Southcentral Wisconsin
At The Frugal Broker, we share our commission with buyer clients as a way of saying “Thank You” for your business.
When a homeowner lists property with a full service real estate broker, typically, the homeowner pays the listing broker a commission equal to 6.00% of the sale price. On occasion, the listing broker will locate the buyer, and collect the entire commission. However, in the vast majority of real estate transactions, a buyer’s broker locates the property on behalf of the buyer, and guides the buyer through the purchase process. At closing, the listing broker and buyer’s broker generally split the commission fifty-fifty (i.e. 3.00% per broker).
| Price of Home | Typical Commission Paid by the Homeowner to the Listing Broker (6.00%) | Typical Commission Paid by the Listing Broker to the Buyer’s Broker (3.00%) | Commission Retained by The Frugal Broker (2.50%) | Incentive Paid by The Frugal Broker to the Buyer (0.50%) |
|---|---|---|---|---|
| $50,000 | $3,000 | $1,500 | $1,250 | $250 |
| $75,000 | $4,500 | $2,250 | $1,875 | $375 |
| $100,000 | $6,000 | $3,000 | $2,500 | $500 |
| $150,000 | $9,000 | $4,500 | $3,750 | $750 |
| $200,000 | $12,000 | $6,000 | $5,000 | $1,000 |
| $250,000 | $15,000 | $7,500 | $6,250 | $1,250 |
| $300,000 | $18,000 | $9,000 | $7,500 | $1,500 |
| $350,000 | $21,000 | $10,500 | $8,750 | $1,750 |
| $400,000 | $24,000 | $12,000 | $10,000 | $2,000 |
| $450,000 | $27,000 | $13,500 | $11,250 | $2,250 |
| $500,000 | $30,000 | $15,000 | $12,500 | $2,500 |
| $1,000,000 | $60,000 | $30,000 | $25,000 | $5,000 |
Unlike most buyer brokers, who keep their entire commission (i.e. 3.00%), The Frugal Broker only keeps 2.50%. As an incentive to do business with The Frugal Broker, within ten business days of closing, The Frugal Broker mails buyer clients a check for the difference between the total commission paid to The Frugal Broker (i.e. 3.00%), and 2.50% of the purchase price.
Put Us To Work For You, And We’ll Help You Pay For Your Next Home!