Real Estate Commission Calculator (2026)

The standard real estate commission is 5-6% of the sale price, split between the listing agent and the buyer’s agent. But your actual take-home is much less than half that number. After broker splits, franchise fees, transaction fees, and taxes, a $400,000 sale at 6% commission might put $4,800 in your pocket instead of the $12,000 you expected.

This guide breaks down exactly how commissions work at every price point, with tables showing what you actually earn after all the splits and fees.

How Real Estate Commissions Work

The seller pays the total commission at closing, typically 5-6% of the sale price. That amount gets divided multiple times before reaching your bank account.

The Commission Split Chain

Step	Who Gets Paid	Typical %	Example ($400K Sale, 6%)
Total commission	—	6.0%	$24,000
Listing brokerage	Seller’s side	3.0%	$12,000
Buyer’s brokerage	Buyer’s side	3.0%	$12,000
Your broker	Their cut	1.0-1.5%	$4,000-$6,000
You (before fees)	Your gross	1.5-2.0%	$6,000-$8,000
Transaction/E&O fees	Deducted	Flat fee	-$300-$500
Your take-home	Net commission	~1.4-1.8%	$5,500-$7,700

Common Commission Rates by Market

Market Type	Typical Rate	Notes
Suburban residential	5-6%	Standard in most US markets
Urban/high-value	4-5%	Competitive pressure lowers rates
Luxury ($1M+)	4-5%	Negotiated down on high values
Commercial	3-6%	Varies widely by deal type
New construction	2-3%	Builder sets buyer agent commission
Rural	6-8%	Lower prices require higher percentage

Commission Calculator Tables

At 6% Total Commission (3% Per Side)

Sale Price	Your Side (3%)	50/50 Split	60/40 Split	70/30 Split	80/20 Split
$200,000	$6,000	$3,000	$3,600	$4,200	$4,800
$300,000	$9,000	$4,500	$5,400	$6,300	$7,200
$400,000	$12,000	$6,000	$7,200	$8,400	$9,600
$500,000	$15,000	$7,500	$9,000	$10,500	$12,000
$600,000	$18,000	$9,000	$10,800	$12,600	$14,400
$750,000	$22,500	$11,250	$13,500	$15,750	$18,000
$1,000,000	$30,000	$15,000	$18,000	$21,000	$24,000

At 5% Total Commission (2.5% Per Side)

Sale Price	Your Side (2.5%)	50/50 Split	60/40 Split	70/30 Split	80/20 Split
$200,000	$5,000	$2,500	$3,000	$3,500	$4,000
$300,000	$7,500	$3,750	$4,500	$5,250	$6,000
$400,000	$10,000	$5,000	$6,000	$7,000	$8,000
$500,000	$12,500	$6,250	$7,500	$8,750	$10,000
$600,000	$15,000	$7,500	$9,000	$10,500	$12,000
$750,000	$18,750	$9,375	$11,250	$13,125	$15,000
$1,000,000	$25,000	$12,500	$15,000	$17,500	$20,000

Broker Split Structures Explained

Your broker split is the single biggest factor in your take-home pay. Here is how the most common structures work.

Cap Model Deep Dive (Keller Williams Example)

Metric	Amount
Split before cap	70/30 (you keep 70%)
Annual cap	~$22,000 (market center dependent)
Deals to reach cap (at $300K avg)	~11 deals
After cap	100% to you
Monthly tech fee	$79
Per-transaction fee	$40
Franchise fee	6% of gross (capped at $3,000/year)

If you close 20 deals at $300,000 each with a 3% commission, your gross commission is $180,000. Under the KW cap model, you would keep roughly $150,000 after the cap, franchise fee, and tech fees.

What Eats Into Your Commission

Commission splits are just the beginning. Here are the other costs that reduce your take-home pay.

