It varies, but most operate only on commission.

If you're looking to purchase or sell a property, you'll almost certainly engage with a real estate agentto guide you through the process. Most real estate agents are compensated through commissions based on a percentage of the property's selling price.

The amount of money an agent makes each year is determined by a variety of criteria, including the number of deals completed, commissions earned, and the split with their sponsoring broker.

The majority of real estate agents earn money from commissions given directly to brokers when deals are completed. A single commission is frequently shared among the listing agent, listing broker, buyer's agent, and buyer's agent's broker. The commission split received by a certain agent is determined by the agreement the agent has with their sponsored broker.

Although a portion of the commissionis the most typical compensation model for real estate agents, some agents employed by brokers are given a salary. One example is Redfin, an online property search portal that employs full-service real estate brokers. Their agents are compensated with base pay plus a bonus depending on client satisfaction ratings.