How Much Do Most Real Estate Agents Charge? Get the Facts Near You

Real estate agents get paid on commission—most folks know that much. But how much is it, really? Across the U.S., most real estate agents charge around 5% to 6% of the home's selling price. That means if you sell your place for $400,000, expect the total commission to land somewhere between $20,000 and $24,000. And—here's the part that surprises a lot of people—that fee usually gets split between your agent and the buyer's agent.

Here's something most real estate flyers won't tell you: agent fees aren't set by law. They’re totally negotiable. Some agents might nudge you toward the typical rate, while others may work with lower fees, especially if your home’s in a hot neighborhood or you’re buying and selling with the same company. So, don't be shy—ask about commission before you sign anything. Prices can change a lot by area, so what you pay in Texas could be lower (or higher!) than what you’d pay in New York or California.

• Typical Agent Fees Explained
• What Factors Affect Commission?
• Who Pays the Real Estate Agent?
• Can You Negotiate the Fee?
• Extra Costs You Should Expect
• Smart Tips to Save on Agent Fees

Typical Agent Fees Explained

When you hear about real estate agent fees, most people are talking about a commission that's a percentage of the final sale price. The standard in the U.S. is 5% to 6%. So, if your home sells for $350,000, agents split $17,500 to $21,000, which is taken right out of the sale money—so you don’t pay up front.

This total fee isn’t just for one person. Usually, the commission is split down the middle between the seller’s agent and the buyer’s agent. Each side then shares their part with their own brokerage, which means every agent only takes home a part of the total.

• Seller’s agent: Lists your home, handles marketing, manages showings and open houses, and works with you through the process.
• Buyer’s agent: Helps people find a home, gives tours, handles offers, and guides buyers through contracts and closing.

Don’t be surprised if the commission you see online is “customary”—but remember, that doesn’t mean fixed. In some parts of the country, you might see lower fees, especially if the market is hot and homes sell fast. On the flip side, higher-demand agents or those working in expensive markets might stick with the full 6%.

The most important thing is this: you pay nothing until your house sells, and you only pay if it sells. If you chat with your agent and get the numbers in writing, there shouldn’t be any last-minute surprises at closing.

What Factors Affect Commission?

Not every real estate agent charges the same fee. There are a bunch of things that can make your commission bill go up or down. If you’ve ever wondered why your neighbor paid less (or more) to sell their house, this is where the details count.

First up, location has a big pull. Busy markets—like in cities where homes sell faster—often mean agents are willing to drop their commission. Meanwhile, in slow rural areas, they might charge the full 6% or more because they’re putting in extra effort.

Home value is another piece. Expensive homes might get you a lower percentage fee, but the agent still walks away with a good-sized chunk. Why? That flat percentage turns into more dollars when the price tag is high.

Take a look at some common factors that can change the commission rate:

• real estate agent fees in your area
• Competition among local agents
• How challenging your home might be to sell (think: bad location, needed repairs, unique property)
• Whether you’re selling and buying with the same agent—the so-called dual deal
• The type of listing agreement (exclusive or open listing)
• Your own negotiation skills—never hurts to ask for a break on the fee

Here’s a simple breakdown to see how some of these play out around the United States:

Agents might also charge less if you’re selling during a time when homes are flying off the shelves (think springtime, or during a market boom). But if it’s a slow season or your property has been sitting for ages, getting a discount might not be so easy. When you meet with agents, ask exactly what they’re charging—and what you’ll get for it. Sometimes you’re paying a bit more to get killer photos, 3D tours, or extra marketing muscle, and sometimes you’re not. So, make sure you’re seeing value for what you pay.

Who Pays the Real Estate Agent?

If you're selling your home, you might wonder if you have to pay both your agent and the buyer's agent. Quick answer—yep, in almost every standard deal, the seller covers the full commission for both agents. This total fee then gets split (usually right down the middle) between the two agents’ brokerages at closing. So, even though both agents are working their tails off for their own clients, you—the seller—pull out the wallet at the finish line.

Here's a closer look at how that breaks down for a typical deal:

Now, some people wonder where this money actually comes from. Technically, you don’t hand over a pile of cash. The commission comes straight out of the sale proceeds right at closing—meaning it’s paid from the money the buyer gives for the home. This is why the price you set for your home and your expectations for real estate agent fees are connected from the start.

It's worth noting, in rare cases—like some seller's markets or with certain brokerages—buyers might make an extra payment to their own agent, but that's the exception. If you're not sure how it's handled in your area, just ask any "estate agents near me" during your interview process. Always check your agent agreement for the official details in writing, so you know exactly who's getting paid and how much.

Can You Negotiate the Fee?

