Costs Of Selling A Property In Australia

How much does it cost to sell a house?

The costs of selling a property in Australia are substantial and cannot be determined by one figure alone, especially as there are so many variances which come into play. The charges also differ from state to state and location to location depending on whether the property is based in a major city or a less populated region.

So, what costs are involved in selling a house? The primary costs in relation to the sale of a house in Australia include:

  • Real Estate Agent Commission
  • Conveyancer or Solicitor Fees
  • Marketing Costs
  • Mortgage Discharge Fees
  • Capital Gains Tax
  • Renovations and Repairs
  • Auctioneer’s Cost
  • Home Staging Expenses
  • Moving Costs

While some of the typical costs such as auctioneer’s fees, home improvements, repairs and home staging expenses may not be entirely necessary, it is worth having money set aside for these added extras in case you decide to go down that route. A small investment, particularly regarding repairs and professional styling, could reap huge rewards.

Spending money to prepare and market a property is only a worthwhile investment if you engage a top real estate agent to maximise your return on this investment.

Our free service will show you exactly who are the best real estate agents suited to sell your property.

Table of Contents

The Different Costs To Sell A Property In Australia

General Costs of Selling a House

Real Estate Agent Commission

The real estate commission fee is the most significant single cost you will have to pay when you sell your house. Once you begin to do your homework, you will see that real estate agent commissions vary depending on the state, location and size of your property.

Did you know that real estate fees can be negotiated due to the fact the industry is deregulated?

As agents can set their own rate, it allows you to shop around to find the best deal for your budget. Don’t forget that the lowest commissions do not necessarily work in your favour, however. While you may save on fees, you need to ensure that your chosen real estate agent has a good track record in terms of sales and sales prices. You want a real estate agent who will work hard on your behalf to get you a reasonable price for your home, regardless of the fee you will be paying them once the sale has completed.

Real estate agents will charge one of three ways:

  • a fixed rate – a percentage of the final sale price
  • a flat fee
  • a tiered rate – a percentage rate that increases depending on the sale price of the property

As a guide, real estate agents’ fees could be anywhere between 1.5% and 4%. Tasmania has the highest commission rate while South Australia has the lowest. The real estate agent’s commission only becomes payable once the house is sold.

cost of selling a property

Conveyancer or Solicitor Fees

As soon as the house is sold, the title of the house must be transferred from one owner to another. This is done with the assistance of a conveyancer or solicitor.

Like a real estate agent, conveyancing fees will vary depending on the type of services they offer. You can expect to pay anywhere from $700 to $1,300 for a qualified conveyance or solicitor.

Note that disbursements such as title searches, stamp duty and land tax may be charged over and above these fees. So make sure you understand the full extent of the service they are offering before you agree to their rates.

Marketing Costs

Marketing your house online is one of the most important things you can do to let potential buyers know that your property is for sale. Specific recommendations on the most appropriate way to market your house will be given by your real estate agent. Note, however, unless expressly agreed that the real estate agent will cover any costs, you will have to pay the fees for all the marketing. In some circumstances, you may find that some of the costs are included in the real estate commission, while others you will have to pay over and above the commission rate.

Online advertising is one of the costliest components of promoting the sale of your house, we split these out by capital city below.

Prices will vary dramatically depending on where your property is located and how prominently you want your advertisements to be displayed.

As advertising is an essential part of showcasing your home to willing buyers, you may want to consider the following opportunities:

  • Front of house signage
  • Newspaper listings
  • Real estate magazines
  • Printed flyers and brochures
  • Online listings

costsMarketing is especially important if you intend to sell your home or property by auction. As it is only a one-day event, you will need to market your house extensively to widen your reach and attract the crowds.

Mortgage Discharge Fee

A mortgage discharge fee is just one of the costs associated with selling a house and will be payable to your financial institution to close the mortgage. The exact cost will depend on the type of mortgage you have with your bank or building society (a fixed or variable rate) and how much you have left on the loan. It could be as little as $150 or as much as $1,000.

Capital Gains Tax

Capital gains tax is a necessity if the property you are selling is not your permanent place of residence. Any capital gains or losses need to be reported to the Australian Tax Office in your income tax return so that you can pay tax on any gains. The ATO provides helpful information on how you can work out your Capital Gains Tax. They advise choosing the method that will give you the smallest capital gain. Also, be aware of new regulations surrounding the ATO clearance certificate for capital gains tax and how they affect you.

Renovations and Repairs

Renovating or fixing up some minor damage to your property is a personal choice, and it will depend a lot on time and money. However, if there is a chance that you may recoup your costs in the sale price, it is definitely worth considering. While every house is different, is it worth keeping some money in the kitty for minor repairs.

Ask yourself these questions.

