Average commission by state / Michigan
Average Real Estate Commission in Michigan
Michigan's average real estate commission rate is 6.20% of the sale price, above the 5.70% national average rate.
How Michigan compares to the rest of the country
At 6.20%, Michigan has the 1st highest average commission rate of the 51 states and DC. That is 0.50% above the 5.70% national average, a difference of about $2,000 on a $400,000 sale.
The two sides are split almost evenly here, 3.09% to the listing agent and 3.11% to the buyer's agent. In states where the split runs even like this, a seller trying to negotiate has no obvious side to push on first.
States that price closest to Michigan: Tennessee (6.05%), Ohio (5.90%), Washington (5.90%), South Carolina (5.88%).
Worked example
On a $400,000 home sold at Michigan's average rate:
| Sale price | $400,000 |
| Listing agent (3.09%) | $12,360 |
| Buyer's agent (3.11%) | $12,440 |
| Total commission | $24,800 |
Commission by sale price in Michigan
What the Michigan average of 6.20% works out to across common sale prices.
| Sale price | Listing side | Buyer side | Total commission |
|---|---|---|---|
| $200,000 | $6,180 | $6,220 | $12,400 |
| $300,000 | $9,270 | $9,330 | $18,600 |
| $400,000 | $12,360 | $12,440 | $24,800 |
| $500,000 | $15,450 | $15,550 | $31,000 |
| $750,000 | $23,175 | $23,325 | $46,500 |
| $1,000,000 | $30,900 | $31,100 | $62,000 |
How Michigan compares to the national average
The national average total commission is 5.70%, so Michigan runs 0.50% above it. On a $400,000 sale that is about $2,000 more than a seller at the national average would pay.
Treat the state figure as a starting point rather than a going rate. Commission is negotiated deal by deal, and the spread between what two sellers in the same Michigan zip code pay is usually wider than the spread between Michigan and the national average. Learn what actually moves the number in the guide on negotiating real estate commission.
Commission is the largest fee in a Michigan sale but not the only one. What else comes out at closing, what the percentage actually buys, and how much of it the agent keeps rather than the brokerage are covered on real estate agent fees. For whether the seller or the buyer covers each side after the 2024 rule change, see who pays realtor fees.
For your own price and rate, or to see your full net proceeds after closing costs and mortgage payoff, use the real estate commission calculator or the net proceeds calculator.
Frequently asked questions
- What is the average real estate commission in Michigan?
- The average total commission in Michigan is 6.20% of the sale price: about 3.09% to the listing agent and 3.11% to the buyer's agent. That is above the 5.70% national average by 0.50%. These are averages for planning, not a fixed or legal rate -- commission is always negotiable.
- How much commission on a $400,000 home in Michigan?
- At the Michigan average of 6.20%, total commission on a $400,000 sale works out to about $24,800: roughly $12,360 to the listing agent and $12,440 to the buyer's agent.
- What is the average realtor commission rate in Michigan?
- About 6.20% of the sale price in total. Sellers usually see that quoted as a single listing-agreement number, which the listing broker then splits with the buyer's broker: roughly 3.09% and 3.11%. "Realtor" is a trademark for members of the National Association of Realtors, so a Realtor's rate in Michigan and a non-member agent's rate come from the same negotiated range.
- Who pays the real estate commission in Michigan?
- The seller pays out of sale proceeds at closing in the large majority of Michigan transactions. Since the August 2024 NAR settlement, the buyer's agent fee is negotiated separately, so a buyer may agree to cover some or all of their own agent's fee rather than having it come out of the seller's side.
- Is real estate commission negotiable in Michigan?
- Yes. Commission rates are set by agreement between you and your agent, not by law or by any MLS, in Michigan or anywhere else in the US. Since the August 2024 NAR settlement, buyer-agent compensation in particular is negotiated separately rather than automatically bundled into one listing-side rate.