Yes. You can negotiate a real estate commission in both buying and selling transactions. The typical commission an agent receives is roughly 6% of the home’s final closing price, and some have more flexibility to negotiate than others. Some brokerages—who represent agents—will have a minimum commission amount they require agents to receive. The real estate agent will often pay brokerages, which dilutes his or her commission.
Agents are more likely to lower their fees in the following circumstances:
- The target listing comes with a hefty price tag.
- You’re in a seller’s market—homes are selling quickly.
- The agent wants to work inside of a newer neighborhood or specific area.
- The agent decides to cut back on job-related efforts such as marketing.
