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Your questions, answered
No, real estate agent fees aren’t regulated in Australia, which is why they can vary so much. Agents are free to set whatever commission rates they like.
How much an agent charges to sell a property is influenced by supply and demand within their area, and by their experience and history of results.
Advertising costs are not always included in real estate agent commissions in Australia, so be aware that this can add to the total cost they charge for selling your house.
An agent’s rate that seems high at first may actually be quite competitive if advertising costs are included. On the other hand, a low rate may end up adding up to more than you realised if advertising costs are added later.
Proper marketing is vital for getting the best price for your house, so it’s important you allocate enough money for this. Just make sure you’re aware of average advertising costs in your area to ensure you pay a fair price and to help with your negotiations.
Real estate agent commission in Australia is not regulated, so you can absolutely negotiate with agents. How well you can negotiate will have a big effect on the rate they end up charging you, so it’s important to get your negotiation tactics down pat.
The best way to prepare for negotiations is to do your homework and be aware of the average real estate agent commission in your area. Compare different agents in your area to see how their rates differ, and shortlist a few to speak to.
Real estate agent commission in Australia is structured in two different ways: fixed commission and tiered commission.
Fixed real estate agent commission is the most common fee structure and the simplest. With a fixed commission, a set percentage of the selling price is charged as the agent’s fee. This percentage doesn’t change, no matter what the house sells for.
Tiered real estate agent commission involves multiple percentage rates that depend on the house’s sale price. Generally, a rate is set up to an agreed target selling amount, then a higher rate is set for any amount above the target. The idea behind tiered commission is that the agent has a greater incentive to achieve a higher selling price.
No. Which Real Estate Agent is a free service for homeowners looking to sell and you are under no obligation to work with our recommended agent(s). If you do choose one of our recommended agents to list your property, we get a small referral fee from the agent at no cost to you.
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