{"id":35969,"date":"2023-05-25T09:31:56","date_gmt":"2023-05-25T16:31:56","guid":{"rendered":"https:\/\/www.homelight.com\/blog\/?p=35969"},"modified":"2025-07-16T06:55:42","modified_gmt":"2025-07-16T13:55:42","slug":"average-real-estate-commission-rate-maryland","status":"publish","type":"post","link":"https:\/\/www.homelight.com\/blog\/average-real-estate-commission-rate-maryland\/","title":{"rendered":"What\u2019s the Average Maryland Real Estate Commission Rate?"},"content":{"rendered":"

Editor’s note: On March 15, 2024, the National Association of Realtors (NAR) <\/span>announced<\/span><\/a> a landmark lawsuit settlement that will change the way real estate agent commissions are handled in the future. These changes will \u201cdecouple\u201d seller and buyer agent compensation. Industry experts predict that this decoupling will likely lower agent fees and give buyers the ability to negotiate commission amounts directly. <\/span>Learn more<\/span><\/a>.<\/span><\/em><\/p>\n

Most real estate agents in Maryland get paid through commissions. Commissions are typically calculated as a percentage of a property\u2019s sale price, though some brokerages will charge a flat fee. The average agent commission<\/a> rate nationwide is 5.8% of the home sale price, according to HomeLight\u2019s real estate transaction data of thousands of home sales each year. But how does that compare to the average real estate commission rate in Maryland?<\/p>\n

In this post, we\u2019ll help you determine how much commission you might pay on your Maryland home sale, and what options are available to earn the highest proceeds possible.<\/p>\n\n\n\n\n\n

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What’s the average real estate commission in Maryland?<\/h2>\n

According to James Weiskerger<\/a>, a top Baltimore real estate agent with more than two decades of experience, you can expect to pay between 5% to 6% in agent commissions when selling a home in Maryland \u2014 with some variation based on location within the state and depending on the range of services provided. On a property worth the current statewide median home sale price of $380,000<\/a>, that amounts to $15,200\u2013$22,800 in commission costs.<\/p>\n

Weiskerger further explains the range this way: \u201cYou have various brokerages \u2014 like discount brokerages \u2014 that probably charge around four and a quarter (percent), and you have full retail brokerages that offer a lot more services, that their commission is probably around six percent.\u201d<\/p>\n

Using an overall statewide average of 5.5%, here\u2019s a breakdown of how much you might pay in real estate commissions based on what a typical home sells for in seven of the largest cities in Maryland:<\/p>\n\n\n\n\n\n\n\n\n\n
Maryland city\u00a0<\/strong><\/td>\nMedian home price<\/strong><\/td>\nTypical commission at 5.5%<\/strong><\/td>\n<\/tr>\n
Baltimore<\/td>\n$206,500<\/td>\n$11,358<\/td>\n<\/tr>\n
Frederick<\/td>\n$429,900<\/td>\n$23,645<\/td>\n<\/tr>\n
Gaithersburg and Rockville<\/td>\n$535,278<\/td>\n$29,440<\/td>\n<\/tr>\n
Bowie<\/td>\n$415,000<\/td>\n$22,825<\/td>\n<\/tr>\n
Hagerstown<\/td>\n$295,250<\/td>\n$16,239<\/td>\n<\/tr>\n
Annapolis<\/td>\n$445,000<\/td>\n$24,475<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n

Median home price source: Maryland Realtors\u00ae<\/a>, mdrealtor.org<\/a>.<\/em><\/span><\/p>\n

HomeLight gathers agent commission data from cities throughout the U.S. To see if we have commission rates for your city, try our Agent Commissions Calculator<\/a>. You might also be interested in our Home Value Estimator<\/a>.<\/p>\n

Still curious about commission rates in Maryland? Here are the answers to common questions about real estate agent commissions:<\/p>\n

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Who pays real estate commission fees?<\/h2>\n

