Question

Walt has a $300,000 listing at 8% commission. An agent from another firm sold the listing. Walt has a 70% commission split with his broker and there is a 50% co-brokerage split. What was Walt’s commission?

Answer 1

Answer:

$8,400

Explanation:

total commission = $300,000 x 8% = $24,000

50% co-brokerage split = $24,000 x 50% = $12,000

Walt's commission = $12,000 x 70% = $8,400

the 70% commission split between Walt and his broker means that Walt keeps 70% of the commission and the broker keeps 30%.

total commission is split between the two firms because the Walt's listing was sold by another firm.