Erik Brown

Erik Brown Real Estate Agent In Beverly Hills, CA

  • HOME SEARCH
  • NEIGHBORHOODS
        • Bel Air
        • Brentwood
        • Holmby Hills
        • Malibu
        • Trousdale Estate
        • Sunset Strip
        • Beverly Hills
        • Beverly Park
        • Beverly Hills Flats
        • Birds Streets
        • Wilshire Corridor
        • Laurel Canyon
        • Mount Olympus
        • Platinum Triangle
        • Pacific Palisades
        • Rolling Hills
  • COMPASS TOOLS
    • Bridge Loan
    • Coming Soon
    • Private Exclusive
    • Concierge
  • GIFTS
    • Home Buyers
    • Home Sellers
    • VIP
    • Condos
    • Celebrity
    • Swag
    • Blog
    • Mortgage Calculator
  • ABOUT
    • Erik Brown
    • Team
    • Success Stories
  • CONTACT US
Erik Brown

Erik Brown Real Estate Agent In Beverly Hills, CA

  • HOME SEARCH
  • NEIGHBORHOODS
    • Beverly Hills
    • Beverly Park
    • Beverly Hills Flats
    • Bel Air
    • Brentwood
    • Birds Streets
    • Holmby Hills
    • Laurel Canyon
    • Malibu
    • Mount Olympus
    • Platinum Triangle
    • Pacific Palisades
    • Rolling Hills
    • Sunset Strip
    • Trousdale Estate
    • Wilshire Corridor
  • COMPASS TOOLS
    • Bridge Loan
    • Coming Soon
    • Private Exclusive
    • Concierge
  • GIFTS
    • Home Buyers
    • Home Sellers
    • VIP
    • Condos
    • Celebrity
    • Swag
    • Blog
    • Mortgage Calculator
  • ABOUT
    • Erik Brown
    • Team
    • Success Stories
  • CONTACT US
424-333-6697
Erik Brown

Erik Brown Real Estate Agent In Beverly Hills, CA

  • HOME SEARCH
  • NEIGHBORHOODS
        • Bel Air
        • Brentwood
        • Holmby Hills
        • Malibu
        • Trousdale Estate
        • Sunset Strip
        • Beverly Hills
        • Beverly Park
        • Beverly Hills Flats
        • Birds Streets
        • Wilshire Corridor
        • Laurel Canyon
        • Mount Olympus
        • Platinum Triangle
        • Pacific Palisades
        • Rolling Hills
  • COMPASS TOOLS
    • Bridge Loan
    • Coming Soon
    • Private Exclusive
    • Concierge
  • GIFTS
    • Home Buyers
    • Home Sellers
    • VIP
    • Condos
    • Celebrity
    • Swag
    • Blog
    • Mortgage Calculator
  • ABOUT
    • Erik Brown
    • Team
    • Success Stories
  • CONTACT US
424-333-6697
How real estate commissions work

How real estate commissions work | Erik Brown

By

Erik Brown

Posted in Video Blogs On March 29, 2021

What Kind of Commission Do Most Agents Make?

Your local real estate agent, Erik Brown, and I was recently asked a question from one of my clients that I get asked fairly often, and that is how do commissions work? How is it that you get paid, and there are various ways that questions can get answered or broken down?


I’ll try and break out the mysteries of a commission check the way that Commission’s work. As I said, it can vary based on different markets. Most agents will work strictly on a percentage. Some agents will try and work off of a flat fee or also off of a retainer, and that’s based on their marketing expenses, and that can be a dollar figure based on any hard costs that the agent wish to portray most agents are going to work with the primary portion of their payment based on a commission percentage of the sales price.

So whatever the sales price may be, a percentage of that will go towards payment to the agent in that payment or percentage can range I’ve seen as low as four percent and as high as ten percent and each market will have its averages and that average will be dependent upon how good the agent is the better the agent, the more that they get paid.

It’s kind of like the difference between shopping at, say, Walmart for any of your products or shopping at Nordstrom or Bloomingdale’s. There’s just going to be a difference in the product you receive and the price you get it, for I’ll work off a fairly typical commission percentage of six or seven percent.

