The truth is that there are no standard real estate agent commissions, for Australian property sales.

The market in Australia is deregulated, which means that agents can set their own fees based on supply and demand.

A small difference in percentage, can mean thousands of dollars, so it is vital that you search for an agent that offers you the best overall deal.

Generally speaking, agents can charge either a fixed or tiered commission rate when selling your house, that is based on the final sale price.

• Fixed Rate Fees

These fees are usually a percentage of the final dollar value and are a pre-determined one off percentage, that is payable once the property sells.

The commission is negotiable and is usually around 2-3%.

• Tiered Percentage Commission Rate

This is a specific percentage of the total sale price that increases, depending on the final sale of your property. The rate is agreed upon before the sale and operates on a sliding scale, so that it encourages agents to sell for a higher price.

Remember that fees are always negotiable and that GST is payable on all commissions.

Fees may not include advertising costs and legal and conveyancing costs will be additional.

Pay special attention to your contract because in some cases, you may still have to pay, if the sale falls through before the settlement (unconditional commission).

If your property is taking a long time to sell and you are getting lower offers, you can ask the agents to renegotiate the commission on this basis.

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