The average total real estate commission in Hawaii is 4.99%. This includes a 2.54% listing agent commission and a 2.45% buyer’s agent commission. In Hawaii, sellers typically cover the real estate commission fees for both agents out of their sale proceeds at closing.
Hawaii sellers pay an average of $41,646 in realtor fees, based on the average Hawaii home price of $834,583.
Realtor commission rates vary considerably by region, city, or even neighborhood. The agent and brokerage you choose, as well as the specifics of your sale — like your home’s value, location, and condition — are also factors.
This guide breaks down how much commission sellers can expect to pay in Hawaii. We’ll also explain why Hawaii commissions are what they are (and offer up some tips that could help you save).
Hawaii real estate commission: How much will you pay?
Here’s what you can expect to pay in realtor commission based on the average home price of $834,583.
|Listing agent commission||2.54%||$21,198|
|Buyer’s agent commission||2.45%||$20,447|
|Total realtor fees||4.99%||$41,646|
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How much are realtor fees in Hawaii?
The average real estate commission rate in Hawaii is 4.99% — noticeably lower than the national average of 5.37%.
Typically, realtor fees in Hawaii are paid out of the sale proceeds, so the seller covers this expense. That said, the seller and listing agent are aware of this in advance, so you could say it is baked into the price.
Hawaii real estate commissions can vary depending on the state of your local real estate market and the price of your individual home. They also change over time. In fact, the current rate is down from 5.20% in 2021.
The rapid price appreciation of the past few years is likely a contributor to commission rates coming down. When homes sell quickly and for a high price, it’s easier for a Hawaii realtor to make a decent commission even on a lower percentage.
However, the average cost of a home in Hawaii may be leveling off, which could result in commission rates returning to previous levels. Data from the Department of Business, Economic Development & Tourism in Hawaii shows home inventory experienced a significant increase in the past year.
If the number of sales goes down due to increased interest rates and inventory grows, realtor commissions may go up — making discounts harder to come by.
Ultimately, the best way to find out how low realtors in your area are willing to go is to talk to some in your area and see what the local rates are.
How real Hawaii agents and brokers set commission rates
There are many factors that help determine real estate commission rates in Hawaii, including:
- The state of the housing market
- If the client is a repeat customer
- The expected sale price of a home
- The anticipated time to sell
Although realtor fees seem standardized, they’re actually somewhat flexible, depending on your circumstances. There are many factors out of the realtor’s control that can impact how much money they are making.
For example, hot markets involve lots of fast sales at premium prices, which means bigger commission checks for less effort from your realtor. In those cases, a realtor might be more flexible with their commission rate than in a cooler market where it takes a lot of time and effort to sell your home.
Remember that these commissions are split four ways between the listing agent, the buyer’s agent, and both brokerages. The exact percentages of the split can vary, but it’s fair to estimate your realtor is only getting about a fourth of the total commission — and that’s before taxes and expenses.
Here are just some of the things agents and brokers need to pay for to continue buying and selling homes:
- Taxes: Real estate agents must pay a self-employment tax of 15.3% on all commission earned
- Association dues: $225–725 annually
- MLS fees: $450–660 annually
- State license fees: $268–343 every two years
- Administrative staff: Assistants can help with bookkeeping, scheduling, and other day-to-day operations
- Marketing costs: Professional photos, advertising, open houses, and staging
Overall, realtor fees are compensation for the risk that your realtor assumes in agreeing to help you sell your home.
How can I save on realtor fees in Hawaii?
While it may take some outside-the-box thinking, there are a few ways you can save on realtor fees:
- Negotiate with a traditional real estate agent or broker
- Work with a discount real estate broker
- Sell without a realtor
Negotiate with a traditional realtor
There are no guarantees your realtor is willing or able to lower their commission rate, but there’s no harm in asking.
That said, your realtor may wonder why you think you deserve a lower rate than other clients, so have some reasons in mind.
For a realtor, every sale basically comes down to two things: the effort to complete the sale and the amount they make in commission. If you want to lower the commission rate, the easiest way to convince your realtor is to either increase the sale price or lower the time and effort to sell — or both!
Unfortunately, most of us don’t have much control over how much our home will sell for. So, your best bet is to focus on making your home easy to market and sell. Here are some ideas of how you can incentivize a lower commission rate from your Hawaii realtor.
Negotiating can be awkward and uncomfortable. If you’d rather avoid it, you can find an agent through Clever Real Estate. They’ve already pre-negotiated a 1.5% listing fee with experienced agents in Hawaii, so you don’t have to. Find a Hawaii agent for less.
Work with a discount real estate broker
Some brokerages offer discounted realtor fees up front. These companies can help you save money, but some come with risks or worse-than-average customer service. Do your research to understand what you’ll get for the discounted fee. See how we ranked discount real estate brokers in your area based on savings, customer reviews, and our experience mystery shopping with each company.
To save an average of $7,000 on your listing fee without sacrificing service, Clever Real Estate is your best option.
Sell without a realtor
The ultimate way to save on realtor fees is to sell without a realtor — though we don’t recommend this to most Hawaii sellers.
You’ll avoid paying a listing commission, but you’ll have to do all of the work of a listing agent on your own. Plus, you’ll still want to pay a full buyer’s agent commission to incentivize other agents to show your home to their buyers.
Other FAQs about Hawaii real estate commissions
How much does a house in Hawaii cost?
The average cost of a home in Hawaii is about $902,175. This can vary depending on location, size of the home, and market trends, so research the specific area you’re interested in for a more accurate estimate. Remember, the sale price doesn’t include expenses like closing costs, realtor fees, and moving expenses. See more about how much realtor fees in Hawaii will cost you.
How much commission does a realtor make in Hawaii?
The average real estate commission in Hawaii is 4.99%, which comes out to about $45,000 for an average-priced Hawaii home. That commission is split between the buyer’s agent, listing agent, and both brokerages, so an individual agent is probably only walking away with about a quarter of the total commission. Learn more about how much real estate agents make.
We regularly survey our pool of 14,000 partner agents nationwide on the commission rates they use for buying and selling. These data points are averages based on responses we’ve received from four agents across Hawaii.