2025 07/08/2025

Are real estate commissions tax deductible?

For individual homeowners in Lane County selling their primary residence, real estate commissions are generally not directly tax deductible as an expense. Instead, the commission you pay to your real estate professionals (like those at Better Homes and Gardens Real Estate Equinox) is added to the “cost basis” of your property. This effectively reduces your capital gain when you sell your home, potentially lowering your capital gains tax liability.

However, if you own rental properties in Lane County or use a portion of your home for a qualifying home-based business, certain real estate commissions related to those specific business activities may be deductible as a business expense. We always recommend consulting with a local tax professional for tailored advice on your unique situation.