Get InformationAbout Brokerage Services

Updated October 29, 2020: A brokerage agreement is a type of contract wherein one party agrees to act as a sales agent of another, who is called the principal.

That means that if you're getting ready to sell or buy a house, either a broker or an agent will be legally qualified to assist you in the process. A real estate broker has expertise that can help people with real estate transactions, and like an agent, a broker can also assist with selling or buying real property.

How does a broker make money? Brokers are typically compensated through a commission on each trade. Investors have historically paid a broker a commission to buy or sell a stock.

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What is a Brokerage? A brokerage provides intermediary services in various areas, e.g., investing, obtaining a loan, or purchasing real estate. A broker is an intermediary who connects a seller and a buyer to facilitate a transaction. Individuals or legal entities can act as brokers.

A broker is an individual or firm that acts as an intermediary between an investor and a securities exchange. A broker can also refer to the role of a firm when it acts as an agent for a customer and charges the customer a commission for its services.

California brokers lead the nation, earning a median income of $127,556, inclusive of both salary and commissions. Here's how earnings for brokers and agents break down in the rest of the country, state by state.

One way brokers earn money is to charge commissions that are a percentage of the value of the brokered deal. This is a favorite of real estate brokers, where commissions of 4 to 6 percent are typically charged to the seller of a home or other type of real estate.