Real Estate Commission Calculator — Birmingham, AL

Median home price in Birmingham: $220,000 · Typical commission: 5.5% · Updated 2025

Total Commission

$12,100

Listing Agent Gets

$4,235

Buyer's Agent Gets

$4,235

Seller's Net

$207,900

Real Estate Commission Rates in Birmingham, Alabama

The typical total real estate commission in Birmingham is 5.5% of the sale price, based on current market data for Alabama. On the median Birmingham home price of $220,000, that works out to $12,100 in total agent fees.

Following the 2024 NAR settlement, buyer's agent compensation is now negotiated separately in Alabama. Most transactions still split the commission 50/50 between listing and buyer agents, but this is no longer required. Sellers in Birmingham have more flexibility than ever to offer lower buyer concessions.

How Commission Splits Work in Birmingham

  • Listing agent typically receives $6,050 (2.8% of sale price)
  • Buyer's agent typically receives $6,050 (if seller offers full split)
  • Agent keeps ~70% after broker split: ~$4,235 per side
  • Seller nets approximately $207,900 on a $220,000 sale

Tips for Negotiating Commission in Birmingham

  1. List at a higher price point — agents on $600,000+ homes often accept 2–2.5% listing side
  2. Compare multiple agents — commission rates in Alabama vary by 0.5–1% between agents
  3. Use a flat-fee MLS service — pay $300–$500 for MLS listing, offer buyer agent 2.8%
  4. Ask about a reduced rate on a simultaneous buy/sell — agents may discount if you're both buying and selling

Frequently Asked Questions

What is the average real estate commission in Birmingham, AL?

The average total commission in Birmingham is approximately 5.5%, slightly at or above the national average of 5.0–5.4% following the NAR settlement.

How much does a real estate agent make on a home sale in Birmingham?

On the median Birmingham home price of $220,000, a listing agent earns roughly $6,050 before broker split. After a typical 70/30 agent-broker split, the agent takes home approximately $4,235.

Do sellers have to pay the buyer's agent in Birmingham?

No. Since August 2024, sellers in Alabama are no longer required to offer buyer agent compensation through the MLS. Many still do to attract buyers, but it's now fully negotiable.