Real estate commissions highest in the West E-mail

Residential real estate agents in the western part of the country, including Oregon, earned the biggest average commission on home sales in 2008 and beat the national average, according to a study released Monday.

Sold homes in the West also had the largest average selling price by region of $312,100, the study said.

The sales commission study, by ForSaleByOwner.com, showed Western agents earned an average commission per home of $16,230. Average commissions in other regions for last year were: Northeast, $15,500; South, $11,050; and Midwest, $9,540.

Started in 1999, ForSaleByOwner is a Web site for homeowners who want to sell their homes themselves, without the help of a real estate agent. The site competes with agents, providing home-sale services such as advertising and real estate resources for fees ranging from $89 to $899.

Nationwide, total agent commissions on residential sales dropped $12 billion to $46.6 billion in 2008 from $58.4 billion in 2007, according to the study.

In the last eight years, the high for commissions was $71 billion in 2005, and commissions have declined each year since then.

The national average commission for last year was $12,600, down from $13,780.

Average selling prices for homes last year, by region, were: West, $312,100; Northeast, $297,900; South, $212,400; and Midwest, $183,400.

Data for the Web site’s study on agent commissions came from the National Association of Realtors and home-sale data provider Real Trends Inc.

 
 

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