The commission in Maryland is typically paid by the home seller, and from that commission, the seller\u2019s agent typically offers what\u2019s sometimes called a \u201cbuyer\u2019s coop fee\u201d \u2014 a percentage that will then be paid to the buyer\u2019s agent upon the deal\u2019s closing.<\/p>\n

\u201cThat fee ranges between two percent on the really low end to as high as three-and-a-half percent,\u201d Weiskerger explains. \u201cIt just depends on the property they’re selling, and if they’re trying to incentivize the buyer’s agent to bring the buyer.\u201d<\/p>\n

By state law, listing agents are required to say on a home\u2019s MLS listing<\/a> whether or not a buyer\u2019s agent will receive a commission via a buyer\u2019s coop fee and how much that would be. That way, the agent knows when taking a client to a house how much he or she might make from the transaction.<\/p>\n

Do buyers ever pay commission fees?<\/h3>\n

Yes, that could happen, although it\u2019s not typical. To ensure that they are compensated fairly \u2014 even if a listing agent offers a very low buyer\u2019s coop fee \u2014 a buyer\u2019s agent may ask a buyer to sign a buyer agency agreement<\/a> stating that the buyer\u2019s agent will be guaranteed a certain percentage of the sales price no matter what.<\/p>\n

For example, \u201cLet’s say (the seller is) only paying one percent,\u201d illustrates Weiskerger, \u201cbut your buyer agency agreement says that the buyers owe three percent (to the buyer\u2019s agent). In that case, the buyers will know in advance that they would owe (their agent) two percent of the sales price if they bought that particular house.\u201d<\/p>\n

When is the commission paid?<\/h3>\n

The real estate commission<\/a> will automatically be deducted from the sale proceeds at the time of closing. Until then, you won\u2019t owe any money to the real estate agent. In short, your listing agent typically doesn\u2019t get paid unless they sell your home. And an experienced, motivated agent will ultimately help you walk away with higher proceeds.<\/p>\n

If you\u2019re curious about how much you might make on your home sale after paying commissions and other selling costs, try our Net Proceeds Calculator<\/a>.<\/p>\n

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Does the agent get to keep the full commission?<\/h2>\n

Although the seller typically pays the entire commission, the listing agent<\/a>, who is representing the seller in a transaction, doesn\u2019t keep it all. Part of their commission will go toward marketing your property<\/a> with professional photography, open houses<\/a>, offline marketing, and more.<\/p>\n

The commission is also typically split 50\/50 with the buyer\u2019s agent<\/a> to compensate them for bringing a buyer to the sale and coordinating the buy-side of the transaction. So, around 2.5% to 3% goes to the listing agent, and the other 2.5% to 3% goes to the buyer\u2019s agent.<\/p>\n

Both the listing agent and the buyer\u2019s agent will then share a percentage of their commission with their sponsoring broker<\/a>.<\/p>\n

These split rates can vary; however, it\u2019s common for the listing agent to give their broker<\/a> anywhere from 30%-50% of their commission, depending on the agent\u2019s level of experience, their market size, and brokerage agreement<\/a>.<\/p>\n

\u201cSo every agent in Maryland has to work for a brokerage,\u201d explains Weiskerger, \u201cand every brokerage has different arrangements with their agents and what they provide. So, at our brokerage\u2026, we take a portion of their commission. However, we offer a tremendous amount of support, marketing, and mentorship.\u201d<\/p>\n

There are brokerages in Maryland that take little or even none of the agent\u2019s commission, he adds, \u201cbut they don\u2019t offer you (the agent) really anything \u2014 they just give you maybe an office at a shared space. You don’t get admin support, you don’t get marketing, you don’t get mentorship. And so it just kind of depends on where the agent works that dictates how much money they’re gonna get after the commission’s paid.\u201d<\/p>\n

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How is the commission divided between agents?<\/h2>\n

The commission that\u2019s paid by the seller<\/a> will typically be split among each agent and the brokerages through which they hang their real estate license. Let\u2019s say you sell your home for $380,000 with a 5.5% commission rate. You pay a commission of $20,900, and each agent has a 70\/30 split agreement with their brokerage. Here\u2019s how that might look:<\/p>\n