 5% to 6% of the sale price, usually paid by the seller and split between the listing agent and the buyer's agent. The national average buyer's agent commission rate declined from about 3% in the late 1990s to about 2.7% as of 2023, according to the Federal Reserve. Following the March 2024 National Association of REALTORS® settlement, sellers are no longer required to compensate both their agent and the buyer's agent, and buyers must sign representation agreements that disclose commissions are fully negotiable.
Sources: WV REC — Salesperson Licensing; WV REC — Schedule of Fees.
Real estate commissions in Wisconsin are negotiable and typically range from 5% to 6% of the property's sale price, usually paid by the seller. The national average buyer's agent commission rate was approximately 2.7% as of 2023, down from about 3% in the late 1990s, according to Federal Reserve analysis of CoreLogic MLS data. Following the March 2024 NAR settlement ($418 million), sellers no longer must propose compensation to buyers' agents in MLS listings, and explicit buyer representation agreements are required. Wisconsin adopted buyer representation agreements in 2004.
Sources: Federal Reserve — FEDS Notes: Commissions and Omissions (May 2025).
A February 2026 survey found that the average total real estate commission in Wyoming is 5.70%, with an average listing commission of 2.98% and an average buyer's agent commission of 2.73%. This matches the national average of 5.70%. Commissions are negotiable and are typically split between the listing and buyer's agents, with each agent often sharing a portion with their sponsoring brokerage.
Sources: Wyoming REC — Obtain a License; Wyoming REC — Education Providers: Pre-Licensing.