How to Choose and Work with a Real Estate Agent in Australia

Commission Structure

Australian real estate commission is negotiable. Standard rates: 1.5-3.5% of sale price in most markets (varies significantly by state and by market conditions). In competitive markets (high-demand suburbs), agents may accept 1.5-2%. In slower markets, 2.5-3.5% is common. Always negotiate commission — and specify whether it includes advertising costs or not.

Choosing Your Agent

• 1 Get 3 appraisals — how similar their price estimates are tells you something about their market knowledge
• 2 Check recent sales in your area — an agent with 5 recent local sales is more credible than one with 50 sales across multiple suburbs
• 3 Ask how they'll market your property — what's included in the standard package vs what costs extra
• 4 Check their average days-on-market for comparable properties
• 5 Ask for vendor references — recent sellers who can comment on communication and outcome

Sale Methods

• 1 Auction: creates competitive tension, unconditional contract, good in strong markets — agent earns commission regardless of outcome
• 2 Private treaty: set price, negotiated offers, cooling-off period applies — more common in slower markets or unique properties
• 3 Expression of interest (EOI): buyers submit offers by a deadline — creates urgency without auction drama, often used for premium properties

Agent's Obligations to You

Your agent is legally obligated to act in your best interest as vendor — not the buyer's. They must: disclose any conflicts of interest (e.g. if they're representing both buyer and seller — 'dual agency'), pass on all offers to you regardless of amount, give you accurate market feedback, and not mislead you about the likely sale price (underquoting is illegal).