How to use this real estate commission calculator
- Home sale price — the agreed price, not the asking price.
- Total commission rate — the combined rate paid out of the sale. There is no single standard rate: commission is negotiable and varies by market and country.
- Listing side’s share — the part of the commission that goes to the seller’s agent. The rest goes to the buyer’s agent.
- Agent’s split — the percentage each agent keeps from their side; their brokerage keeps the rest.
- Flat fee per side — any fixed brokerage or transaction fee charged to each agent.
- Other closing costs and mortgage payoff (optional) — the seller’s other costs as a percentage of the price, and what is left on the mortgage, so you can see the seller’s net proceeds.
The results update as you type. The bar shows where every dollar of the sale price goes, and the tables show each side’s split and the total commission at 4%, 5% and 6%.
How the commission is split
Commission is a percentage of the sale price. It is divided between the two sides of the deal, and each side is then divided between the agent and their brokerage:
The agent’s take-home and the brokerage’s share always add up to the side’s commission, because the flat fee moves from one to the other.
Worked example
These are the calculator’s default inputs: a $385,000 sale, an illustrative 5% total commission split 50/50 between the two sides, agents who keep 70% of their side, a $500 fee per side, other closing costs of 1% and a $215,000 mortgage payoff.
- Total commission: $385,000 × 5% = $19,250.
- Each side: $19,250 × 50% = $9,625.
- Each agent: $9,625 × 70% = $6,737.50, minus the $500 fee = $6,237.50.
- Each brokerage: $9,625 × 30% = $2,887.50, plus the $500 fee = $3,387.50.
- Other closing costs: $385,000 × 1% = $3,850.
- Seller’s net proceeds: $385,000 − $19,250 − $3,850 − $215,000 = $146,900.
Of the $385,000, 55.8% repays the mortgage, 38.2% reaches the seller, 5% is commission and 1% covers other costs. Each agent’s take-home of $6,237.50 is about 1.62% of the price, before their own business costs and tax.
How the rate changes the seller’s net
With the other default inputs unchanged:
| Commission rate | Total commission | Seller’s net proceeds |
|---|---|---|
| 4% | $15,400 | $150,750 |
| 5% | $19,250 | $146,900 |
| 6% | $23,100 | $143,050 |
Each percentage point on a $385,000 sale is $3,850. Because commission is charged on the full price rather than on the seller’s equity, it takes a bigger bite of what the seller actually owns: in the example, $19,250 is 5% of the price but 11.3% of the seller’s $170,000 of equity.
Who pays the buyer’s agent?
That depends on where you are and on the agreements in each sale. In the US, the rules on how buyer-agent compensation is offered changed after a 2024 legal settlement. Whether a seller pays any of the buyer’s agent’s commission, and how much, is now something to check in the paperwork rather than assume. Sellers should read their listing agreement, and buyers should read any agreement they sign with their own agent.
If the seller pays only the listing agent, set the listing share to 100% and enter the listing agent’s rate as the total. At an illustrative 2.5% paid to the listing side only, the commission on $385,000 is $9,625 and the seller nets $156,525 with the other default inputs. In places where the seller normally pays a single agent, use the same setting.
What this calculator does not include
- Tax on the sale, such as tax on a capital gain, or any sales tax charged on the agent’s fee.
- Credits to the buyer, repairs, prorated property taxes and other items on a settlement statement.
- Other brokerage arrangements, such as capped or tiered splits, team splits, referral fees or fees charged to the client instead of the agent.
- Interest or penalties up to the payoff date. Ask your lender for an exact payoff figure.
It assumes both agents have the same split and fee, and that each flat fee is deducted from the agent’s share and kept by their brokerage. It shows the arithmetic only and is not legal advice: your agreements decide who pays what. Planning your next move? Read how much house you can afford or try the rent vs. buy calculator.
Frequently asked questions
Is the commission rate negotiable?
Yes. There is no fixed rate. It is agreed with the agent and written into the listing agreement, and it varies by market, by the services included and by the home. Ask more than one agent what their fee covers before you sign.
When is the commission paid?
Commission is usually paid at closing out of the sale proceeds, before the seller receives the rest. The closing or settlement statement lists each payment, so check it against your agreement.
How much does a real estate agent actually take home?
Much less than the headline rate suggests. In the example, the 5% commission is $19,250, but each agent keeps $6,237.50 after splitting their side with the brokerage and paying the fee. That is before the agent’s own costs and tax.
Why are my net proceeds so much lower than the sale price?
The mortgage payoff is usually the largest deduction, followed by the commission. In the example, $215,000 goes to the lender and $23,100 to commission and other costs, leaving $146,900.
Can I save my calculation?
Members can save any calculation and reopen it later from their account, which is handy for comparing agents’ offers. The calculator itself is free for everyone, with instant results and no sign-up. See membership.
Results are estimates for educational purposes and are not financial advice. See our disclaimer.