what is the commission for a commercial real estate agent

In General Area - Asked by edwin l. - Apr 24, 2009
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Answer(s)

Joe P.
Broker/Agent
Coral Springs, FL

HELLO,
THE COMMISSION (BROKERS FEES)FOR A REAL ESTATE LICENSEE IS THE EXCLUSIVE OR NON EXCLUSIVE AGREEMENT OF COMPENSATION FOR THE EFFORT OF MARKETING, SHOWINGS,PAPERWORK, NEGOTIATIONS AND CLOSING TO A SUCCESSFUL TRANSACTION TO BRING A QUALIFIED BUYER OR TENANT TO THE PROPERTY.

Apr 26, 2009
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Jared P.
Broker/Agent
Frankfort, IL

My typical commission for a million dollar transaction is 6%. For a three million dollar transaction 4% and so on.
If I was an outside broker, I would expect another broker to offer at least 1.5% or I would not work the deal.

Apr 26, 2009
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Paul S.
Broker/Agent
Glendora, CA

It depends on a lot of things. Right now property is hard to sell in most markets. Agents work on commission. They gravitate to listings that pay a higher commissions. I am always estounded when I see a huge price reduction while a low commission is ratained. When the market was great commissions were lower. Now they are increasing. It happens every real estate cycle.

Apr 27, 2009
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Karen W.
Broker/Agent
Boise, ID

Real estate commissions are negotiable, however, there tend to be typical commissions paid in each market. For lease transactions, a typical commission is 6% of the total value of the lease payments over the term of the lease. This commission is split with the tenant rep broker, if there's a tenant rep involved. For instance, a lease that's worth $100,000 annually for a 5-year term has a total value of $500,000. At 6%, the commission is $30,000. A typical commission for a sale transaction is 6% of the purchase price.

Apr 30, 2009
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