What is the Commission for Real Estate Agents in Georgia?

Learn how much commission you can make as a real estate agent in Georgia and how you can complete your required education online!

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Are you considering becoming a real estate agent in Georgia? Knowing about the commission structure in the state will help you figure out how much you can earn. What can you make on each sale? What could your annual income be? These are important questions when you decide if this career path is right for you.

How Much Commission Will You Make as a Real Estate Agent in Georgia?

Your earnings from year to year vary when you are a real estate agent in Georgia. Commission rates are not standardized, and they can't be, according to antitrust laws. Instead, they are negotiable. A 2021 survey revealed that the average commission in Georgia is now 5.80%. That is higher than the national average of 5.49%.

The average sale price of a house in Georgia is now $365,158, according to the Georgia Association of Realtors. That translates to an average commission payout of about $21,179. But you might have to share that amount with other agents, so it won't all go in your own pocket.

Wondering About The Costs of A Georgia Real Estate License?

We broke down all the costs and fees you can expect to pay while getting your real estate license.

How Are Real Estate Commissions Split in Georgia?

Real estate commissions are traditionally split four ways. The listing agent and their broker each get a percentage. Then, the buying agent and their broker each get a percentage. Like many states, in Georgia, real estate agents can't directly receive commissions from the sale of a property. Instead, your broker will get paid and then they will pay you according to your agreement.

Here's an example.

If you found a buyer for a home that costs $350,000 and the commission in the listing agreement was 6%, the payout would be $21,000. How the $21,000 is divided up depends on the agreements that have been negotiated. If your broker and the listing agent agree on a 50/50 split, each party would get $10,500. Then, if you and your broker agree on a 50/50 split, you each would get $5,250. The same applies to the listing agent and their broker.

  • Home cost: $350,000
  • Total commission: 6%, $21,000
  • Listing agent: 1.5%, $5,250
  • Listing agent's broker: 1.5%, $5,250
  • Buying agent: 1.5%, $5,250
  • Buying agent's broker: 1.5%, $5,250

As you become a more established real estate agent, you can often negotiate a split that leans more in your favor. For example, you may receive 70%, and your brokerage will get 30%. But, in the beginning, your brokerage is helping you get clients, so your share is often more modest.

Today's Georgia real estate agent makes an average of $69,150. Even with the split, this is about 10% higher than the national average.

Other Commission Models

You may run into variants of the traditional commission model. For example, some brokers offer a flat payment to agents for each home sold. That's why choosing your broker carefully is important. You want to enjoy your work environment but also get the best deal.

Technology is now disrupting the real estate industry and several companies have emerged that offer a new commission model. Companies like Clever and Redfin negotiate listing fees as low as 1% for home sellers. But why would you be willing to accept a lower commission rate? These types of companies provide you with referrals, meaning you won't have to spend time and money marketing yourself to home sellers — something that both new and established agents dread.

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Become a Real Estate Agent in Georgia

Georgia is the second-fastest-growing state in the U.S. Now is a great time to consider a career as a Georgia real estate agent.

Being a real estate agent in Georgia provides a solid long-term income. Plus, it's a career path with a low barrier to entry. You don't have to spend years in college. In fact, as long as you are 18 and have your high school diploma (or the equivalent), you can take the 75 hours of required pre-licensing education online with an approved school like Aceable Real Estate School.