NYC Real Estate Commission Calculator
In New York City, a home seller pays the real estate broker’s commission for the listing and the buyer’s agent. The buyer’s agent does not receive any commission directly from the buyer. If a home is for sale by the owner, the buyer may be asked to pay a commission if the seller is not paying one. Use our calculator below to see the potential commission on a sale.
ELIKA New York: Real Estate Calculators
Table of Contents
Real Estate Commission Explained
- Commissions paid to the real estate agents and brokers are typically between 4% – 6% when selling a property in New York City.
- The seller pays the commission for both the listing agent and the buyer’s agent at closing time.
- In New York City, real estate agents are members of REBNY and thus participate in the Universal Co-Broke Agreement; this means the total commission is typically split 50% – 50% between the seller agent, the buyer’s agent, and their respective brokerage companies.
- Real estate agents and brokers share a percentage of their commission earned with the sponsored brokerage.
How the Commission is Co-Brokered in NYC
Most transactions in New York City are represented by a listing and a buyer’s agent; however, in this case, the listing agent is to see the property directly to a buyer; without an agent, they would collect the entire 5-6%. Below is an example of a typical transaction with two agents involved in the deal.
Broker Commission Split Example
Property for Sale: $1,000,000
Commission payable: $60,000
The $60,000 commission paid at closing and co-brokered between the
Seller’s Side 3%: $30,000 / Buyer’s Side 3%: $30,000
The Seller’s Agent and Buyer’s Agent then split the commission with their brokerage.
Seller’s Side: Agent 1.5% = $15,000 and Brokerage 1.5% = $15,000
Buyer’s Side: Agent 1.5% = $15,000 and Brokerage 1.5% = $15,000