A broker's commission typically ranges from what percentage of the sale price?

A broker's commission typically ranges from 5% to 7% of the sale price, making this option correct. This percentage is a common standard in the real estate industry and reflects the compensation for the services provided by the broker in facilitating the transaction.

Real estate commissions are often negotiated between the seller and the broker, but the range of 5% to 7% has become prevalent, especially in residential transactions. This percentage usually accounts for the total commission, which may be split between the listing agent and the buyer's agent.

Understanding this typical commission structure is important for both buyers and sellers as it can affect the overall cost of buying or selling property. Knowing these ranges also helps individuals better prepare for the financial aspects of real estate transactions, including how commissions can influence pricing strategies and structures within the market.