In case you want to buy or to sell a home, the chances are high that you will have to deal with a real estate agent who is going to help with the entire process. The amount of the money that a real estate agent is able to make will depend on the commission that was paid to him, the number of the transaction he was able to help and how many sponsoring brokers he worked with. Kim is a Burlington real estate agent and she makes most of her money by getting the commission. The payment is made to the real estate brokers for the services they have offered for the purchase or the sale of a home. The commission is a certain percentage of a property based on the selling price or sometime it can be a certain fee. In order to understand how much a real estate agent is paid, you should first understand how a broker works with the agent. Real estate agent and a broker are licensed from the state where they are working. Agent is a licensed salesperson and he has to work under the umbrella of a broker. Agent should not work on his own and he should not be paid directly by a consumer. A broker can work on his won and he can hire the real estate agent. The commission has to be paid to a broker and the broker will be the one to pay for the agent who is involved in the transaction.
The compensation of the broker is found in the listing agreement and the contract of the seller is found within the listing broker which details each condition of a certain listing. The commission rate for the broker is negotiable. Sharing of the commission, the commission gotten can be shared by many people who are involved into the transaction and these are the agent of the buyer’s broker, the agent of the buyer, listing broker and listing agent. No settlement and no pay: the commission is paid only when a transaction had been settled. In some instance, the seller is going to be liable for paying the transaction. If a broker has a willing and a ready to buy buyer, the broker is going to be entitled to the commission of a seller. In other cases, the real estate agent is an employer of broker and he is paid by him.
Kim is a Burlington real estate agent and she makes money most of the time when a commission is paid to his broker and the transaction is settled. The single commission has to be split in different ways for the broker and the listing agent. The commission that an agent gets depends on the agreement he had with the broker. Top producing and experienced agent can get a large percentage of a commission.
A broker is always entitled to the commission when a seller commits a fraud, when he refuses to sell on the last minutes, if he adds terms on the sale which were not found in the listing agreements and who has the spouse who do not want to sign up.