If you've been watching Netflix's latest reality TV offering, 'Selling Sunset', odds are you're not watching for the financial implications of luxury real estate transactions.
Granted, the show is set around a real estate agency in Los Angeles, it's the drama that plays out between the estate agents that makes it all the more compelling. Still, it's a question that comes up quite a lot - how much is the commission worth in the Oppenheim Group?
According to Maya Vander herself, the commission is typically 5% on each sale made. That 5% is then split between the person who represents the seller and the person who brings the buyer. After that, the broker - in this case, Jason Oppenheim - gets a cut of that 2.5%.
"Typically for a brokerage, it’s about 70/30 split. I would keep 70% out of the 2.5% and he would take 30%. And then we have to pay taxes," Vander explained to Metro.co.uk.
Let's do some maths. 70% of 2.5% is 1.75%, so while that 1.75% might not seem like a whole lot, you have to remember that the houses they're selling are often worth millions.
Say for example a house is sold by the Oppenheim Group and it's worth $40 million. The commission that any of the real estate agents would pull in would be worth at least $500,000.
That's in one sale, don't forget.
