Real Estate Commission Calculator — Paterson, NJ
Median home price in Paterson: $390,000 · Typical commission: 4.8% · Updated 2025
Total Commission
$18,720
Listing Agent Gets
$6,552
Buyer's Agent Gets
$6,552
Seller's Net
$371,280
Real Estate Commission Rates in Paterson, New Jersey
The typical total real estate commission in Paterson is 4.8% of the sale price, based on current market data for New Jersey. On the median Paterson home price of $390,000, that works out to $18,720 in total agent fees.
Following the 2024 NAR settlement, buyer's agent compensation is now negotiated separately in New Jersey. Most transactions still split the commission 50/50 between listing and buyer agents, but this is no longer required. Sellers in Paterson have more flexibility than ever to offer lower buyer concessions.
How Commission Splits Work in Paterson
- Listing agent typically receives $9,360 (2.4% of sale price)
- Buyer's agent typically receives $9,360 (if seller offers full split)
- Agent keeps ~70% after broker split: ~$6,552 per side
- Seller nets approximately $371,280 on a $390,000 sale
Tips for Negotiating Commission in Paterson
- List at a higher price point — agents on $600,000+ homes often accept 2–2.5% listing side
- Compare multiple agents — commission rates in New Jersey vary by 0.5–1% between agents
- Use a flat-fee MLS service — pay $300–$500 for MLS listing, offer buyer agent 2.4%
- 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 Paterson, NJ?
The average total commission in Paterson is approximately 4.8%, slightly below 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 Paterson?
On the median Paterson home price of $390,000, a listing agent earns roughly $9,360 before broker split. After a typical 70/30 agent-broker split, the agent takes home approximately $6,552.
Do sellers have to pay the buyer's agent in Paterson?
No. Since August 2024, sellers in New Jersey are no longer required to offer buyer agent compensation through the MLS. Many still do to attract buyers, but it's now fully negotiable.