  • Is there something you could do to enhance the outside of the property?
  • Can you revamp the kitchen to raise the sale price?
  • Would a fresh coat of paint improve the look of the house?
  • Would a garden shed help you secure a quicker sale?

Have a look and see what other properties are for sale in the area, and compare features.

Auctioneer’s Cost

There are pros and cons of using an auctioneer. If you have established it is the right choice for you, then you will undoubtedly have to take their fees into account. While some auctioneers may be free of charge, payable via your real estate commission, you will generally find there is some fee involved.

The cost for using an auctioneer will fluctuate between $200 and $1,000.

Home Staging Expenses

costs

Home staging may or may not be necessary. If you do intend to hire a company to assist you in upgrading your furnishings, you need to consider it as an investment rather than an expense. The better your house looks, the more appealing it will be to potential buyers. Consultations are provided by a professional home staging company at which point you can discuss prices and ideas. Furniture is leased for a period of approximately 4 to 8 weeks and then returned once the house has sold. Insurance, furniture delivery and pick up are included in the rate.

Home staging costs can quickly add up depending on the quality of the furniture used. You can expect to pay anywhere between $2,000 and $8,000 (and sometimes more!)

Moving Costs

Don’t forget to take into account your moving costs if the property you are selling is your primary residence. You will need to consider the charges for the transportation of your belongings once your house is sold if you are not planning to do it all yourself. Prices vary between $500 and $3,000 depending on the distance.

How Much Will It Cost To Sell My House By State

Introduction

There are some costs such as moving expenses and conveyancing fees which are pretty standard across Australia. Then there are the variable expenses like real estate commissions and marketing costs which depend on the location of the property.

Scroll down to locate your particular city, or state, to learn more about how much it will cost you to sell your house.

How much will it cost to sell my house in Melbourne, Victoria

Real Estate Agent Commission:

Commissions in Victoria vary depending on location. If you live in Melbourne, your rate will be approximately 1.6% to 2.5%. Homeowners in regional areas can expect to pay more due to lower property prices, between 2.5% to 3.5%.

Conveyancer or Solicitor Fees:

The cost for conveyancing fees in Victoria range from $700 – $1,300.

Marketing Costs:

To market a property online in Melbourne, the agency advertising rates and fees can vary in cost between $500 to over $2000 per 45 days, depending on the quality of campaign you would like to run. This means that a top-billing ‘Premiere’ tier listing that appears consistently at the top of searches would cost over $2000, while the regular ‘Highlight’ tier may cost around $1500. In regional areas of Victoria like Geelong and Ballarat, the marketing prices dip to between $300 to over $1000.

Insiders tip: search your suburb in realestate.com.au to see what type of ad other sellers are using, and then base your selection, so your property has equal / greater prominence than theirs.

Mortgage Discharge Fees:

You can expect to pay between $150 and $1,000 for mortgage discharge fees depending on the type of loan you have with your financial institution.

Capital Gains Tax:

Capital Gains Tax is not necessary if you live in the property you are selling otherwise it is dependent on your personal circumstances. For more information, visit the Australian Taxation Office website.

Renovations and Repairs:

Regardless of which state you live in, any upgrades and repairs will depend on the age and the condition of your property.

Auctioneer’s Cost:

The costs for an auctioneer will range from $200 up to $1,000.

Home Staging Expenses:

If you intend to hire a company to assist you with your home staging, you can expect to pay somewhere between $2,000 and $8,000.

Moving Costs:

Although moving costs can be quite minor in the scheme of things, don’t forget to allocate between $500 and $3,000 to get the job done.

How much will it cost to sell my house in Sydney, NSW

Real Estate Agent Commission:

NSW has the second lowest real estate agent commission rate in the country. Real estate commissions in Sydney and other metropolitan areas average 1.8% to 2.5%. Regional properties can expect to pay anywhere from 2.5% to 3.5%.

Conveyancer or Solicitor Fees:

You should budget anywhere from $700 to $1,300 for your conveyancer or solicitor fees depending on the services on offer.

Marketing Costs:

Relative to how prominently you want your ads promoted, advertising a Sydney property online using a top real estate information destination costs anywhere from $600 for the lowest ‘Feature’ tier to nearly $2000 for the ‘Premiere’ tier for 45 days. In other New South Wales areas outside of Sydney like Wollongong and Newcastle, the online advertising fees range from $300 to over $1000.

Mortgage Discharge Fees:

Mortgage discharge fees vary considerably depending on the type of loan you have with your bank or building society. Although your bank will be able to shed more light on the exact figure, you can budget for approximately $150 to $1,000.

Capital Gains Tax:

Capital Gains Tax may not be relevant if the property you are selling is your home. Visit the ATO website to learn more.

