Real Estate · Real Estate Math

A home sells for $425,000. The listing broker receives a 6% total commission split 50/50 with the buyer's agent brokerage. The listing agent receives 60% of their brokerage's commission. What does the listing agent earn?

Correct answer

$7,650

  1. A $7,650
  2. B $12,750
  3. C $15,300
  4. D $25,500

Why this is the answer

Step 1: Total commission = 6% × $425,000 = $25,500. Step 2: Listing brokerage's share = 50% × $25,500 = $12,750. Step 3: Listing agent's share = 60% × $12,750 = $7,650. Commission calculation questions follow this structure: total commission → broker's split → agent's split. The exam uses various split percentages — know the formula: (sale price × commission rate) × broker split × agent split.
Source: Real Estate Exam, Commission Calculation