💡 The Truth About Realtor Commissions: What Buyers and Sellers Should Know

It’s easy to see a Realtor’s commission on a settlement statement and think, “That’s a lot of money for one transaction.” But what many people don’t realize is how much time, expense, and behind-the-scenes work goes into every client experience, long before and long after the sale.

🕒 Realtors Don’t Get Paid for Every Hour We Work

Realtors are full-time professionals, but unlike traditional jobs, we don’t earn hourly pay or a guaranteed salary. Our income is 100% commission-based — meaning if we don’t close a transaction, we don’t get paid.

Yet every week, we still:

• Spend hours educating clients on the market and the process

• Research listings and pricing trends

• Tour properties, sometimes dozens before one buyer finds “the one”

• Coordinate showings, inspections, and appraisals

• Market listings with professional photography, videos, and advertising

• Guide clients through complex paperwork and negotiations

• Answer countless calls, texts, and emails — even for clients who never end up buying or selling

So when one home closes, that single commission check often reflects 40+ hours a week of effort that went into the business — from marketing, consulting, providing answers to questions, staying on top of market trends, scouting for properties, to continuing education and unpaid consultations.

💸 The Reality: Realtors Are Small Business Owners

Behind every Realtor is a long list of business expenses most people never see:

• Brokerage fees (yes, a portion of our earnings go to our company)

• Taxes — since we’re self-employed, we pay both employer and employee portions

• Marketing, photography, videography, and advertising costs.

• CRM systems, transaction management platforms, and client gifts.

• Car expenses, travel mileage, insurance, and professional dues.

• Prospecting to gain clients is a very big expense from postcards, mailings, buying leads from sites from Zillow.com, Realtor.com, can cost thousands per month.
• Printer supplies, ink, signs, business cards, open house supplies, etc.

By the time you add it all up, a significant portion of that “commission” goes back into keeping our business running so we can deliver exceptional results for our clients.

🏠 For Sellers: We Save You Time, Stress, and Money

Selling your home isn’t just about putting up a sign. A great Realtor:

• Prices your home strategically to attract the right buyers and avoid costly price reductions

• Markets professionally across multiple platforms for maximum exposure. 90% of qualified buyers are working with Realtors and it's important your property is available to these realtors to show and bring you an offer. 

• Negotiates fiercely to get you the best price and terms

• Prevents Liability- we stay up to date on local ordinances and regulations to make sure you are complying with all rules, laws, and ordiances to mitigate risk during and after the sale. 

Our experience protects your bottom line and helps avoid pitfalls that could cost thousands.

🔑 For Buyers: We’re Your Advocate from Start to Finish

For buyers, having a dedicated agent means more than just unlocking doors. We:

• Help you understand market trends and what homes are truly worth

• Craft offers that stand out while protecting your best interests. There is much more to an offer than price. Terms are particularly important. We help map out timelines to protect you and make sure you have enough time to do your diligence in the process. 

• Connect you with trusted lenders, inspectors, and attorneys

• Guide you through inspections, appraisals, and every stage until you get your keys

• Most importanly we know how to look for red flags, issues, zoning requirements, lending rules, and all kinds of pitfalls to make sure you are meeting your goals and not getting stuck in the process. When unexpected issues arise we are there immeditaely there to help you navigate them without any additional cost. 

Even when buyers tour 20 homes and decide not to buy, we still provide professional advice, education, and time....all without pay until closing.

⏳ Time Is Money — and So Is Peace of Mind

Just like hiring a cleaner or mechanic, you could technically do it yourself — but at what cost? A professional saves you time, stress, and often money in the long run.

Realtors make the process smoother, more efficient, and more profitable. We handle the legwork so you can focus on what matters most: making decisions that move your life forward.

💬 The Bottom Line

A Realtor’s commission isn’t just about one house — it represents the hours of education, dedication, and unseen work that make your transaction possible.

Whether you’re buying your first home or selling your forever one, remember:
When you hire a Realtor, you’re not just paying for a service. You’re investing in expertise, experience, and peace of mind. 

At Team Jesicca Skoloda eXp Realty, we pride ourselves on delivering exceptional service, transparency, and results that make every penny worthwhile. 

An added bonus is we love to spoil out clients during the sale and long after the sale! Even as a past client you will be invited to client appreciation events and receive small gestures of our appreciation for years to come!

Our commission structure is competetive, you get a whole team working on your behalf to deliver 110%, we spoil you throughout the process, and your commissions help us give back to the community. 

Ready to get started? Contact us today!