About the 10% Contingency Fee with Real Estate
Real estate agent gets contingency fees after completing specific tasks. Both the buying agent and the selling agent of every listed property get contingency fees. Some times, one estate agent deals with both sale aspects and collects double contingency fees. This contingency fee is calculated as a sale percentage. The 10 percent contingency fee works in two ways. According to first method, both the buying and selling agent receives 10 percent of sale price getting a total amounting to 20 percent. In second method 10 percent of sale price total gets divided in both agents. Both selling as well as buying agent split the fee receiving 5 percent each. If one agent is representing the seller and the purchaser, the real estate agent earns the whole 10 percent.
The deal for 10 percent contingency fee means that if the house is not sold, the agent does not receive money, regardless of work put in marketing for selling it.