Connect with us


The average commission for real estate in Alabama in 2023: what’s fair?

Avatar photo



c 1

One of the costs to consider when selling a house is the realtor commission fee. The fee is a percentage of the sale price and is typically covered by the seller. Commission fees vary by state, and it’s important to know the range of commission fees in your area so you can accurately calculate the cost.

In Alabama, the average commission of a realtor’s service is 5.61%. As of the summer of 2020, the average sale price for Alabama houses is $204,965. That means the average commission fee to a real estate agent on that house would be about $11,400.

If you know the standard commission in your state, you will be able to avoid overpaying your realtor and determine the costs of selling your house more accurately.

Commission fees might feel like a lot, but that $11,400 supports the realtor’s business. Without the commissions, real estate agents wouldn’t be able to offer their incredible services to home buyers and sellers. However, there are third-party companies, like ours, that help resource real estate agents, thereby reducing commission rates and saving you money! Here is more information on real estate commissions and how using our offerings can save you thousands.

Why can I trust your info?

We are all about transparency. We’re always communicating with agents based in Alabama, so we can get the most meticulous and up-to-date information on realtor commission rates. With this, we establish a trustworthy database to pass along to you. We do this because our team is devoted to helping home buyers and sellers.

What is the fair pricing of real estate agent commission in Alabama?

While the pricing of the realtor commission can be negotiated, most real estate agents in Alabama will request a figure of about 5.61%. – the average based on acknowledged transactions from all over the state. Most realtors accommodate the pricing to whatever is commonplace in their state, so the commission rates aren’t different from one agent to another. Commission fees do tend to fall along the range of 5.11% to 6.11%, which is between $10,400 to $12,400 for the average home cost.

But why is the realtor commission so pricey?

Factors that influence realtor commission fees include:

  • Every listing is a calculated risk.

By listing a home, the realtor takes the risk. They only get paid if the house sells. Therefore, to make a sale, they will do everything in their power to market the home. This includes money for professional photography, advertising expenses, etc.

  • Finding clients is expensive…and doesn’t pay.

It is costly and hard to find a client – agents spend their resources to create new business and find home sellers.

  • Listing agents split their commission.

Realtors only receive a limited amount of the commission. That commission fee is split between the realtor, the agent, and the broker of both the seller and buyer.

Some companies, such as ours, aspire to make agents accept lower commission rates by uncomplicating their jobs. Realtors in our database get matched directly with clients. Since we help generate business for the agents, we can reduce realtor commission fees.

What is a typical realtor fee in Alabama?

Of the total 5.61% commission fee, the listing agent is most likely to take about 1.42% of the total selling expenditure of your house if you sell a house with a realtor.

This is because that fee is divided between the agent of the purchaser, your agent, and even between each of their brokers. This is customary practice in the real estate business, making the process of selling your house quite predictable.

How much can realtors make on a transaction in Alabama?

Assuming that the listing agent splits half of the commission with the specialized broker, they will receive about $2,900 after selling a typical house in Alabama. Another way to look at it is they typically get around $1,400 for every $100,000 in market sale price.

According to the Bureau of Labor Statistics, real estate agents in the state of Alabama make on average $52,990 per year. That’s $10,000 less than the national average of real estate agents’ earnings, although the housing market in Alabama has been hot recently.

Who is to pay the realtor commission in Alabama?

The property seller pays the realtor commission fees. So, if you plan to sell your house in Alabama, like in any other state, you will have to pay realtor fees for all the agents who are involved in the transaction.

How to save money when you have to sell your house in Alabama:

The standard real estate commission in Alabama is 5.61%. However, there are a few options to help you save on realtor fees.

These are the main ways of saving money on real estate commissions in Alabama:

  • Negotiate lower rates. Typically, trying to negotiate lower commission fee rates is risky when performed by non-professionals.
  • List your property independently. Listing your house as “for sale by owner” may be tempting to save money on realtor fees, but then the burden of the marketing and administrative tasks also falls to you.


  • Contacting an agent matching service, such as ours, and the professional will perform all the negotiations, freeing you from such a dreadful task.

Other tips for saving on commission by our agents:

Some well-seasoned sellers in Alabama already have experience in negotiating lower commission rates. However, this might not be true for all of them.

The Alabama real estate market has been intense recently. Homes go quickly. Sale rates match the national standard. In a classic example of supply and demand, there are more potential home purchasers than properties for sale. If you’re a potential buyer, it’s rough out there!

To sum it up, when selling a home, we recommend using a real estate service. This will protect you from the hassle of trying to save on commissions and will provide you with the best outcome from the house selling deal.


Kossi Adzo is the editor and author of He is software engineer. Innovation, Businesses and companies are his passion. He filled several patents in IT & Communication technologies. He manages the technical operations at

Click to comment

Leave a Reply

Your email address will not be published. Required fields are marked *

Top of the month

Copyright © 2023 STARTUP INFO - Privacy Policy - Terms and Conditions - Sitemap - Advisor


We are a global Innovative startup's magazine & competitions host. 12,000+ startups from 58 countries already took part in our competitions. STARTUP.INFO is the first collaborative magazine (write for us or submit a guest post) dedicated to the promotion of startups with more than 400 000+ unique visitors per month. Our objective : Make startup companies known to the global business ecosystem, journalists, investors and early adopters. Thousands of startups already were funded after pitching on

Get in touch : Email : contact(a) - Phone: +33 7 69 49 25 08 - Address : 2 rue de la bourse 75002 Paris, France