Australian Agent Fees + Commissions Guide

You hear a lot about real estate agent fees and commissions, but you rarely know what an agent may charge before talking to them directly. We work with a lot of agents and sellers, so we can share a lot of useful tips about what kind of fees to expect and how you can calculate them yourself.

Be prepared before talking to agents with our simple guide on fees and commissions within Australia. 

What is A Fixed Commission?

A fixed fee commission is usually a percentage of the final sale value of the property. You usually determine a fixed commission percentage before enlisting the agent, and it varies based on property type, value and location

These are usually the most common types of commission, but still range between 1.5% to over 6+% depending on what kind of property you have. For most sellers in metropolitan areas, expect around 2-3%. This means when you sell your house for $100,000 total at a 2% fixed commission rate, you would pay the agent $2,000 for their work. 

Calculate a simple fixed commission fee with our easy real estate agent fee calculator below.



Total Agent Commission

When the agent is enlisted, this percentage cannot be altered unless all parties agree to any changes. 

What is A Tiered Commission?

Tiered commission structures are similar to fixed commission structures, but the percentage paid to the agent changes as the final value changes. This is to help incentivise the agent to go above and beyond, as the agent stands to make much more money when the sale price is higher. 

For example, you may agree to pay an agent 2% commission for the first $100,000 of the property’s value. For everything over that, you will pay the agent 5% instead. When your property sells for $150,000 (congratulations!) you pay the agent $2,000 for the first $100,000 in value, and then another $2,500 for exceeding your expectations.

What is A Flat Fee?

Sometimes also referred to as a fixed fee, which can be confusing to first-time sellers. Certain agencies, especially newer online-only agencies, offer flat fee commissions. The agent charges a flat dollar amount, such as $4,000, to sell your property, regardless of its type, value or location. Usually this includes some form of basic marketing as well.

The incentive for the agent to go above and beyond for you has been removed here, as they receive the same amount regardless of your property’s sale price. It’s important to carefully vet your agent selection when going with a flat fee agent – make sure that they have the local area knowledge, experience and reviews to back up their commitment to sellers.

Are real estate agent fees negotiable?

Yes, agents will negotiate on commission, though it may be difficult or impossible with flat fee agencies.

Make sure that you are getting the value you should be out of your agent. This means comparing their commission to a couple others in the same area, keeping in mind inclusions/exclusions (marketing, styling, etc.), and negotiate if you feel you might be getting overcharged.

Need a few comparative agents in your area to get started? Request quotes from top agents in the area with Top 3 Real Estate Agents. 

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