What is typically required for an agent to receive a commission on a real estate transaction?

The correct answer indicates that the transaction must close successfully for an agent to receive a commission on a real estate transaction. This is a standard practice in real estate because the commission is typically contingent upon the successful execution of the contract. Closing signifies that all legal and financial conditions have been met, including the transfer of property ownership from the seller to the buyer. Only upon closing is the agent's role in facilitating the transaction completed, and in return, they are compensated through a commission from the seller or buyer as outlined in their agreement.

In some scenarios, while an agent might bring an offer to a seller or have an agreement with them, these actions alone do not guarantee payment. The essential factor is the successful closing of the transaction, which confirms that both parties have fulfilled their obligations. Thus, a successful closing serves as the definitive milestone that activates the commission payment process for the agent.