Split commission

When the total commission gets divided between the listing brokerage and the buyer's brokerage. The split isn't always even, and terms have to be set in writing.

Agents & representation · Updated September 2026

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Where this comes up: getting ready

This word belongs to the getting ready part of a sale. Here is what that part holds, in order.

Set up your closing teamDecide if you want an agent · Find out who runs closings here
Set your priceLook at what nearby homes sold for · Check some online values
Prep and photograph the homeClear out and put things away · Fresh paint and a deep clean
Gather details and disclosuresWrite down the basics · Note the land and what stays

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Part 1 of 4

Why a seller cares

The split used to describe one commission divided between the listing and buying brokerages. Since 2024 the two fees are set separately, and what reaches the buyer's side is decided in the offer, not by a split.

Part 2 of 4

A simple example

Your agent's fee is 2.5% by agreement. The buyer's offer asks for 2.5% for their agent, and you agree, so 5% leaves your proceeds in two pieces.

Split commission: a simple example
The piece	How it is set
Your agent's share	The listing agreement
The buyer's agent's share	The offer, and your answer to it
The split inside a brokerage between broker and agent	Their business, not yours

Split is an old word for two fees that are now negotiated separately.

Part 3 of 4

What people get wrong

That the split is fixed at half and half. There is no fixed split anymore; each side is its own number.

Part 4 of 4 · where to read next

Where it appears in the sale

Getting ready to sellBefore you list · the stretch of the sale this word belongs to

What a definition is, and what it isn't

Keighbor is a software company, not a law firm, brokerage, or tax adviser. This is general information, not legal, tax, financial, or real estate advice about your sale. Your situation may differ. Before acting on a contract, disclosure, title, tax, or pricing question, ask an appropriately licensed professional in your state.

Written and researched by Keighbor Research · drawn from the reference glossary · how we research and check what we publish

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