Expense	Typical Cost	Frequency
Broker split	20-50% of gross	Per transaction
E&O insurance	$300-$500	Annual
MLS dues	$300-$800	Annual
NAR/state/local dues	$500-$1,000	Annual
Transaction coordinator	$300-$500	Per transaction
Marketing/advertising	$200-$500	Monthly
CRM software	$25-$500	Monthly
Lead generation	$200-$1,000	Monthly
Self-employment tax	15.3% of net	Quarterly
Income tax	12-37% of net	Quarterly

Take-Home Pay by Experience Level

Level	Avg Sale Price	Deals/Year	Commission Rate	Broker Split	Gross Income	Est. Take-Home (After Expenses + Tax)
Year 1	$300,000	4-6	3%	50/50	$18,000-$27,000	$10,000-$16,000
Year 2-3	$350,000	8-12	3%	60/40	$50,400-$75,600	$30,000-$45,000
Year 5+	$400,000	15-20	3%	70/30 or cap	$126,000-$168,000	$75,000-$100,000
Top Producer	$500,000	25-40	2.5-3%	Cap or flat fee	$250,000-$480,000	$150,000-$290,000

These numbers vary significantly by market. Agents in San Francisco, New York, or Miami typically close fewer deals at much higher price points. Agents in the Midwest close more deals at lower prices.

How to Increase Your Effective Commission

1. Negotiate a Better Split

Your split is negotiable, especially as your volume grows. Track your closed volume quarterly and ask for a split review when you hit milestones. Most brokerages would rather improve your split than lose a producing agent.

2. Work Both Sides When Possible

Representing both buyer and seller (dual agency where legal) means you keep both sides of the commission. Even without dual agency, building a referral network that generates both buyer and seller leads keeps more commission in your business.

3. Reduce Per-Transaction Costs

Use AI tools to handle tasks that would otherwise require paid help. A CRM with automated follow-up eliminates the need for a dedicated ISA. AI listing description tools reduce marketing costs. Transaction management software can replace or supplement a paid TC.

4. Focus on Higher Price Points

The math is simple: 3% of $600,000 is twice what you earn on a $300,000 sale, but the work is roughly the same. Study your market to identify neighborhoods and property types where average prices are higher, then build your marketing plan around those areas.

5. Track Every Dollar

Most agents have no idea what their true cost per transaction is. Use real estate accounting software to track every expense. When you know that your average cost per closing is $2,200 instead of the $800 you assumed, you make different decisions about which deals to take.

Commission Splits at Major Brokerages (2026)

Brokerage	Starting Split	Cap	Monthly Fees	Notes
Keller Williams	70/30	~$22K	$79 tech + fees	6% franchise fee (capped $3K)
eXp Realty	80/20	$16K	$85	Revenue share program, cloud-based
RE/MAX	95/5	N/A	$500-$2,000+	High desk fees, keep most commission
Coldwell Banker	50/50 → 90/10	Varies	Varies	Graduated based on production
Century 21	50/50 → 70/30	Varies	Varies	Franchise fees apply
Compass	70/30 → 90/10	Varies	Low	Tech-forward, equity options
Real Broker	85/15	$12K	$175	Low cap, revenue share
Fathom Realty	100%	N/A	$99 + $500/txn	Flat fee model

Referral Fees and Their Impact

When you receive a lead through a referral, expect to pay 20-35% of your commission to the referring party. This is standard for relocation referrals, online lead platforms, and agent-to-agent referrals.

Referral Source	Typical Fee	Example ($400K Sale, 3%, 70/30 Split)
Agent-to-agent	25%	$2,100 paid out, $6,300 → $4,200 net
Zillow Flex	35%	$2,940 paid out, $6,300 → $3,360 net
Relocation company	30-40%	$2,520-$3,360 paid out
Opcity/Realtor.com	30-35%	$2,520-$2,940 paid out

For a detailed breakdown of how referral fees work, see our referral fees in real estate guide.

Next Steps

1. Calculate your break-even point. Add up your annual fixed costs (dues, E&O, marketing, CRM) and divide by your average net commission per deal. That is the minimum number of deals you need to close before earning a profit.
2. Know your numbers before negotiating. Track your closed volume for 6 months using a CRM before approaching your broker about a split improvement. Data wins negotiations.
3. Build a business plan. Set income goals and work backward to determine how many deals you need at your current split and price point.
4. Read our guide on how much real estate agents make for full income data across markets and experience levels.