When selling a home, most people opt for the professional service offered by a real estate agent. Before you give the listing to an agent, you should be aware of how much you should expect to pay and what that fee covers.
Tuesday, July 1st 2003, 5:30AM
by The Landlord
COMMISSION RATES
Commission rates vary between companies, locations and marketplaces. With franchises, each business is independently owned and free to make its own business decisions. Vendors should be advised of the rate applicable to their property when listing.
It’s normally made up of a base fee, a higher rate for the initial portion of the sale price and a lower rate above the initial portion. For example, most agents commission starts with an administration fee of $500. They then charge between 3.85 percent and 4 percent on the first $250,000 to $500,000. The percentage reduces to around 2 percent on the balance...
