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Do Commercial Realtors Make More Money? (Straight Answer)

Written by News Desk | Aug 26, 2025 9:45:44 AM

Everyone asks the same thing:

“Do commercial realtors make more money than residential agents?”

Here’s the straight answer:
Yes, they usually do.

But like everything in business, the truth has layers.

Why Commercial Realtors Usually Earn More

  1. Bigger Deals = Bigger Commissions

    • Residential agents sell houses worth $300K, $500K, maybe $1M.

    • Commercial agents handle office buildings, warehouses, shopping centers… often worth millions.

    • Commission is a percentage. Bigger price → bigger check.

  2. Longer Leases = Ongoing Paydays

    • Residential leases are usually 12 months.

    • Commercial leases often run 5, 10, even 20 years.

    • Commissions are based on the total lease value. A 10-year, $2M lease? That’s serious money.

  3. Fewer Realtors Competing

    • Residential real estate is crowded. Everyone has a cousin who’s a realtor.

    • Commercial real estate is more specialized. Fewer players → less competition → higher earnings per deal.

The Catch

Here’s the part no one tells you:

  • Deals take longer. Commercial transactions can drag out for 6 months, 12 months, sometimes years. You don’t get paid until it closes.

  • Bigger risks. Lose a deal last minute? That’s a year of work gone.

  • Higher skill required. You’re not just selling kitchens and backyards. You’re selling cash flow, cap rates, and investment potential. If you don’t understand the numbers, you’re out.

So yes, commercial realtors make more money on average.
But it’s earned, not given.

Residential vs. Commercial: Quick Comparison

Factor

Residential Realtor

Commercial Realtor

Average Deal Size

$300K–$700K

$1M–$50M+

Commission Rate

~5–6%

~4–6% (on much bigger numbers)

Sales Cycle

30–90 days

6–18 months

Competition

Extremely high

Lower, more specialized

Skill Set

People skills, home marketing

Finance, leases, investment analysis

So… Who Actually Makes More?

  • The average residential realtor in the U.S. earns $40K–$60K/year.

  • The average commercial realtor can earn $80K–$250K/year, with top producers hitting seven figures.

Yes, that’s a massive difference.

But remember: average doesn’t matter.
What matters is whether you can perform at the top level.

The Real Takeaway

If you want fast, easier deals with constant closings → go residential.
If you want fewer, bigger deals with higher payouts (and you can handle the grind) → go commercial.

Do commercial realtors make more money?
Yes. But only if they’re good.

Final Word

Commercial real estate is a game for people who think bigger, stay patient, and know their numbers.

If you’re willing to learn the business side, not just sell "dream homes", commercial real estate will almost always pay more.

But here’s the truth:
Most people can’t handle the wait.
That’s why the ones who can… make the serious money.