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Exposed: Real estate commissions across VIC & NSW

May 24, 2018 10:00 am by Upside

Recent findings reveal that average real estate commissions in Australia vary significantly state-by-state, according to The research underscores how important it is for potential home sellers to do their research before selecting an agent.

Vendors in South Australia enjoy the lowest commissions in the country at an average of 1.99% of the total property sale price. In comparison, sellers in NSW and Vic pay an average of 2.03% and 2.05% commission, respectively. This may not seem like a major disparity but certainly has the potential to add up quickly when you consider average property values in each state.

For example, the average real estate commissions in Melbourne and Sydney for a $500,000 property are just shy of $10,000, with state-wide figures even higher:

commission amount by state

Typically, you’ll pay a lower commission in metropolitan areas because there are more properties on the market – commission-based agents are forced to lower their rates to stay competitive.

CEO of, Matt McCann, puts high commissions in Victoria and New South Wales down to the strength of their property markets.

“The average commission in NSW and Vic are indicative of the robust market in these states – particularly in the metropolitan parts of these states,” he says.

While average commissions in NSW and Vic just over 2%, NT, WA, Qld, and Tas are even harder hit, with commissions in those states ranging from 2.43% to 2.96%.

In practice, though, Sydney and Melbourne sellers are facing some of the highest commissions in the country when factoring in median property prices in each city.

Agencies like Upside charge a flat, cheaper fee – $8,900 for private treaty sales (and if you're thinking of selling via an auction, we simply pass on the auctioneer cost ($400 - $700) depending on location and auctioneer) – that covers all the essentials for selling your home. To find out more, book a no-obligation property appraisal.

Here’s a guide to average commission amounts based on median house and unit prices in Sydney and Melbourne:

Average house commission Average unit commission
Melbourne $17,987 (based on the median house price of $903,859) $10,071 (based on the median unit price of $506,079)
Sydney $21,703 (based on the median house price of $1,179,519) $13,559 (based on the median unit price of $736,879)
Median property prices are taken from the Domain State of the Market Report Decemeber 2017.

So, what are the recommendations for people thinking about selling a property? Do your research before choosing an agent.

McCann says vendors rate an agent’s ‘ability to get the best outcome’ as the number one factor when choosing an agent when they register at

Generally, vendors are much savvier than they were 20 years ago and understand that a lot of time and work goes into selling a property.”

With that in mind, many vendors are opting for no-commission agencies with a solid reputation to be assured of a fixed fee from the get-go and good service regardless of the sale price.

More on this topic:

At Upside, we charge a single all-inclusive fee to manage the entire sales process, and we’re completely transparent about what’s included. Our real estate agents are also paid bonuses (by us, not you) based on the level of service, not just the sale price. We also offer a free property value estimate, so request your free property value report now to get an idea of the worth of your home based on recent and historic sales data in the area.


Upside is an Australian-owned, full-service real estate agency with one low fee and no commission. Our standard is other agents’ ‘extras’, delivering vendors a complete agent managed service including a full appraisal, open home management, copywriting, photography, signage and advertising. It's the way real estate should be.