DC Fawcett Real Estate – Overview On Real Estate Commission


We do hire real estate agents, but who pays them, how real estate commission works are things many might not know. DC Fawcett real estate throw light on the working pattern of the agents and brokers so investors will get an idea about it.

Real estate brokers hire the real estate agents and they get the income from sellers, buyers and whoever hires him. The income directly goes to the brokers first. These brokers pay the commission and sign the agreement with the seller. To start with, only a licensed agent will be able to receive commission.


Categories of real estate agents and percentage of commission

According to the agent’s experience, they get the commission from the broker.

  • Newly joined agents will receive very little to maximum 40 % commission. There is deduction for the purpose of advertising, rental ads and office purpose.

  • Well experienced agents receive 100% commission and broker gets a part of it as well.

  • Mediocre will have some fluctuating percentage of commission that is in between 40% to 80 %. Never pick an agent based on the rate of commission. Check for the experience, reliability and reputation.

How it works?

The lawyers involved in the deal will split the commission and distribute it to the seller’s and buyer’s agents which actually go to brokers first as per the tradition.

Listing agent fee

The seller hires an agent for the purpose of finding a prospective buyer by marketing the home for him. So the agreement says that the seller is intended to pay a fee for the same to the broker. The fee is shared between listing broker and buyer’s broker. There is no standard custom whether a listing or buyer agent gets more commission as it differs from one region to other.

Dc Fawcett complaints on real estate agents

If a house is not sold for a long time and remains in the market, the seller blames his agent first as he had spent on advertising and listing for so many weeks goes waste. This also happens with the buyer’s agent if they don’t find a house immediately. The seller and buyer don’t opt for hourly payment because of this drawback.

Usually buyer pays the commission and it is negotiable, although all agents will not be ready for it. This can happen only with dual agency concept.

There are few situations when you can negotiate

  • Same seller and multiple listings
  • Market mobility

When an agent works for particular neighborhood and very familiar with the people, he might reduce the fee but he should be paid for his dutiful work without any doubt. Don’t always negotiate, you may not find a best agent then.


The new online brokering is slowly evolving in real estate marketing. To know more, visit DC Fawcett virtual real estate investing club where blogs are written for the investors to get enlightened.

Virtual wholesaling is recommended for the new investors as it involves zero percent risk and cash.


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