Renovations and Repairs:

Renovations and repairs will depend on the age and the condition of your house. It is worth considering if you envisage some minor repairs could speed up the sale of your property.

Auctioneer’s Cost:

If you intend to sell your house by auction, the cost of an auctioneer will be between $200 and $1,000.

Home Staging Expenses:

If your furniture has seen better days, then it is worth hiring a professional. Home staging expenses in NSW can cost as little as $2,000 up to $8,000.

Moving Costs

Allocate between $500 and $3000 if you need to hire the professionals to help you move to your next house.

cost of selling a property

How much will it cost to sell my house in Brisbane, Queensland

Real Estate Agent Commission:

Real estate agents, on average, charge 5% of the first $18,000 in both Brisbane and regional Queensland locations, plus 2.5% on the remainder of the sales price. With an average of 2.45% across the entire state, Queensland is the third cheapest in the country.

This used to be the legislated maximum, but now consumers are free to negotiate whatever commission rate they like with their agents.

Conveyancer or Solicitor Fees:

In Queensland, the cost for a conveyancer or solicitor is approximately $700 – $1,300.

Marketing Costs:

In the Brisbane metropolitan area, the cost of 45 days of marketing online ranges between $600 to over $2000. In slightly more remote areas of Queensland like Southport or Toowoomba, the prices drop down to $400 to over $1000. These fees range from the lowest ‘Feature’ to the highest ‘Premiere’ advertising tiers.

Mortgage Discharge Fees:

Dependent on your bank or building society, mortgage discharge fees will range from $150 to $1,000. Contact your financial institution for more information.

Capital Gains Tax

Capital Gains Tax is not necessary if you live in the property you are selling. You can learn more by visiting the ATO’s website.

Renovations and Repairs:

Renovations and repairs may not be necessary for your circumstances. The cost will depend on the condition and features of your property.

Auctioneer’s Cost:

Save at least $200 to $1,000 for the cost of the auctioneer in Queensland if you are considering selling by auction.

Home Staging Expenses:

Home staging expenses can quickly add up, so make sure you have some money set aside specifically for this purpose. You may be looking at somewhere in excess of $2,000, up to $8,000, depending on your style and choice of furniture.

Moving Costs:

Moving costs can vary from $500 up to $3000.

How much will it cost to sell my house in Perth, Western Australia

Real Estate Agent Commission:

The standard commission fee in Western Australia is 2.44%, although you can expect to pay a rate of anywhere up to 3.25%.

Insiders tip: in the current subdued market, if you have a particularly desirable property, you may be able to secure very competitive rate from your local agent, as it should be easier to sell than others on their books.

Conveyancer or Solicitor Fees:

If you live in Perth or Western Australia, you can expect to pay between $700 and $1,300 on solicitor’s or conveyancer’s fees.

Marketing Costs:

You will need to pay between $400 and over $1000 to advertise a property online in Perth for 45 days. These marketing prices vary based on the prominence of the ads you would like placed. Near the city, these costs cover the range of online advertising tiers, from the low-tier ‘Feature’, roughly $900+ mid-tier ‘Highlight’ and highest tier ‘Premiere’. In other areas of Western Australia, Joondalup and Mandurah have online advertising costs of between $200 and $800.

Mortgage Discharge Fees:

You will need to pay at least $150 for your mortgage fees depending on your financial institution. Fees can often be as much as $1,000.

Capital Gains Tax:

Capital Gains Tax is not necessary if you live in the property. The ATO can advise you on the various methods to work out the exact tax you will need to file at the end of the tax year.

Renovations and Repairs:

Your renovation and repair bill will depend on the age and the condition of your property.

Auctioneer’s Cost:

If you wish to sell your house via auction in Western Australia, it can cost you between $200 and $1,000.

Home Staging Expenses:

Home staging can enhance your property immeasurably. However, it can also set you back anywhere between $2,000 and $8,000.

Moving Costs:

Moving costs are one of those expenses that can range in price depending on your situation. Be prepared to pay somewhere around $500-$3,000.

How much will it cost to sell my house in Canberra, ACT

Real Estate Agent Commission:

Commission fees in Canberra, ACT vary dramatically – from 2.5% up to 4% of the final sale price.

Conveyancer or Solicitor Fees:

Conveyancing fees are part and parcel of a property sale. It can be as little as $700, or as much as $1,300 to hire the services of a conveyance or solicitor in the ACT.

Marketing Costs:

The ACT is reasonably consistent with what it costs to advertise a property online, regardless of location within the territory. For a low-tier 45-day ‘Feature’-level advert, the price is under $100, but the marketing fees can skyrocket to over $800 for a ‘Premiere’ tier advert, depending on how far-reaching you want your advertisement to be. A moderate ‘Highlight’ tier advertisement comes in at $400.

