Co-branding Airtasker OneflareCo-branding Airtasker Oneflare
Hero image

How much do Real Estate Agents charge?

1.6% - 4% of the final selling price

    How Much Do Real Estate Agents Charge?

    When you use a real estate agent to help sell your home, you must pay a real estate agent fee. The fee is either a fixed rate percentage of the selling price or calculated on a tiered system based on the value of the property sold. In Australia, the agent’s fee is usually 1.6% to 4% of the home’s final selling price.


    Real Estate Agent Fees Across Australia

    Here are some ranges of real estate agent commission fees across Australia. The percentage can be affected by your location but ultimately is dependent on your agent and the supply and demand of the market. There are no standard percentage real estate agents set for their commission fee. The national average is between 2% and 2.5% of the sale price of your property. Fees can start as low as 1.6% and rise to 4%, so be sure to clarify with your agent before finalising an agreement.

    State Average Agent Commission Fee
    NSW 1.4% – 2.5%
    VIC 1.55% – 2.05%
    QLD 2.5%
    ACT 2.2%
    NT 2.8%
    TAS 2.9%
    SA 2.3%

    Factors Impacting the Cost of Hiring a Real Estate Agent

    Location of Property

    The cost of selling a house and the price you will pay for agents’ fees all vary by location. For instance, New South Wales and Victoria do not regulate what an agent could charge for selling a property. If the home is in Sydney or Melbourne, the agents’ commission rates are generally competitive because of higher turnover of homes for sale.

    Level of Work Involved in Selling the Home

    Some realtors go out of their way to sell a home. For instance, they may preview a home for an out-of-state client. Some agents will spend extensive time advertising a home in multiple media outlets. In such cases, an agent might charge higher agent fees for selling a house. The rate varies by agent and agency, and it should be negotiated before the home sells.

    The Reputation of the Company or Agent

    An agent with years of experience and a large client base may charge higher real estate agent fees for selling a house. Agents who work for well-known agencies may also get a higher commission rate. Clients will often be willing to pay more because they feel the agent’s experience will help sell a house faster or get a higher price.


    A fixed price real estate commission fee means the percentage of commission an agent earns on a sale does not change, regardless of the sale price. Fixed commission structures are based on the specific percentage applicable in the state.

    There are two significant advantages to choosing a fixed commission system. One is that it is easier to calculate the amount of the commission paid. The other notable advantage is that the fixed-rate system is preferable for those looking to sell a property quickly. 

    Tiered Commission

    A tiered commission rate increases by the price that the property fetches. This means that if your property sells for a price above a particular dollar amount, the agent gets more commission based on a sliding scale. The tiered commission generally motivates the agent to get a higher price for the home, which may cause the home to stay on the market longer.

    Let’s say a home has a selling range between $500,000 and $580,000. If the seller wants to incentivise the agent, he or she could suggest a tiered commission. The two may negotiate and decide that 1.75% is paid if the home sells below $530,000, 1.9% is paid if the sale price is between $530,000 and $560,000, and 2% is paid for commission if the home fetches between $560,000 and $580,000.

    An advantage of the tiered system is that the agent is likely to work harder to get a higher sale price.

    Agent’s Commission Rate

    The cost of real estate agent fees varies by state and city. It can also vary according to the reputation of the agent and the agency. Remember that the agent fee for selling property is negotiable.

    Marketing Costs

    Your real estate agent will use various methods of advertising to sell your house. These costs may include ads in real estate magazines, online ads, ads in window displays or newspapers. Some agents include these advertising costs in the commission fee. However, other agents charge additional real estate fees for selling a house. On average, you can estimate that advertising will cost 0.5% to 1.0% of the sale price.

    Home Staging Fees

    Home staging includes preparing a home for inspections and photography. Home staging is an attempt at making a home look as attractive as possible to lure potential buyers. It may involve both stylings and furnishing a home.

    Staging may cost a few thousand dollars. However, this amount varies according to the size of the home and property and the duration that the home is on the market. A real estate agent will generally stage as part of their commission fee. The agent might give you advice on how to stage the home yourself, or the agent might recommend a professional staging company.

    A living room with a white couch and black dining table with chairs

    Real estate agents can stage a home to make it look even more inviting / Source: Eview Property Solutions

    Price Estimates for Different Real Estate Agent Fees


    The average agent commission fees vary by state. As mentioned earlier, the average national real estate agent cost is between 2% and 2.5%.

