Commission isn’t the biggest concern in real estate—relationships are.
Today, I want to talk about a topic that many people don’t like discussing: money and how real estate agents get paid. I was inspired to create this video after a conversation with my family over the holidays. They were curious about how I get paid on commission.
One family member asked, “What’s in it for you to try and get your buyers a better deal? Wouldn’t that mean you get paid less?” This got me thinking about how I can clarify things for my clients.
Whenever I receive questions from clients or loved ones, it’s an opportunity for me to create informative videos. If one person has a question, it’s likely that others do too. So let’s dive into how real estate agents get paid.
In Oregon, where I work, a buyer’s agent typically earns commission based on the purchase price of the home. So, it would seem that the higher the purchase price, the higher the commission. However, I believe it’s essential to distinguish between being transactional and being relational.
Sure, if I were to save a client $10,000 or $20,000, I might earn a bit less in commission. But that’s not my focus. I’m not a transactional agent; I’m a relational agent. If I can help a client achieve their goals, they’re likely to share their positive experience with others. They may write a positive review or refer their friends and family to me. That’s a win-win situation for everyone involved.
I’m motivated by building strong relationships with my clients, not just by earning a commission. If I can help a client achieve their goals and make them feel like they’re part of the family, that’s a successful transaction in my book. My favorite rule to live is this: treat people how you want to be treated.
In the end, it’s not about the commission; it’s about helping my clients achieve their goals and being their partner every step of the way. If you have any questions, no matter how big or small, feel free to call or email me.
