Statistics

Real estate commission statistics (2026)

How much agents actually charge in every state, what the NAR settlement changed, and what consumers get wrong about choosing an agent. Updated 2026-03-21.

National avg rate

5.7%

On median home

$23,108

Post-settlement drop

-0.10%

States covered

51

National commission overview

The average total real estate commission in the United States is 5.7% of the sale price. On the median US home price of $405,400, that's $23,108 in total agent fees.

This splits between the listing agent (2.88%) and the buyer's agent (2.82%). Listing agent rates have held steady. Buyer agent rates dropped the most after the NAR settlement, falling from 2.87% to 2.82%.

Fee componentRateDollar amount
Listing agent commission2.88%$11,676
Buyer agent commission2.82%$11,432
Total commission5.7%$23,108

Based on national median home price of $405,400. Source: Clever Real Estate agent survey, 4.1M existing home sales in 2025.

Commission rates by state

Rates range from 4.5% in Washington DC to 6.2% in Michigan. Higher-priced markets tend to have lower percentage rates because agents earn more per transaction. Click column headers to sort.

Washington DC4.5%$643,000
New Jersey5.2%$521,000
Maryland5.41%$415,000
California5.47%$833,000
Indiana5.5%$255,000
Virginia5.5%$444,000
Alaska5.51%$383,000
Hawaii5.51%$743,000
Oregon5.51%$505,000
Illinois5.53%$286,000
North Carolina5.53%$368,000
Connecticut5.57%$415,000
Florida5.57%$412,000
Maine5.57%$381,000
Massachusetts5.57%$615,000
New Hampshire5.57%$483,000
Rhode Island5.57%$487,000
Vermont5.57%$388,000
Arkansas5.66%$253,000
Delaware5.66%$352,000
Georgia5.66%$366,000
Kentucky5.66%$263,000
Louisiana5.66%$249,000
Mississippi5.66%$253,000
West Virginia5.66%$249,000
New York5.69%$576,000
Colorado5.71%$582,000
Idaho5.71%$485,000
Montana5.71%$523,000
Nevada5.71%$455,000
Utah5.71%$548,000
Wyoming5.71%$484,000
Pennsylvania5.77%$283,000
Arizona5.82%$455,000
New Mexico5.82%$357,000
Oklahoma5.82%$244,000
Iowa5.84%$228,000
Kansas5.84%$279,000
Minnesota5.84%$354,000
Nebraska5.84%$289,000
North Dakota5.84%$281,000
South Dakota5.84%$320,000
Wisconsin5.84%$311,000
South Carolina5.88%$381,000
Texas5.88%$338,000
Ohio5.9%$241,000
Washington5.9%$630,000
Missouri5.94%$258,000
Alabama5.96%$281,000
Tennessee6.05%$380,000
Michigan6.2%$249,000
National average5.7%$405,400

Rates are averages based on 2024-2025 transaction data. Median home prices from Zillow Home Value Index. Commission dollar amounts calculated at each state's median price.

Lowest commission states

1 Washington DC
4.5% $28,935
2 New Jersey
5.2% $27,092
3 Maryland
5.41% $22,452
4 California
5.47% $45,565
5 Indiana
5.5% $14,025

Highest commission states

1 Michigan
6.2% $15,438
2 Tennessee
6.05% $22,990
3 Alabama
5.96% $16,748
4 Missouri
5.94% $15,325
5 Ohio
5.9% $14,219

NAR settlement impact on commissions

The National Association of Realtors reached a $418 million settlement in March 2024, with new rules taking effect on August 17, 2024. The settlement ended the practice of listing buyer agent compensation on the MLS and required buyers to sign representation agreements before touring homes.

Total commission rates dropped 0.10 percentage points. Buyer agent fees took the biggest hit.

Before settlement

5.8%

Total rate ($23,513 on median home)

Buyer agent: 2.87%

After settlement

5.7%

Total rate ($23,108 on median home)

Savings: $405 per transaction

Total rate drop

-0.10%

Buyer rate low (Q3 '24)

2.36%

Sellers who negotiate

37%

Settlement timeline

March 2024

NAR announces $418 million settlement agreement with home sellers

August 17, 2024

Settlement takes effect. MLS organizations stop displaying buyer agent compensation offers. Buyer representation agreements become mandatory.

Q3 2024

National average buyer agent rate drops to 2.36%, the lowest on record

Q4 2024

Rates begin recovering as market adjusts. Sellers resume offering buyer agent compensation off-MLS.

Q1 2025

V-shaped recovery largely complete. Total rates recover toward 5.70%, down modestly from 5.80% pre-settlement.

May 2025

Federal Reserve publishes commission trend analysis confirming modest long-term rate decline

Real estate industry statistics

The real estate industry has a structural oversupply of agents relative to transactions.

1.6M

Licensed real estate agents in the US

71%

Active agents sold zero homes last year

2.6

Average transactions per agent per year

$55,800

Median agent income

4.1M

Existing home sales in 2025

$1.6 trillion

Total transaction volume (2025)

With 1.6M licensed agents and only 4.1M home sales, most agents complete fewer than 3 transactions per year. The top 10% handle a disproportionate share of all transactions. A random referral has about a 70% chance of connecting you with an agent who hasn't closed a deal in the past year.

How consumers choose agents

There's a gap between what consumers say they value in an agent and how they actually choose one. Most put very little effort into the decision.

47%

of homebuyers hire the first agent they talk to

What consumers say matters most when choosing an agent

Communication and availability 46%
Local market experience 46%
Personality fit 42%
Commission rate 24%

Source: NAR 2025 Profile of Home Buyers and Sellers. Respondents could select multiple factors.

How consumers find their agent

Method% of buyers
Referral from friend, family, or neighbor38%
Online search or matching service19%
Used the same agent again27%
Open house or yard sign4%

The transparency gap

74% of consumers say they'd use agents more with detailed service breakdowns. 79% of home searches start on mobile.

Calculate your commission

See exactly what you'd pay in commission at your home price. Compare buyer vs seller costs and see how referral platform fees affect your agent.

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Methodology and sources

Commission rates come from the Clever Real Estate agent survey (February 2026, 533 agents across all 50 states). Median home prices use Zillow Home Value Index data, updated monthly. Transaction volume and agent counts come from NAR annual reports and state licensing boards.

Rates shown are averages. Actual commission rates vary by agent, market conditions, home price, and negotiation. Pre-settlement rates use 2023 full-year data as the baseline. Post-settlement rates reflect Q1 2026 averages.

This page is updated quarterly. Last update: 2026-03-21.

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