When it comes to real estate, there are a lot of things that go into making a sale. There are agents, lawyers, home inspectors, and more who all work together to make a deal happen. But one of the most important people in the process is the agent. They are the ones who work with the buyer and seller to come to an agreement. But how do they make money?
Most agents are paid on commission, which is a percentage of the final sale price of a home. So, if a house sells for $200,000 and the commission is 5%, the agent would make $10,000. The commission is usually split between the buyer’s agent and the seller’s agent, so the agent would usually get about $5,000.
There are a few different ways that agents can increase their commission. One way is by working with a buyer who is buying a house for the first time. When this happens, the agent can charge a higher commission because they are doing more work.
Agents can also make more money by working with sellers who are selling their house for the first time. This is because they will usually have to do more work to find a buyer.
So, how much money do agents make? It really depends on a number of factors, but most agents earn about 5-6% commission, which usually amounts to a few thousand dollars per sale.