How Much Does a Realtor Make on a $500,000 Sale? (2026 Breakdown)

How much does a realtor make on a $500,000 sale? At the traditional 5-6%, the total commission runs $25,000 to $30,000 — split between the listing agent and the buyer’s agent. So each agent’s side is roughly $12,500 to $15,000 before their broker takes a cut. Here’s exactly where that money goes, and how much of it you can keep.

The $500,000 commission breakdown

Commission comes off the top of your sale and gets divided two ways. Here’s how a $500,000 sale splits at the common rates:

What the realtor actually pockets

Here’s the part sellers miss: the agent doesn’t keep their whole side. They split it with their brokerage — often 60/40 to 80/20 in the agent’s favor — and then cover marketing, fees, and self-employment taxes out of what’s left. On a $15,000 side at a 70/30 split, the agent nets about $10,500 before expenses. Good agents earn it. But you’re paying for the full side, not the take-home.

How to keep more of your $500,000

You can’t do much about the buyer’s-agent side except negotiate it (which, since the 2024 NAR settlement, you can). But the listing side — your agent’s $15,000 — is where the real savings live.

Does a lower commission mean a lower sale price?

No — and this is the myth that keeps people overpaying. Your buyer pool comes from the MLS and the portals it feeds (Zillow, Realtor.com, Redfin), and your home appears there the same way regardless of what you paid to list. Price drives offers. Commission rate doesn’t.

FAQ

How much commission does a realtor make on a $500,000 house?

About $12,500-$15,000 per side at 5-6% total, before their broker split and expenses. The listing agent and buyer’s agent each get one side.

Can I negotiate the commission?

Yes. Commission has always been negotiable, and since 2024 the buyer-agent portion is explicitly your call. Flat-fee and 1% options skip the negotiation entirely.

Do I still have to offer the buyer’s agent a commission?

Not by default anymore. You can offer one to attract more showings, offer less, or handle it at the offer stage.