How do real estate agents get paid
If you're in the market to buy or sell a home, odds are you'll work with a real estate agent to help you through the process. According to the National Association of Realtors, 87% of buyers purchased their home through a real estate agent or broker in 2017, a share that has been increasing steadily from 69% in 2001. The vast majority of sellers also relied on real estate agents; only 8% of sellers sold their homes on their own. As of March 2018, the average annual earnings for real estate sales agents was $40,587, according to salary.com. How much money agents make each year depends on a number of factors, including the number of transactions they complete, the commission paid to the brokerage and the agent's spilt with the sponsoring broker. Here, we take a look at how real estate agents are paid. Real Estate Commissions Most real estate agents make money through commissions – payments made directly to real estate brokers for services rendered in the sale or purchas...