Luxury real estate agents sell some of the most breathtaking homes in the world—oceanfront estates, penthouse suites, and sprawling mansions in exclusive communities. But how much do they actually make?
You’ve probably seen million-dollar commission checks in real estate reality shows or heard about top luxury agents closing massive deals. While those stories are real, the truth is luxury real estate income varies widely based on experience, market, and branding.
I used to support and coach agents at Christie’s International Real Estate – one of the industry’s premiere luxury brands. I would receive numerous requests from agents asking me how much the average luxury agent made.
Most assume that every agent selling multi-million-dollar homes was making seven figures. The reality? Some luxury agents barely make ends meet, while others pull in millions per year. What makes the difference?
In this guide, I’ll break down:
- How luxury agents earn money
- How much they actually make per sale and per year
- What separates high earners from struggling agents
If you’re thinking about getting into luxury real estate, or you’re already in the space but want to increase your income, this guide will give you realistic expectations and strategies to maximize your earnings.
How Luxury Real Estate Agents Make Money
Unlike salaried professionals, luxury real estate agents earn 100% commission-based income – just like a regular real estate agent does. That means if they don’t close deals, they don’t get paid. But when they do? The commissions can be life-changing.
How Commissions Work in Luxury Real Estate
Luxury real estate agents make money the same way standard agents do—through a percentage of the sale price, typically ranging from 2% to 3% per transaction.
For comparison:
Home Price | 3% Commission | 2.5% Commission | 2% Commission |
$500,000 | $15,000 | $12,500 | $10,000 |
$2,000,000 | $60,000 | $50,000 | $40,000 |
$5,000,000 | $150,000 | $125,000 | $100,000 |
$10,000,000 | $300,000 | $250,000 | $200,000 |
At first glance, it looks like luxury agents are making huge commissions on every deal. But before you assume every luxury agent is pulling in six figures per sale, let’s talk about the reality of splits and expenses.
Broker Splits & Expenses
Most agents don’t keep the full commission—they split it with their brokerage. If an agent is on a 70/30 split, they only take home 70% of the commission. Some high-end brokerages take even larger cuts, sometimes up to 50% for new agents.
Example:
Let’s say an agent closes a $5 million sale with a 2.5% commission ($125,000).
- If they’re on a 70/30 split, they keep $87,500 after the brokerage cut.
- After marketing costs, luxury branding, and taxes, their actual earnings could be closer to $50,000-$60,000 from that deal.
Expenses
Selling a luxury property can be expensive – and the agent is often responsible for those costs. High-end Marketing Materials, Remodeling blueprints/models, advertising in high-end publications, exclusive open house events – can cost thousands of dollars. If you want to support the luxury market – you must spend money to make money.
Costs to network/sponsor events can also be pricey. A ticket to a high-end charity event can often run between $250 – $1,000.
Catering to your luxury clients can be expensive as well. One agent I know arranges all his clients’ accommodations when they visit – from hotels, to helicopter transport to the airport, to fine dining and other high-end experiences.
According to recent data, the ballpark figure for the marketing budget for real estate agents is usually around 10% of your commission, but it could go up to 30% in the luxury market.
Additional Income Streams for Luxury Agents
Many luxury agents diversify their income beyond sales commissions.
- Referral Fees – Referring clients to other agents for a percentage of the commission.
- Off-Market Transactions – Exclusive sales where agents earn private commissions.
- Luxury Leasing – Some agents earn commissions leasing multi-million-dollar properties.
High-earning luxury agents don’t just wait for listings—they create multiple revenue streams to increase their income and financial stability.
How Much Do Luxury Real Estate Agents Make?
Now, let’s get to the real numbers. How much do luxury agents actually make per year?
Luxury Real Estate Income vs. Standard Agents
According to industry reports, the average real estate agent in the U.S. earns around $100,351 per year. However, luxury agents often earn significantly more—but the income gap between low and high earners is wide.
Agent Type | Annual Earnings |
Standard Real Estate Agent | $50,000 – $80,000 |
Entry-Level Luxury Agent | $80,000 – $150,000 |
Established Luxury Agent | $150,000 – $500,000 |
Top 1% Luxury Agents | $1,000,000+ |
How Much Do Luxury Agents Make Per Sale?
Let’s break down commissions on different home prices:
Home Price | Commission (2.5%) | Take-Home After 70/30 Split |
$1,500,000 | $37,500 | $26,250 |
$3,000,000 | $75,000 | $52,500 |
$5,000,000 | $125,000 | $87,500 |
$10,000,000 | $250,000 | $175,000 |
If a luxury agent sells four $5 million homes per year, they could take home $350,000. But if they only sell one or two, their income could be much lower.
