Average Buyers Agent Real Estate Commission, 2023 Report

buyers agent commission rates

I love writing about real estate commission. Licensed for 20 years now, I have always been surprised when Realty companies and other real estate agents are hush-hush about their commission rates. I have the opposite approach. My commission rates are transparent and upfront and I write annual reports on local and national real estate commission rates, divided into what sellers agents are charging and what buyers agents are receiving. Typically when a homeowner hires a Realtor to sell the home, they pay both the sellers agent and buyers agent fees. Let’s say the total commission charge is 5% (a common rate these days), the sellers agent might take 3% of that and give 2% to the buyers agent (check your contract before signing). The commission rates are often not split 50/50 between the selling and buying agent, which is why two different reports on real estate commissions are needed.

It is important for the consumer to have information on average real estate commission rates in the U.S., and to have access to information on what buyers agents and sellers agents are charging on average. Also, as a top sellers agent in my area, it is important for me to have my thumb on what buyers agents are being offered in my local area. Furthermore, it gives the top buyers agent on my team a bird’s eye view on what’s going on in the Portland real estate market.

Real Estate Commissions are Always Negotiable and There is No Set Standard

It is hard to say it simpler than that, but whenever you are engaging the services of a licensed real estate agent, know that the commission they earn is a negotiable part of the home buying or selling process.

Tracking Buyers Agent Commission Over the Years

The buyers agent commission rates listed below come from data provided by RMLS and previous reports we’ve written in years past using RMLS data. The target area is Portland, Oregon city proper and the target property type is a detached single family residential home.

Offered Buyers Agent Commission Rates
Year Rate 2.7%Rate 2.5%Rate 2.25%
2023<1%75%16%
2022<1%74%21%
20212%76%10%
20203%88%6%
20193%89%4%
20184%86%5%

Commission Rates Offered to Buyers Agents in 2023

The commission rate data below is from all closed detached home sales so far in 2023 (01/01/23 to 03/21/23) in Portland, Oregon city proper. In that timeframe 1,144 detached homes sold. Now let’s look at what BAC (buyer’s agent commission) was offered.

Buyers Agent Commission Rate OfferedNumber of Sold Homes% of Sales
3%14 1%
2.75%2<1%
2.7%9 <1%
2.6% 1 <1%
2.5%860 75%
2.4%3<1%
2.375% 2 <1%
2.3% 4 <1%
2.25% 181 16%
2.0% 7 <1%
1.5% 1 <1%
1.25% 1 <1%
1%4 <1%
Other or flat fee131%

Findings from the 2023 Buyers Agent Commission Study

The 2.5% rate remains the most popular followed by the also popular 2.25% rate. Likely due to a tougher 2023 real estate market, the 2.25% rate lost some steam with more slightly more 2.5% rates being offered, and more 3% rates being offered (though still just 1% of the time). In my experience, when sellers get desperate to sell, sometimes they increase the buyers agent commission rate. Also in my experience, a higher offering than average doesn’t help. The home’s condition, location, and price are the biggest reasons why the home will sell or not. I’ve written many research based articles on what causes a home to sell or not.

Work with a Top Realtor

If you’re thinking of a selling a home in Oregon or SW Washington in the next 12 months, our top 1% sellers agents would love to talk with you. Or if you are thinking of purchasing a home in the future, our top 1% buyers agents would love to talk with you today and help organize your goals. Give us a call today at 503-714-1111 or chat with our bot on this site. We’d love to connect!

March 27, 2023
AUTHOR

Stephen FitzMaurice

Stephen FitzMaurice, Realtor is a top 5% real estate agent in the U.S. A Principal Broker in Oregon, Managing Broker in Washington, he has been licensed since 2003 for residential real estate sales. Call his team in Oregon at 503-714-1111 or in Washington at 360-345-3833.

4% max to sell a home in Portland and SW Washington.
4.5% max to sell a home in Salem and Bend.
Over 2,000 homes sold.