Buyer’s Agent Fees & Costs Guide 2025
Buyer’s agents fees in Australia are either a percentage of the purchase price or a flat fee for the service. Find out what you’ll pay to use a buyer’s agent.
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What fees do buyer’s agents charge?
Buyer’s agents in Australia charge for their services either as a percentage of the sale price of the home their client purchases or, more commonly, based on a flat fee for the services provided.
Below is a summary of the most common buyer’s agent fee structures:
Buyer's agent fee structures
Percentage of purchase commission
Some buyer’s agents charge clients based on a percentage of the purchase price of the property they purchase. This effectively mirrors the commission charged by the selling agent. Buyer’s agent commission typically ranges from 1.5% - 2.5% of the property value. The trouble with the commission structure is that it can introduce an unhelpful conflict from the client’s points of view – i.e. the higher the purchase price, the more money the buyer’s agent will make. In other words, the buyer’s agent may be unconsciously financially incentivised to achieve a higher sale price, when it’s in their client’s interest to keep the purchase price low. This is why a tiered fee structure is common.
Tiered fee structure
Where a buyer’s agent fees are based on a percentage of the sale price, it’s common for the commission to be structured in tiers. Effectively this means that a lower purchase price may yield a higher commission for the agent. For example, a buyer’s agent might have a structure that means for every $100,000 more their client pays for their property, the rate of commission decreases proportionately. Even with this tiering, percentage based fees can make things complicated for both parties, which is why a flat fee structure is increasingly popular.
Flat fee
Many buyer’s agents charge a single flat fee for their services. This means the cost to the client is clear up front, with the agent offering a standard set of inclusions set out at the commencement of the agreement. If the clients needs ultimately end up exceeding what was included under the flat fee arrangement, the buyer’s agent typically bills for additional work on top of the flat fee. For example the initial flat fee might include a maximum number of auctions attendances, with any additional ones being charged for on top.
Blended fee structures
Less commonly, some agents may charge based on a combination of a percentage based model, with certain services of a more variable nature incurring an additional flat fee. For example, each auction the buyer’s agent may incur a fee on top of the percentage based fee charged to reflect the other services included.
Buyer’s agent cost example - percentage fee versus flat fee
| Value of property | Percentage fee (1.50% of purchase price) | Tiered percentage fee | Flat fee |
|---|---|---|---|
$1 million | $15,000 | $20,000 (2.00%) | $15,000 |
$1.5 million | $22,500 | $22,500 (1.50%) | $15,000 |
$2 million | $30,000 | $25,000 (1.25%) | $15,000 |
$2.5 million | $37,500 | $25,000 (1.00%) | $15,000 |
What factors impact the cost of using a buyer’s agent?
It’s always a good idea to have a very clear idea of how much you will be paying your buyer’s agent – and for what exactly – at the outset. These are the factors that could impact what you pay.
- Which agent you choose The fees charged by buyer’s agents tend to be fairly similar, but ultimately the market forces of supply and demand apply to the price. For example a buyer’s agent who is in particularly high demand will usually charge a premium to clients. Likewise, if you need a particularly specialist buyer’s agent who caters to a very niche market, chances are these will be in scarce supply and more expensive as a result.
- Their fee model You could end up paying more or less for a buyer’s agent’s services depending on whether they charge a flat fee or a percentage, commission based-fee.
- How competitive the market is If you are looking to buy in a very competitive location, expect the good buyer’s agents operating there to be more expensive. Ultimately these agents are likely to need to work harder to secure a property for you, versus an agent operating in a less competitive area. This doesn’t necessarily mean that the agent is any better versus another in a different area, but chances are the top agents seeking higher incomes will also be the ones attracted to the most sought after locations. To offer a simplistic example, expect a buyer’s agent in Sydney to charge more than a buyer’s agent in Adelaide.
- What services are included Some agents charge different fees depending on what you need them to do. If their role is only to find and recommend properties, there will be one fee. If the agent is also attending auctions and project managing the entire purchase
- The duration/scope of the search The initial agreement you enter with a buyer’s agent usually covers a specified scope of search. If as the client you change the scope of the search – for example, by expanding the search location – this will involve additional work for the agent and may result in an additional charge.
Are buyer’s agent fees worth it?