Why Luxury Agent Incomes Vary
- Higher Price, Fewer Sales: A traditional agent might sell 20–30 homes per year, while a luxury agent may only close 4–8 high-end deals.
- Market & Location: Agents in Los Angeles or Manhattan have higher earnings potential than those in smaller luxury markets.
- Brokerage Splits & Expenses: More expensive marketing and higher brokerage fees can cut into earnings.
What Determines a Luxury Agent’s Income?
Not all luxury real estate agents make the same amount. Some barely break six figures, while others consistently earn over a million dollars a year. The difference? A combination of market factors, branding, and networking.
1. Market Location & Luxury Home Prices
Where you work plays a huge role in your earning potential. A luxury agent in Beverly Hills, Manhattan, or Miami will have access to multi-million-dollar listings, while an agent in a smaller city may be working with $1–2 million properties.
City/Market | Luxury Price Range | Potential Commission (2.5%) |
Los Angeles, CA | $5M – $50M+ | $125,000 – $1.25M |
New York City, NY | $3M – $100M+ | $75,000 – $2.5M |
Miami, FL | $2M – $50M+ | $50,000 – $1.25M |
Austin, TX | $1.5M – $10M | $37,500 – $250,000 |
Scottsdale, AZ | $1M – $8M | $25,000 – $200,000 |
2. Clientele & Networking
Luxury real estate is all about who you know. Agents with strong connections to high-net-worth individuals (HNWIs) naturally earn more because they have access to bigger deals and repeat business.
Ways to build a luxury network:
- Attend charity events, golf tournaments, and private investment meetups where wealthy individuals gather.
- Partner with financial advisors, wealth managers, and private bankers who refer luxury clients.
- Build strong relationships with builders and developers specializing in luxury properties.
Example: I know an agent who landed a $10 million listing just by building a relationship with a high-end interior designer. When one of the designer’s wealthy clients needed an agent, they made the introduction—leading to a massive commission check.
3. Personal Branding & Marketing
In luxury real estate, your brand is everything. High-net-worth clients don’t choose agents at random. They hire professionals who look, act, and market themselves at a luxury level.
- Professional Website & Social Media – Luxury agents invest in high-quality websites, luxury branding, and polished social media content.
- Exclusive Marketing Strategy – Selling luxury homes isn’t about MLS listings. It’s about high-end video tours, private showings, and targeted advertising in luxury publications.
- Presentation Matters – Every email, marketing piece, and luxury listing presentation must reflect the exclusivity of the luxury market.
4. Brokerage & Commission Splits
Where you hang your license can make a big difference in how much you take home. Luxury brokerages often have higher splits, but they provide access to better marketing tools, networks, and exclusive listings.
Brokerage Type | Typical Split | Best For |
Standard Brokerage | 70/30 or 80/20 | New luxury agents getting started |
High-End Luxury Brokerage | 50/50 or 60/40 | Agents wanting access to exclusive listings & high-net-worth clients |
Boutique Luxury Firm | Custom splits | Experienced agents with established networks |
Some luxury agents even start their own boutique firms once they’ve built a strong client base—allowing them to keep 100% of their commissions.
Conclusion & Next Steps
Luxury real estate can be incredibly lucrative, but success isn’t guaranteed. Unlike traditional real estate, where agents can rely on high transaction volume, luxury agents close fewer deals—meaning every sale (or missed opportunity) has a significant financial impact.
Key Takeaways:
- Luxury agents earn more per deal due to high property values, but commissions vary based on broker splits, location, and expenses.
- Earnings range from $80,000 to $1M+ per year, depending on network, branding, and market expertise.
- Building a luxury client base takes time. The most successful agents network strategically, position themselves as trusted advisors, and maintain an elite-level brand.
- Presentation matters. Whether it’s your personal brand, listing materials, or marketing, everything needs to reflect the exclusivity of the luxury market.
What to Do Next:
- Refine Your Brand & Marketing – Make sure your website, social media, and presentation materials reflect luxury standards.
- Expand Your Network – Start building relationships with wealth managers, private bankers, and high-end developers to access luxury clients.
- Increase Your Market Knowledge – Stay ahead of trends in luxury real estate markets so you can provide valuable insights to high-net-worth buyers and sellers.
- Invest in High-End Presentation Tools – The way you present yourself and your listings will determine whether clients take you seriously in the luxury space.
At Highnote, we offer you DFY services where we create a luxury listing presentation that helps you land high-end listings and earn more as a luxury real estate agent.
Breaking into luxury real estate isn’t easy, but those who master branding, networking, and high-end marketing can achieve incredible success. If you’re serious about increasing your earnings in luxury real estate, start by elevating how you position yourself and the way you deliver your expertise.