A buy-side commission will be paid out of that overall commission, which, generally is about forty to fifty percent of the total so, if an agent is getting paid seven percent as an example, three-point-five percent of that may go to the buy-side the other three-four points five percent is going to go to the list side agent within that three-point-five percent and again if it’s an expensive house.


You could be looking at tens of thousands if not hundreds of thousands of dollars in commission percentage, well out of that. The real estate agent is going to pay for potentially marketing costs, brokerage costs, any labor that they have for their staff taxes, any payroll issues just running their business, and then the profit for running that organization or that overall transaction if you have any additional questions on our Commission’s work.


I’d love to get into the details. I deal with it every single day, and as always, if you ever want to know how that commission would affect the value of your home thou looking to buy or looking to sell, and you’re just looking for some extra information on what home values are going for in your area, please feel free to give me a call or shoot me an email anytime I’d love to help.

Compass

Erik Brown

Realtor/ Broker (BRE: 01958545)

Beverly Hills: 424-239-6519

Minneapolis: 612-294-0447

You may like
Erik Brown Real Estate Agent
Real Estate Home Value by Online Websites | Are They Accurate?
Beverly Hills homes
What makes Beverly Hills homes so expensive?
10 ways Beverly Hills have changed since the 1970s
10 ways Beverly Hills have changed since the 1970s
Beverly Hills Luxury Real Estate
What’s Up With The Beverly Hills Real Estate?
Real Estate Professionals Have An Ethic Responsibility
Real Estate Professionals Have An Ethic Responsibility
Tips for Purchasing a Luxury Home in Beverly Hills
Tips for Purchasing a Luxury Home in Beverly Hills

Related

5 Comments

  1. Justina

    on February 2, 2022 at 2:02 am said  

    Hey there! I understand this is kind of off-topic but I needed to ask.
    Does operating a well-established website such as yours take
    a lot of work? I’m completely new to writing a
    blog however I do write in my diary on a daily basis. I’d
    like to start a blog so I can share my own experience and thoughts online.
    Please let me know if you have any kind of ideas or tips for
    new aspiring blog owners. Appreciate it!

    Reply
  2. Lashay

    on February 2, 2022 at 5:06 pm said  

    We are a bunch of volunteers and starting a new scheme in our community.
    Your website provided us with useful information to
    work on. You’ve performed a formidable task and our entire neighborhood can be thankful to you.

    Reply
  3. Lila

    on February 2, 2022 at 5:32 pm said  

    I’m really enjoying the design and layout of your website.

    It’s a very easy on the eyes which makes it much more pleasant for me to come here and visit more often. Did you hire out a designer to
    create your theme? Fantastic work!

    Reply
  4. Marjorie

    on February 2, 2022 at 5:38 pm said  

    Hi! I know this is somewhat off topic but I was wondering
    if you knew where I could locate a captcha plugin for
    my comment form? I’m using the same blog platform as yours and I’m having problems finding one?
    Thanks a lot!

    Reply
  5. gralion torile

    on April 15, 2022 at 2:30 am said  

    Hmm is anyone else having problems with the pictures on this blog loading? I’m trying to find out if its a problem on my end or if it’s the blog. Any suggestions would be greatly appreciated.

    Reply

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

About Erik Brown

Erik Brown realtor

Hilton, Rolls Royce, Versace Chateau Rothschild

These are not products or services; these are lifestyle choices. You and I can stay at any hotel, drive any car, wear any shirt, or drink wine…
But we don’t want to. We want experiential luxury. And you know what? You deserve it.

Luxury living is a state of mind. If you’re like me, you expect the best, especially when you buy or sell a home in Beverly Hills.

If you are interested in buying or selling a home and appreciate… and deserve… a luxury real estate experience, then click here. Get an idea of the differences.

Enter your contact information below and let us know if you’d like a complimentary VIP package sent to you asap.