    Marketing Costs

    The agent will generally recommend a marketing plan. This plan typically includes posting a sign in front of the property. In most cases, the agent will list the property online. The level of exposure for a property will depend on the budget. Across Australia in 2019, the average marketing costs for selling a home ranged from a couple of thousand dollars up to $10,000.

    Lender’s Fees

    When you sell a home that you still have a mortgage on, you must pay a discharge fee to the lender. The amount of this fee varies according to the lender. However, the amount is typically between $150 and $1,500.

    Home Staging Fees

    If you’ve already vacated the home, you may request furniture and other decorations to make the home look more appealing. Some clients want only partial staging, while others want furniture for every room.

    Another thing that affects staging costs is the size of the property. Some clients pay as little as $200 for partial staging. However, the average price in a large city like Sydney will cost you between $2,000 and $3,000 for a modest-sized home. Some clients save money by do-it-yourself staging projects.

    Auctioneer’s Fees

    Some people choose to sell a home at auction. If you were to do this, the fee for selling at auction would be included in the real estate fees. Other auctions may charge you a fee of up to $1,000 in addition to the costs associated with selling a house.

    However, there are other costs associated with selling a home at auction. You must advertise the home in various places to attract buyers. You may create signs to advertise, or you might advertise online or in a newspaper. The more aggressive your advertising campaign, the higher the cost to you. Advertising your home to sell at auction could cost you between several hundred dollars and several thousand dollars.


    A large home with a pool and spa

    Professional photos are a necessary cost associated with selling a house / Source: Nicheliving Real Estate

    How to Hire a Real Estate Agent

    • Ask your friends and family for recommendations.
    • Meet one-on-one with several agents before making your choice.
    • Seek an agent with experience in your transaction type. For instance, some agents specialize in marketing. Others specialize in the sale of commercial property.
    • Research typical real estate agent fees online.
    • Negotiate the cost of the agent’s commission before agreeing to hire the agent.


    How to Create an Accurate Estimate

    An accurate estimate of your home sale costs should take the following items into account:

    • Real estate agent fee (Negotiate with your agent to determine this fee)
    • Marketing fees
    • Solicitor’s fees
    • Auctioneer fee
    • Moving costs
    • Licencing and Qualifications

    The licensing requirements vary by state. Some rules apply in all or most states. In general, each state requires an agent to be at least eighteen years old, submit registration forms and pay registration fees. In Queensland, the agent must pass mandatory training courses determined by the state.

    Most states also require a background check. For instance, in both the Northern Territory and the Australian Capital Territory, you must undergo a police history check. In the Australian Capital Territory, you may apply for a license if you are not disqualified due to bankruptcy, mental incapacity or another disqualification as defined by the government.

    Additional qualifications by the state are listed below.

    State Real Estate Licencing Details
    NSW ·  Agent must be licensed

    ·  If an agent wishes to be a buyer’s agent only, then a condition must be placed on the license to indicate this

    ·  If selling a property larger than twenty hectares, the agent must have a stock and station license

    VIC ·  Must satisfy specific academic requirements

    ·  Must have experience as an agent’s rep in Victoria during the previous three years before obtaining a licence

    WA ·  Must hold a triennial certificate

    ·  Must be registered to work under the supervision of a licensed real estate and business agent in Western Australia

    ·  Must meet certain qualifications in regard to experience as defined by the Western Australian government

    TAS ·  Diploma of Property from a registered training program

    ·  Must complete continuing education as specified by the government

    ·  Must have two years of experience in the role of a property manager or property representative during the five years before filing the application

    SA ·  Agent must pay a yearly registration fee

    ·  Most agents belong to a professional membership organization


    How to Save Money Hiring a Real Estate Agent

    • Shop around and compare prices.
    • Negotiate with the agent rather than accepting the first commission fee requested.
    • Ask what the agent will do to market the home. Ask which fees are associated with advertising.
    • Negotiating

    You can negotiate the commission rate for an agent or shop around for a lower price. The fee you pay will ultimately depend on:

    • Property Location
    • The Real Estate Agency and Its Experience Level
    • Demand for the Property
    • Condition of the Housing Market at the time of the Sale


    * The cost data is based on Oneflare and third-party sources

    Related Real Estate Agent Cost Guides