Like the rest of the Queensland, Brisbane real estate commissions and fees are deregulated. A deregulated fee and commission structure mean that an agent can create their fee structure based on supply and demand. Fees in Brisbane are amongst the highest of all capital cities in Australia, which tells us that the market in Brisbane is not in demand enough to warrant a competitive lowering of fees. With this in mind, it’s a good idea to understand how commissions and fees work in Brisbane to ensure you are in the best possible position for negotiations.
Real estate agent fees and commissions can vary depending on the location of your home within Brisbane, your property type and the overall property condition. It’s a good idea to understand the average costs of commissions in order to help guide you before committing to an agent. Comparing an agent will help you understand how commissions and fees are allocated and the various ways in which this occurs. Comparing agents in your area will also help give you an overview of how agents create their fee structure and what is included in that structure.
It’s also a good idea to get to understand the basic allocations that fall under each term “commission” and “fee”. More often than not we will bundle this term together and we don’t realise that in real estate world, commission and fees are two separate costs.
Commission is usually the term for the sole allocation of the percentage of the total cost that your property has sold for. Where fees can sometimes cover the more external costs involved in selling a property – like marketing fees and/or administration costs.
With commission and fee costs higher in Brisbane that most of the country, it’s more important than ever that you ask for full transparency on what your costs will cover. This way, you can be sure that no external costs will occur with your agent.