Whether you’re a first-time homebuyer, first-time seller, or maybe you haven’t bought or sold a home in many years, it’s common to sometimes lose sight how the transaction works come time for selling or buying a home. Especially when it comes to closing costs and commissions paid to realtors. Here’s a quick refresher:
Who pays what is negotiable, but usually the seller fronts the cost for both the selling agent and buying agent fee, which usually is 3% each for the total home value (totaling 6% for both). The fees aren’t added to the home’s purchase price. So, if a house sells for $200,000 and the buy/sell commission is 6 percent ($12,000), the net proceeds (barring other closing costs) are $188,000. Again, usually the seller pays the commission, unless buyer and seller negotiate a split or agree to the buyer assuming the full amount.
If you have any more questions about buying or selling a home, give me a call and let’s talk! (541) 870-3009, or email me at firstname.lastname@example.org.