4 ms·

Somewhat, but not quite...Real Estate brokers get a cash commission, not a piece of the home value. But the analogy comparing AngelList to an MLS makes sense.

• Asparagirl 13y ago
  I'm not sure where you live, but in the US, the standard commission for a registered broker selling a house is six percent of the selling price of the house, not a flat fee. But yes, they do not get to keep that six percent in perpetuity.
  • TezzellEnt 13y ago
    Technically it's illegal to set commission rates, but 6 percent was the norm. In the Bay Area however, it's the new norm to offer 2.5-2.0% to Selling agents (those bringing buyers to the deal). I'm not sure exactly what the Listing agents put as the commission fee, but I'd imagine they're likely splitting it 50/50.
    • cschmidt 13y ago
      That wouldn't fly in Boston. I imagine the listing agent is also making 2.5%, giving a total of 5%.
  • ams6110 13y ago
    Standard commission for residential real-estate is in the 6 percent ballpark, but it's negotiable. It's also split between buyer's agent and listing agent, unless the listing agent brings the buyer (which may be considered a conflict of interest in some areas, but I'm not sure how it gets worked out). Sometimes a FSBO seller will offer to pay a buyer's agent 2.5% or so, unless they don't want to work with agents at all. It's a waste of money IMHO, but some people like to have an agent involved. I've had far better luck selling property on my own than using agents though.
  • lifeisstillgood 13y ago
    Six percent! What ! Any real estate agent in the UK offering that would get laughed out if town - 2% is common, 1% is realistically negotiatable