Absolutely. Those standard 5-6% commissions aren’t set in stone, and plenty of sellers manage to get a discount, especially if they know what to ask for up front. Real estate commission is 100% negotiable—federal guidelines make this clear, and the National Association of Realtors even tells agents not to suggest there’s a “standard rate.”

If you’re working with a real estate agent for the first time, or using the same agent for both selling and buying, you’ve got some wiggle room. Agents who are new in the business, or ones who operate their own brokerage, often have more flexibility on price than agents at bigger franchises. If your home is expected to sell quickly or above market value, that’s another strong argument you can use.

Here's a look at some average commission rates in different states, showing just how much things can shift depending on your zip code:

If you want to negotiate, be direct but friendly—agents expect these conversations. A good opener: “Is your commission rate flexible?” Simple, but it gets straight to the point. Here are a few more ways to potentially shave down the real estate agent fees:

• Bundle deals: List your house and buy another one through the same agent, and they might lower their cut.
• Consider the type of service: If you just need the agent to list your home on the MLS, there are “flat-fee” agents who’ll do it for a few hundred bucks.
• Market strength: Selling in a hot market? Agents may drop their rates because your house is likely to fly off the shelves.
• Ask about “dual agency”: If your agent represents both you and the buyer, they might be willing to drop the total commission.

Don’t be afraid to walk away or talk to multiple agents before making a call. Finding someone who’ll work with your budget isn’t as rare as you might think.

Extra Costs You Should Expect

Agent commission isn’t the whole story. When you’re gearing up to sell (or buy) a house, get ready for a handful of other costs that can sneak up on you. Some are pretty standard across the US; others depend on your local market or even how picky the buyer is. Knowing what’s what up front makes your budget a lot less stressful.

Here’s a quick list of the most common extra expenses that come up, besides the real estate agent fees:

• Closing Costs: These can add up to 2-5% of your home’s sale price. They’ll cover things like title insurance, escrow fees, and attorney fees if your state requires one. Many sellers and buyers split this, but sometimes the seller covers more to sweeten the deal.
• Home Repairs: Most buyers ask for repairs after the inspection. Even simple fixes—leaky faucets, broken tiles—can run a few hundred bucks. Bigger stuff, like a new roof, can wipe out thousands.
• Staging and Cleaning: Making your home look sharp costs money. Staging runs $1,000 to $2,000 on average, while deep cleaning costs $200 to $400. In a tough market, these details make a difference.
• Moving Costs: Whether you’re hauling boxes across town or cross-country, moving ain’t cheap. Local moves can be $1,000 or more; longer hauls can hit $5,000 or up, especially if you hire pros.
• Transfer Taxes and HOA Fees: Some states and cities charge a transfer or deed tax, which can be a big chunk depending on where you live. If you’ve got a Homeowners Association, don’t forget the transfer and documentation fees—it’s not just monthly dues.

Take a look at how some of these shake out. Here’s a snapshot with typical numbers:

If you want to see where your money’s actually going, don’t just look at that agent contract—ask for an itemized breakdown of all fees. A good agent can show you exactly which extras are standard and which ones can be negotiated down or skipped. Being clear now saves you some big headaches after closing.

Smart Tips to Save on Agent Fees

If you want to keep more cash in your pocket when buying or selling a home, you have options—don't just settle for the first number an agent throws at you. Let’s get tactical about it.

First, real estate agent fees are almost always negotiable. Studies show that nearly 25% of sellers successfully negotiate their agent’s commission. Don’t be afraid to speak up and counter the initial offer. Agents who want your business will often work with you, especially if your home is in a sought-after area or likely to sell fast.

Next, compare a few agents before picking one. Ask each what they'll actually do for their commission. Some agents offer flexible pricing—for example, a lower rate if you’re also buying through them or if you don’t need full-service marketing.

• Bundle your transactions: If you’re buying and selling a house with the same agent, ask for a deal on the total fee.
• Look for agents who offer different service packages. If you’re comfortable handling your own showings or photography, some agents will cut their fee.
• Check out discount or flat-fee brokerages. These have become more popular—almost 10% of home sellers used one in 2024. You’ll usually pay less upfront, but you may need to do more of the work yourself.
• If you know someone who wants to buy directly, consider a "For Sale By Owner" (FSBO). Only about 7% of U.S. home sales skip agents entirely, but if you’re up for the paperwork, the savings can be big.

Here's a quick look at potential ways people saved money in the last year:

One last tip—don’t get wowed just by a low fee. A truly good agent may net you a higher sale price, even after their commission. Always ask about what services you’re getting for the money, and how they’ll market your place to bring in the most buyers. If an agent promises you the moon for half the price, ask for real examples of their past sales before getting too excited.