A commission (C) is

A commission (C) is

• A. the amount a broker receives for selling
• B. a fee charged by the city
• C. the price of listing a property
• D. the annual property tax

Answer: (A)

Coalition in real estate is the amount a broker earns for facilitating a sale. It’s typically calculated as a percentage of the sale price and is paid at closing, usually by the seller, then split between the listing broker and the buyer’s broker. For example, if a home sells for $350,000 and the commission rate is 6%, the gross commission would be $21,000. This is the broker’s earnings for selling the property, not a city fee, not the listing price, and not the annual property tax. The listing price is what the seller asks for, and property tax is the yearly levy assessed by the local government.

Coalition in real estate is the amount a broker earns for facilitating a sale. It’s typically calculated as a percentage of the sale price and is paid at closing, usually by the seller, then split between the listing broker and the buyer’s broker. For example, if a home sells for $350,000 and the commission rate is 6%, the gross commission would be $21,000. This is the broker’s earnings for selling the property, not a city fee, not the listing price, and not the annual property tax. The listing price is what the seller asks for, and property tax is the yearly levy assessed by the local government.