Are you talking about a new home or pre-existing home?

For a pre-existing home, the purchase price goes to the seller and their mortgage lender. Let’s say the sale is for $400k and they still owe $150k on their mortgage. The seller would receive $250k and their mortgage holder would get the remaining $150k owed to them.

For a new home, the money would go to the developer/builder. They would then pay the construction workers they hired to build the house, pay the loans they used to fund the construction and land purchase, etc.

Typically, a home sale has 5-6% sales commissions paid by the seller. That amount is split between the buyer’s agent and seller’s agent, who them pay a chunk to their brokerage (Keller Williams, Century 21, etc)