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This question is about realtor salaries.
How much commission does a realtor make in California?
A realtor in California makes a commission of 1% to 6% of the sales price. However, the average typically falls in the 5% to 6% range.
Properties valued at $1 million or more see a realtor getting a commission of 4% to 5%. This rate is generally negotiated between the listing agent and the seller before a contract is signed.
Commissions are then split between the listing agent and buying agent. Typically, this is a 50/50 split; however, variations can happen.
Dual agency is another possibility that relates to a realtor's commission. If the listing agent secures a buyer and represents both, then they receive full commission.
Lastly, the commission is split between agent and broker. The broker will receive the proceeds from a sale and then pay the agent their portion. The agreed-upon commission split can vary from agent to agent, even within the same brokerage. Rookie agents may receive a 50/50 split, while veteran agents can get upwards of 70/30 or 80/20.
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