Erik Brown / DRE: 01958545
Compass
9454 Wilshire Blvd, Beverly Hills, CA 90212
Los Angeles real estate blog

SOCIAL MEDIA PRESENCE

  • Instagram
  • LinkedIn
  • YouTube
  • Twitter
  • Facebook

Popular Posts
  • Best Real Estate Agent In California
    Erik Brown Best Real Estate Agent In California
  • Beverly Hills Luxury Real Estate
    Complete Guide to Beverly Hills Neighborhoods
  • Beverly Hills Luxury Real Estate
    How Much Money Do You Need to Live in Beverly Hills Real Estate?
  • celebrity homes in beverly hills
    Celebrity Homes in Beverly Hills, Los Angeles | Erik Brown
  • Holmby Hills Real Estate | Home for sales
    Holmby Hills Homes For Sale | Erik Brown Homes
  • Sunset Strip Real Estate
    Beverly Hills – A Guide to Trousdale Estates Real Estate
  • Malibu Luxury Real Estate
    How Much Money Do You Need to Live in Malibu?
  • Best beaches of Los Angeles
    Best Beaches of Los Angeles and Their Lifestyle
  • Homes For Sale In Beverly Hills Flats | Erik Brown Homes
    The Most Luxurious Neighborhoods in Los Angeles
  • Living in Malibu Luxury Homes
    Living in Malibu Luxury Homes – What is it Like?
EM Digitizing provides high-quality embroidery logo digitizing services online at an affordable price. With super-fast turnaround, excellent customer services.

Latest Posts
  • 10 Reasons to Move to Beverly Hills
    10 Reasons to Move to Beverly Hills:
  • 10 Stores Beverly Hills Homeowners Love
    10 Stores Beverly Hills Homeowners Love
  • Best Steakhouse in Beverly Hills Thoughtfully Crafted, Luxurious and Delicious
    Best Steakhouse in Beverly Hills: Thoughtfully Crafted, Luxurious and Delicious
  • 7 Things Sellers Need To Know Before Sell Home in Beverly Hills CA
    7 Things Sellers Need To Know Before Sell Home in Beverly Hills CA
  • The Most affordable Areas of Beverly Hills
    Getting The Best Deal: The Most affordable Areas of Beverly Hills
  • Best of LA: Tour Beverly Hills California
    Best of LA: Tour Beverly Hills California
  • The Best Places to Find Desserts in Beverly Hills
    The Best Places to Find Desserts in Beverly Hills
  • Which is better in Beverly Hills California, Flats or Hills Real estate
    Which is better in Beverly Hills California: Flats or Hills Real estate
  • The WORST way to sell a Beverly Hills House
    The WORST way to sell a Beverly Hills House
  • Living in Beverly Hills California vs the rest of Los Angeles
    Living in Beverly Hills California vs the rest of Los Angeles

ERIK BROWN
  • 424-333-6697
  • [email protected]
  • Beverly Hills, CA
Facebook Twitter Youtube Linkedin Instagram
  • Home Search
  • Beverly Hills Real Estate
  • Holmby Hills Real Estate
  • Home For Sale Laurel Canyon
  • Beverly Hills Real Estate Agent
Equal Housing Opportunity In Beverly Hills Real Estate

All material presented herein is intended for information purposes only. While this information is believed to be correct, it is represented subject to errors, omissions, changes, or withdrawal without notice. All property information, including, but not limited to square footage, room count, the number of bedrooms, and the school district in property listings should be verified by your own attorney, architect, or zoning expert.

Compass is a real estate broker licensed by the State of California and abides by Equal Housing Opportunity laws. License Number 01991628. All material presented herein is intended for informational purposes only and is compiled from sources deemed reliable but has not been verified. Changes in price, condition, sale or withdrawal may be made without notice. No statement is made as to the accuracy of any description. All measurements and square footage are approximate.

Erik Brown, Realtor, Compass, DRE: 01958545. All Right Reserved

×

Table of Contents

    GET UPDATE ON
    New Home for sale

    Get first access to all of new homes and listing


    [class^="wpforms-"]
    [class^="wpforms-"]