Real Estate Commission Calculator

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Real Estate Commission Calculator

Estimate the total real estate commission, how it splits between agents, and your net proceeds from a home sale.

Home Sale Price ($)

Total Commission Rate (%)

Listing Agent Split (%)

Remaining Mortgage Balance ($)

Other Closing Costs ($)

Calculate

function reaCalc() { const resultDiv = document.getElementById('rea-result');

const salePrice = parseFloat(document.getElementById('rea-sale-price').value); const commissionRate = parseFloat(document.getElementById('rea-commission-rate').value); const listingSplit = parseFloat(document.getElementById('rea-listing-split').value); const mortgage = parseFloat(document.getElementById('rea-mortgage-balance').value) || 0; const closingCosts = parseFloat(document.getElementById('rea-closing-costs').value) || 0;

// --- Validation --- if (isNaN(salePrice) || salePrice 20) { resultDiv.style.display = 'block'; resultDiv.innerHTML = 'Commission rate must be between 0% and 20%.

'; return; } if (isNaN(listingSplit) || listingSplit 100) { resultDiv.style.display = 'block'; resultDiv.innerHTML = 'Listing agent split must be between 0% and 100%.

'; return; } if (mortgage n.toLocaleString('en-US', { style: 'currency', currency: 'USD', minimumFractionDigits: 2, maximumFractionDigits: 2 }); const fmtPct = (n) => n.toFixed(2) + '%';

const netColor = netProceeds >= 0 ? '#2e7d32' : '#c62828'; const netLabel = netProceeds >= 0 ? 'Estimated Net Proceeds' : 'Estimated Net Shortfall';

resultDiv.style.display = 'block'; resultDiv.innerHTML = ` ### Commission Breakdown

Home Sale Price${fmt(salePrice)} Total Commission Rate${fmtPct(effectiveRate)} Total Commission Amount${fmt(totalCommission)} Listing Agent (${fmtPct(listingSplit)} of commission)${fmt(listingAgentCommission)} Buyer's Agent (${fmtPct(buyerAgentSplit)} of commission)${fmt(buyerAgentCommission)} Remaining Mortgage Balance${fmt(mortgage)} Other Closing Costs${fmt(closingCosts)}

${netLabel} ${fmt(Math.abs(netProceeds))}

${netProceeds

#### Formulas Used

Total Commission = Sale Price × (Commission Rate ÷ 100)

Listing Agent Commission = Total Commission × (Listing Split % ÷ 100)

Buyer's Agent Commission = Total Commission × ((100 − Listing Split %) ÷ 100)

Net Proceeds = Sale Price − Total Commission − Mortgage Balance − Other Closing Costs

Example: $450,000 sale at 5.5% commission = $24,750 total. With a 50/50 split, each agent earns $12,375. After a $200,000 mortgage and $5,000 closing costs, net proceeds = $220,250.

#### Assumptions & References

The default commission rate of 5–6% reflects the traditional U.S. market average, though rates are fully negotiable and vary by region and agent.
Following the 2024 NAR settlement (effective August 2024), buyer's agent compensation is no longer required to be offered through the MLS; buyers may negotiate compensation directly with their agent.
Commission is typically paid by the seller from sale proceeds at closing.
A 50/50 split between listing and buyer's agent is a common default, but splits vary widely (e.g., 60/40, 55/45).
"Other closing costs" may include title insurance, transfer taxes, attorney fees, prorated property taxes, and home warranty costs — typically 1–3% of the sale price for sellers.
This calculator does not account for capital gains taxes, agent brokerage splits, or franchise fees.
Reference: National Association of Realtors (NAR); CFPB — Closing Costs.

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