---
title: "New York Real Estate Agent Commission Rates and Rules"
url: https://dunnteamrealty.com/new-york-real-estate-agent-commission-what-to-know-before-you-act/
description: "New York real estate agent commissions typically total 5% to 6% of the sale price. Learn who pays, how splits work, recent changes, and negotiation options."
published: 2026-09-14
updated: 2026-09-14
---

# New York Real Estate Agent Commission Rates and Rules

Published 2026-09-14

New York real estate agent commissions typically total 5% to 6% of a home's sale price, paid by the seller and split between the listing and buyer's agents, though rates remain negotiable and recent national policy shifts have increased price competition.

## Typical Commission Rates in New York

Statewide averages fall between 5% and 6% of the final sale price. In Manhattan, many transactions still close at the higher end of that range. Outside the city, rates often settle closer to 5%. These figures cover both the listing side and the buyer's side combined.

## Who Pays the Commission

The seller pays the full commission in nearly all New York transactions. The cost is built into the sale price, so buyers contribute indirectly through the purchase amount. No separate payment from the buyer is required at closing under standard agreements.

## How Commissions Are Split Between Agents

The most common division gives 50% to the listing agent's brokerage and 50% to the buyer's agent's brokerage. Each brokerage then applies its own split with the individual agent, often leaving the agent with 70% to 90% of their side's share after brokerage fees. On a $500,000 sale at 6% total commission, each side receives $15,000 before internal splits.

## Recent Changes Affecting Commission Structures

National policy updates effective in 2024 ended the long-standing practice of listing a fixed 6% commission in multiple listing services. Brokers must now negotiate compensation offers separately, which has opened more room for lower rates in competitive markets. Sellers can now offer buyer-agent compensation as low as 2% or 3% in some cases without violating MLS rules.

## Factors That Influence Final Rates

Local market conditions play a major role. In strong seller markets, agents may accept lower percentages because properties move quickly. Unique or high-value properties sometimes command different structures. Competition among agents in a given neighborhood can also push rates down when multiple brokers seek the listing.

## Options for Lowering Commission Costs

Sellers can compare multiple agents and negotiate the total rate before signing a listing agreement. Some choose flat-fee or limited-service models that reduce the percentage charged. Buyers may request a rebate of part of the buyer-agent commission in states where such arrangements are permitted. These approaches require clear discussion upfront so all parties understand the compensation terms.

## Agent Earnings After Brokerage Splits

Individual agents rarely keep the full listed commission. Traditional brokerages retain 10% to 30% of the agent's share for support, training, and brand use. Flat-fee brokerages charge a fixed transaction fee instead, allowing agents to retain a larger portion of their side's commission. The exact amount kept depends on the brokerage agreement and the agent's production level.

Commission amounts are never fixed by law and must be agreed upon in writing between the seller and the listing brokerage. Buyers and sellers should review the compensation section of any buyer or listing agreement before signing.

## Sources

- Real Estate Salesperson | Department of State - https dos ny gov
- I Asked 12 NYC Real Estate Agents Who Pays ...
- How Much Commission Does a Realtor Make in NY ...