real estate

6 things real estate agents wish you knew

Real estate » 6 things real estate agents wish you knew

Agents aren't rich
Agents aren't rich © Monkey Business Images/Shutterstock.com

Agents aren't rich

Chances are the agent you hire to sell your house -- or find a new one -- isn't getting as big a cut of the deal as you might think, says Graham Stiles, owner of The Stiles Mund Group and HighRises.com at Re/Max.

"Six percent isn't anywhere near what we're taking home," he says. In fact, it's more like "1 percent to 1.5 percent," on average, he adds.

While the two sides will split that commission, those agents, in turn, each split their share with their broker, Stiles says.

What the agent wishes you knew: Unless your agent is handling both sides of the transaction, figure he or she is getting roughly one-quarter of the commission, Stiles says.

And that 6 percent commission is by no means a given in this day and age, Phipps says. "There's always a range of fees in the marketplace. Each broker sets his or her own fees independently."

"I spend a lot of time on the topic of commissions," Stiles says. And still, the idea that agents are getting all or even half the commission, he says, "is still one of the biggest misconceptions."

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