Have you ever wondered how Tallahassee Realtors are paid? Maybe you think real estate agents are expensive. We have seen those Hollywood agents selling multi-million dollar homes everyday. Buyers agents are usually paid by the sellers’ agent in exchange for bringing the buyer to the closing table. However, everything from repairs, price, closing dates, and even agents’ commissions can be negotiated.
Generally, Tallahassee buyers agents are paid at the closing table. The commission for buyers agents is negotiated by the sellers agent. The percentage (usually of the final sales price) and split (between the brokers involved) is decided before the house is even listed in the MLS. The percentage or amount is negotiated when the seller signs the listing agreement with a broker. The listing agent negotiates the buyer’s agent’s commission on this same contract while negotiating their own. They are not required to split this commission evenly, but most agents do.
State Law Regarding How Realtors Are Paid
Under Florida law, real estate agents can only be paid by their broker of record for real estate-related work. That means all commissions are collected at closing by the closing agent. Agents are then given checks maid payable to their respective brokers of record.
Statistically, even the owner that sells their house on their own will sign a commission agreement with a buyer’s agent. These agreements are usually presented before the buyer’s offer. All fees are subject to negotiations and can vary from transaction to transaction and broker to broker. Commissions range from 2.5% to 10% of sales price, depending on the type of representation and investment required of the agent.
Check out my broker of record, Patti Ketcham, and I talking about how Tallahassee Realtors are paid. Have more questions? Check out our guide to negotiating the listing agreement for Tallahassee home sellers. Thinking of buying a Tallahassee home? We have more information about neighborhoods and the buying process.