Mortgage Discharge Fees:

Mortgage discharge fees will cost between $150 and $1,000, depending on the type of mortgage you have on your property. Your financial institution will be only happy to provide you with the necessary details.

Capital Gains Tax:

Capital Gains Tax is not necessary if you live in the property you intend to sell. The ATO website is full of helpful information on how to work out your capital losses and gains.

Renovations and Repairs:

The costs of these will vary on the amount of work necessary to achieve a healthy sale price.

Auctioneer’s Cost:

If you wish to sell your home or property via auction, the cost of an auctioneer in the ACT will be between $200 and $1,000.

Home Staging Expenses:

Depending on your aims, you can expect to pay anywhere from $2,000 to $8,000 on home staging expenses.

Moving Costs:

Whether you are moving to another house or another city, you will need to have some money put aside for moving expenses. $500 to $3,000 should be a great start.

cost of selling a property

How much will it cost to sell my house in Adelaide, South Australia

Real Estate Agent Commission:

Prices vary between the city and the regional areas, although South Australia is considered the cheapest in the country. If your property is based in Adelaide, you can expect to buy between 2% and 2.75%. Regional homeowners can expect to pay the higher end of the commission rate, from 2.75% to 3%.

Conveyancer or Solicitor Fees:

Conveyancing fees in South Australia are generally around the $700 to $1,300 price mark.

Marketing Costs:

South Australia’s capital city, Adelaide, requires $500 to over $1000 to advertise a property in the area online for 45 days, depending on the quality and reach you want for the listing. In other areas outside of Adelaide, like Port Augusta and Port Lincoln, prices fall to around half that, from $200 to over $500. For example, a ‘Highlight’ advertisement from realestate.com.au may cost you around $400 in Port Augusta, in comparison to $1000 in Adelaide.

Mortgage Discharge Fees:

Your mortgage discharge fees will cost you somewhere between $150 and $1,000. Chat to your bank to ascertain the actual costs.

Capital Gains Tax:

Capital Gains Tax is only payable if you are selling an investment property. The Australian Taxation Office website should have all the information you need to determine an accurate figure.

Renovations and Repairs:

If you wish to renovate your home or carry out a few repairs, it could come at quite a cost. Prioritise the work you want to do and tally up the estimate.

Auctioneer’s Cost:

If you do want to sell your South Australian-based property using an auctioneer, their fees can vary from $200-$1,000.

Home Staging Expenses:

Professional home stagers can cost between $2,000 and $8,000 to create the ideal space to interest potential buyers.

Moving Costs:

Your moving expenses might well be an afterthought. However, don’t forget to set aside at least $500-$3,000 to cover the costs.

How much will it cost to sell my house in Hobart, Tasmania

Real Estate Agent Commission:

On average, a Tasmanian property owner will pay 3.25% as a commission fee. To aid real estate agents in Tasmania, REIT advises a recommended scale of fees and commissions to be used as a guide. Due to the tiered commission rate, Tasmania has one of the most expensive rates in the country.

Insiders tip: in the current booming property market, listings are in short supply, so feel free to negotiate.

Conveyancer or Solicitor Fees:

A Tasmanian-based solicitor will charge approximately $700 to $1,300 to assist you with the conveyancing tasks.

Marketing Costs:

A property in Hobart costs more to market online than in areas like Campbell Town or Queenstown. For example, a ‘Highlight’ advertisement costs you over $600 for 45 days in the capital city, but in regional areas, the fee can plummet to under $300. As such, online advertising for a Hobart property ranges in price from $400 to $800, while outlying areas are under $400, even at the costliest marketing tiers.

Mortgage Discharge Fees:

Bank discharge fees vary dramatically depending on your mortgage. Speak to your bank to determine accurate costs which tend to fall between $150 and $1,000.

Capital Gains Tax:

Capital Gains Tax is not necessary if you reside on the property you intend to sell. The Australian Taxation Office website can advise you of the up to date charges for those selling an investment property.

Renovations and Repairs:

Repairs and improvement will ultimately depend on the age and the condition of your property.

Auctioneer’s Cost:

If you are selling by auction in Tasmania, the auctioneer will cost from $200 to $1,000.

Home Staging Expenses:

It’s probably not an expense that everyone will incur, but it can be a useful sales strategy. If you intend to use a professional home staging company, the costs can range from $2,000 to $8,000.

Moving Costs:

If you are selling your home, you had best have a Plan B up your sleeve. Getting there will cost you from $500-$3,000.

Conclusion

The above prices are a general guide to inform you how much it is going to cost you to sell a home in your city or state. This information is particularly helpful if you are a first-time buyer, so you have a better idea of your budget. Exactly how much it will cost to sell your house will be determined by chosen method of sale, agent and location.