To earn more money, you must gain more knowledge, acquire new skills, work smarter, be more creative, and manage your time better to achieve greater results. Yes, it takes some effort (what terrific career doesn’t?), but the financial rewards can be substantial. You must also be aware, that in the real estate field, you face serious competition and you have to stay ahead of the pack through self-motivation and allowing free range to your creativity while strictly adhering to the law. 

The typical commission for a residential property may be 6% or 7%.  Again, the listing agent and the seller, when negotiating the listing agreement negotiate the commission.  The selling commission (the commission earned by the buyer’s agent), is part of the negotiated fee included in the listing agreement and described in the multiple listing service. 

Commission structures vary from broker to broker.  This is an area the future agent must enquire about when researching the local firms.  A new agent is well advised to begin his or her career under the tutelage of an excellent broker, who provides extensive training.  In exchange, the agent will probably be asked to share from 50% to 30% of the commission and expected to complete a certain number of closings and sales volume before becoming an associate of the firm and advancing to a higher commission percent.

According to the NAR Members Profile the average real estate agent makes about $48,000 annually.  Obviously, many agents make far more and the top producers can earn as much as a million dollars a year.