Buyer’s agents are increasingly important for investors and families looking to secure quality properties in Australia, particularly in ultra-competitive markets like Sydney, Melbourne, Brisbane, the Gold Coast and Sunshine Coast.
If those are the areas you want to buy in, it is probably going to be worth paying a buyer’s agent to help you, as chances are the buyers you’ll be competing against will have an agent working for you.
For investors looking for quality assets to hold over the long term, the fee for using a buyer’s agent is generally worth it if it means you can find a better-performing property. The fees may also be tax deductible, which adds to the overall benefit.
Here’s a summary of scenarios when buyer’s agent fees may and may not be worth it.
When using a buyer’s agent is worth it
- You're buying property in Australia from overseas or interstate and can't attend inspections in person.
- You're competing in a hot market and keep missing out on properties at auction.
- You're a time-poor professional and need someone to manage the search and negotiation.
- You’ve sold your current home and are against a deadline to find somewhere new to buy.
- You want help finding off-market properties not listed publicly online.
When using a buyer’s agent may not be worth it
- You're buying in your local area and already know the market well.
- You're comfortable researching and negotiating property purchases yourself.
- You're on a tight budget and prefer to put every dollar toward your purchase.
- You're buying a new build directly from a developer with limited scope for negotiation.
- You enjoy the property search process and prefer to be fully hands-on.
Cost of using a buyer’s agent state-by-state
Sydney
Median value: $1,228,435
1% buyer’s agent fee: $18,427; 2% buyer’s agent fee: $30,711
Melbourne
Median value: $803,424
1% buyer’s agent fee: $12,051; 2% buyer’s agent fee: $20,086
Brisbane
Median value: $934,623
1% buyer’s agent fee: $14,019; 2% buyer’s agent fee: $23,366
Adelaide
Median value: $843,339
1% buyer’s agent fee: $12,650; 2% buyer’s agent fee: $21,083
Canberra
Median value: $861,281
1% buyer’s agent fee: $12,919; 2% buyer’s agent fee: $21,532
Perth
Median value: $831,921
1% buyer’s agent fee: $12,479; 2% buyer’s agent fee: $20,798
More FAQS
Will I need to pay a deposit when using a buyer's agent?
Most buyer’s agents will require some form of payment up front, whether that’s a deposit that is deducted from the full fee charged upon you purchasing your property or an upfront flat fee. This is typically somewhere between $1,000 and $3,000.
The reason for this is that as soon as you engage the services of a buyer’s agent, they will commence working on your property and incur costs for that work. If in the event, you do not ultimately proceed to a purchase (for whatever reason), and upfront fee ensures the agent has been compensated to some extent for their work.
If the commission were only to be paid when the purchase goes through (i.e. with no upfront fee) and there is ultimately no purchase, the agent risks making absolutely no money from the work leading up to the process ending.
Are buyer’s agent fees tax deductible?
If you are using a buyer’s agent to purchase an investment property, the costs you incur in acquiring that property, including buyer’s agents fees, may be tax deductible against any future capital gain you make when you sell the property.
For example, if you spend $20,000 in buyer’s agent fees when acquiring an investment property and then go on to sell that property for a profit, you may be able to deduct the $20,000 fee (plus any other buying costs).
If you use a buyer's agent to purchase a home you will live in, the fees will not be tax deductible.
Ultimately it’s best to speak to a tax accountant to understand which costs you can and cannot deduct in order to reduce your tax liability.
How can I save money on buyer’s agent fees?
The best way to save money on buyer’s agents fees is to negotiate on the price. Buyer’s agents are in the business of making deals happen, and will typically be open to negotiation on their fees.
It’s also a very good idea to understand up front the buyer’s agent’s services and what you are agreeing to pay for. That way you can avoid paying for services you may not ultimately need.
For example, if you are also engaging the services of a conveyancer to handle the legal aspects of the transaction, they may perform some level of due diligence on the property. If that’s the case, there’s little benefit to paying a buyer’s agent to perform the same due diligence. Just make sure someone is doing it!
It’s also important to enter into an agreement under the right fee structure. Depending on your purchase budget, the difference between a flat fee and what you could end up paying under a percentage of purchase price arrangement could be significant.
Where in Australia do you offer buyer's agent services?
Our buyer's agents service all major cities and regional hubs. Choose the area you're interested in from the list below: