Real Estate Commission – How much is Real Estate agent commission in Australia?

How much is Real Estate agent commission in Australia?


I want to Sell My House - How much is Real Estate commission on average in Australia?

So you've decided to Sell your property, but you're unsure what the usual Real Estate commission rate is? Unfortunately there is no short answer to that question - Due to reductions in regulations, there really is no  ‘standard’ real estate agent commission anymore. The good news is that you can negotiate the commission you pay your agent, or even better yet - You can now opt to sell the property yourself and pay No Commission at all.


Real Estate Agents can certainly be helpful when selling a property. If you're constantly at work, or do not have enough time to show a buyer through your property, they can definitely come in handy!

Before you decide whether or not to employ a real estate agent, it’s important to understand how much commission it will cost and what you’ll be getting for your money.


How much commission do Real Estate agents charge?


Real estate agents’ fees will vary depending on your suburb and the level of work involved in selling your home. The market for agent fees and commissions is unregulated, which means agents can charge whatever they feel is fair.

In general, agents will charge for their services using one of the following structures:

1. Commission

An agent’s commission is calculated as a percentage of the home’s sale price. Commission levels vary from state to state and suburb to suburb, but according to OpenAgent the averages in each state and territory are:


Here's a rough idea of what to expect if you're selling your property for a median sale price in the following cities:

real estate agents commission rates australia

2. Flat fee Real Estate commission

When selling your property, Some agents will agree to a flat fee rather than a commission based on a percentage of the sale price. The benefit of this model is it provides certainty around the price you’ll pay to sell your house. Either way, you can expect to be paying a pretty hefty sum of money on the Sale of your property.




3. Tiered Real Estate commission

A tiered commission structure is one wherein an agent receives a certain percentage of the sale price up to a predetermined dollar amount, and a higher percentage for anything over this amount.

In other words, you might negotiate to pay your agent 2.9% for any sale price up to $400,000, and then 5% for anything over $400,000.



Are there any other Real Estate fees other than commission?

Selling a house with an agent costs money. Usually, LOTS of money. Your agent will generally offer a marketing campaign in ADDITION to the commission costs. These marketing campaigns can very from $600 up to $4,000+

Some agents include advertising and marketing costs in their commission, while for others this is an additional fee. In addition to commission there will be additional charges to get your property listed on popular websites &

real estate agent fees

Watch our Step-by-Step video below on How to list your Home online


What are some common factors that Real Estate Agents take into consideration when determining your commission amount?




The value of your property can determine your Real Estate commission amount

A Real Estate agent may be prepared to take a smaller cut of the commission simply because the value is higher than the average sale, and at the end of the day, they still get paid an enormous fee for a relatively small amount of work.





The type of property you're selling

If you have a different, or unusual property, a Real Estate agent is likely to charge you a higher commission rate, as there may be a bit more time involved in getting the property sold.

The commission real estate agents charge in NSW varies quite widely depending on where you live. If you live in a metro Sydney area - where there are lots of agents competing for your business - you can expect to be charged a lot less than a regional area postcode.




The supply and demand of Real Estate agents can determine commission

When there are a lot of Real Estate agents in a single area, then agents will generally lower their commission rates in order to get the property sold. To get business they are forced to lower their rates. The reverse applies in rural areas, where fewer agents mean there is less competition for listings, which results in higher commissions.


The Quality of the Real Estate agent

How do you know if your Real Estate agent is any good? A good sign is to Look for recent sales of properties similar to yours. Ask the agent about their commission rate.

An agent is essentially advertising your house online for you, then taking the phone call from the buyer and contacting you to arrange the inspection. While it may not seem like rocket science, it's always best to have an agent with a good phone manner.

selling your home through a real estate agent

Understanding Real Estate commission structure

There are a few different commission structures when it comes to agents. There is a fixed and tiered commission structure. Fixed is very straightforward - you multiply your sale price by the commission rate. The Tiered option is where the agent has incentive to sell the house for higher with bonus, or added incentives.



Negotiate commission with your Real Estate agent 

If you aren't able to sell the property yourself, then its a good idea to negotiate your commission amount with the agent prior to signing any commission or agency agreement.

Here's some additional helpful links below:

Join the Thousands of Australian Home Owners Each year who sell their own Homes & pay No Real Estate Commission. 

- Watch the Explainer video below -


View our 'Sell your own Home' Packages below:


BASIC PACKAGE   - View here -

GOLD PACKAGE   - View here -

PLATINUM PACKAGE   - View here -

PHOTO SIGN PACKAGE   - View here -

ULTIMATE PACKAGE   - View here -



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