Net Proceeds After Selling
Last reviewed: January 2026
Calculate your net proceeds from selling a home after agent commissions, mortgage payoff, and closing costs. This calculator runs entirely in your browser — your data stays private, and no account is required.
Real estate commissions have traditionally been 5-6% of the sale price, split between the listing agent brokerage and the buyer agent brokerage. Each brokerage then splits their share with the individual agent, typically 50/50 for new agents and 70/30 or higher for experienced agents.[1] Following the 2024 NAR settlement, buyer agent commissions are no longer automatically offered through the MLS, and buyers may need to negotiate and potentially pay their own agent commission separately — a significant shift from decades of seller-funded buyer representation.[2] Commission rates are always negotiable, and discount brokerages offering 1-2% listing fees or flat-fee MLS services have gained market share. However, studies suggest that experienced full-service agents often sell homes for 5-10% more than discount alternatives, partially or fully offsetting the higher commission.[3] Use the Mortgage Calculator to factor commission into your net proceeds.
| Sale Price | Total Commission (5-6%) | Listing Agent Share | Buyer Agent Share |
|---|---|---|---|
| $300,000 | $15,000–$18,000 | $7,500–$9,000 | $7,500–$9,000 |
| $500,000 | $25,000–$30,000 | $12,500–$15,000 | $12,500–$15,000 |
| $750,000 | $37,500–$45,000 | $18,750–$22,500 | $18,750–$22,500 |
Real estate commissions are negotiable fees paid by the seller, typically totaling 5-6% of the sale price and split between the listing agent's brokerage and the buyer's agent's brokerage. On a $400,000 home sale, a 6% commission totals $24,000 — often the single largest transaction cost for sellers. Each brokerage then splits its share with the individual agent, typically 50/50 to 80/20 depending on experience and production volume. Following the 2024 NAR settlement, buyer agent compensation is no longer automatically offered through the MLS, and buyers may need to negotiate agent fees directly or request seller concessions to cover them. This shift has introduced more variability in commission structures, with some buyer agents charging flat fees ($3,000-$7,000) or hourly rates ($150-$300/hour) instead of traditional percentage-based commissions.
| Sale Price | 5% Commission | 5.5% Commission | 6% Commission | Net to Seller (6%) |
|---|---|---|---|---|
| $250,000 | $12,500 | $13,750 | $15,000 | $235,000 |
| $400,000 | $20,000 | $22,000 | $24,000 | $376,000 |
| $600,000 | $30,000 | $33,000 | $36,000 | $564,000 |
| $800,000 | $40,000 | $44,000 | $48,000 | $752,000 |
| $1,000,000 | $50,000 | $55,000 | $60,000 | $940,000 |
Commission rates are always negotiable, and several factors give sellers leverage in negotiations. Higher-priced properties often command lower percentage rates because the dollar amount is already substantial — an agent may accept 4% on a $1 million sale ($40,000) versus 6% on a $300,000 sale ($18,000). Sellers in hot markets with low inventory have stronger negotiating positions because agents know the property will likely sell quickly with minimal marketing expense. Offering both the listing and buying side to one agent (dual agency, where legal) can reduce total commissions since the agent captures both sides. Discount and flat-fee brokerages charge $3,000-$5,000 for listing services, though they typically provide fewer marketing resources and less hands-on support. Some sellers use a tiered commission structure, paying a lower base rate plus a bonus if the property sells above a certain price or within a specific timeframe, aligning the agent's incentive with the seller's goals.
Commission is just one component of total selling costs. Sellers should calculate net proceeds by subtracting all costs from the sale price: agent commissions (5-6%), closing costs (1-3%), mortgage payoff balance, any seller concessions agreed upon during negotiation, repair costs from inspection negotiations, transfer taxes (varies by state, 0-2%), staging and preparation costs ($500-$5,000), and capital gains tax if applicable. On a $400,000 sale with a $250,000 remaining mortgage, 6% commission, and 2% in additional closing costs, the seller nets approximately $118,000 before any capital gains considerations. The capital gains exclusion allows individuals to exclude up to $250,000 ($500,000 for married couples) in profit from capital gains tax if they have lived in the home as their primary residence for at least two of the last five years. For detailed mortgage payoff calculations, see our Mortgage Calculator and Closing Cost Calculator.
For-Sale-By-Owner (FSBO) properties save the listing agent commission (2.5-3%) but typically sell for less. NAR research consistently shows FSBO homes sell for a median of 10-15% less than agent-assisted sales, more than offsetting the commission savings. However, this gap narrows significantly for experienced sellers in strong markets. FSBO sellers should budget for professional photography ($150-$500), MLS flat-fee listing ($300-$500), real estate attorney for contracts ($500-$1,500), and marketing materials ($200-$1,000). Even FSBO sellers often offer a buyer's agent commission (2-3%) to attract represented buyers, who constitute the majority of the market. The practical decision depends on the seller's market knowledge, available time, negotiation skills, and the complexity of the transaction — straightforward sales in hot markets are most suitable for FSBO, while complex sales, unique properties, or slower markets benefit more from professional representation.
The real estate industry is evolving beyond the traditional 5-6% commission model. Flat-fee brokerages charge a set amount regardless of sale price — typically $3,000-$7,000 for full service or $500-$2,000 for limited listing-only service. Rebate models return a portion of the commission to the buyer at closing, often 1-1.5% of the purchase price. Tiered models charge different rates based on the sale price, such as 5% on the first $500,000 and 3% on any amount above that. Hourly consulting models charge agents at $150-$400 per hour for specific services like market analysis, showing coordination, or contract negotiation, allowing sellers to pay for only what they need. iBuyer platforms like Opendoor and Offerpad charge service fees of 5-7% but provide convenience and speed, typically closing in 7-14 days versus 30-60+ days for traditional sales. Each model involves tradeoffs between cost savings, marketing exposure, negotiation support, and the time the seller must invest in the process.
Real estate investors face compounding commission impacts because they buy and sell more frequently than homeowners. A property purchased for $300,000 with 3% buyer closing costs ($9,000) and sold three years later for $350,000 with 6% commission ($21,000) plus 2% seller closing costs ($7,000) yields only $13,000 in net profit despite $50,000 in appreciation — commissions and closing costs consumed 74% of the gain. This is why many investors negotiate aggressively on commissions, use the same agent for multiple transactions at reduced rates, or obtain real estate licenses themselves to capture the buyer-side commission. Investors should factor full transaction costs into their return-on-investment calculations. Use our ROI Calculator for investment return analysis including all transaction costs.
The traditional 5–6% commission split between buyer's and seller's agents has been disrupted following the 2024 NAR settlement. Sellers are no longer required to offer compensation to buyer's agents through the MLS, which means commission rates are increasingly negotiable. Flat-fee brokerages charge $3,000–5,000 regardless of sale price, discount brokers charge 1–2%, and traditional full-service agents typically charge 2.5–3% per side. Some buyer's agents now charge hourly fees or flat retainers instead of percentage-based commissions. On a $400,000 home, the difference between 6% and 4% total commission is $8,000 — real money that affects your net proceeds from the sale. Always negotiate commission rates and compare multiple agents before listing.
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See also: Seller Profit Calculator · Home Affordability Calculator · Mortgage Calculator