Buyers Agent Fees – How Much Do Buyers Agents Charge?

The cost of using a buyer’s agent can vary depending on the state, the services offered, and how they charge their fees. However, on average, you can expect to pay between $1,200 and $18,000.

What Is A Buyer’s Agent?

A buyer’s agent is a licensed professional who helps the buyer in a property purchase. Unlike a seller’s agent, who represents the person selling the property, a buyer’s agent works only for the buyer. They provide expert advice, help search for the right property, and negotiate the best price and terms. Their main job is to guide the buyer through the process and make sure everything goes smoothly.

How Much Do Buyers Agents Fees Cost?

Do you feel confident working out what a fair price is for a property? Can you stay clear-headed when looking for your dream home?

Are you comfortable negotiating with seller’s agents to make sure you get the best result?

Can you spot areas and properties that are likely to grow in value? Are you able to compare properties by looking at things like purchase costs, loan options, rental income, and tax benefits?

It’s worth asking, can you afford not to get help from a buyer’s agent?

An experienced buyer’s agent can often help reduce the overall cost of buying and owning a property. In many cases, the savings they help achieve can far outweigh their fees. And as an added bonus, they can save you time and take the stress out of dealing with seller’s agents.

Full Service: 1.5% – 3% Of The Purchase Price

This is the most expensive type of help a buyer’s agent can offer in Australia because they take care of the entire home-buying process for you. A full-service package usually includes:

• Talking with you about the kind of home you want
• Helping you find homes that fit your budget and making a shortlist (some just give you a list, but the best ones help you understand what to look for)
• Organising property viewings and price checks
• Making sure the property is a good choice by doing careful checks
• Booking trusted professionals to do building, pest, and strata inspections
• Talking with the seller’s agent to get you the best deal
• Bidding for you at an auction, if needed
• Taking care of all the paperwork
• Putting you in touch with people like legal experts and property managers

This kind of service is great for people buying their first home, investors buying in another state, or anyone who’s too busy to do everything themselves.

The cost depends on where you live and what help you need. In big cities, the fee is usually between 1.5% and 3% of the purchase price, plus GST. In smaller areas, it may cost less.

Full Service: Flat Fee Model

Precision Property Buyers offers a full-service package for a set fee, no matter the price of the property. This includes all the standard support, along with a few extra features:

• All communication with real estate agents is handled for you
• In-depth research and data analysis to guide property appraisals, suburb insights, and investment decisions
• An affordable engagement meeting
• A team of experienced buyer’s agents who have supported hundreds of clients through the buying process

The flat-fee model offers peace of mind for buyers, as the agent’s focus remains on finding the right property, without any incentive to increase the purchase price.

A reliable buyer’s agent will be properly accredited and a member of REBAA (Real Estate Buyers Agent Association of Australia). If they also provide property investment advice, they should be accredited with PIPA (Property Investment Professionals of Australia).

Additionally, a reputable buyer’s agent will personally inspect any property they recommend.

Appraisal And Negotiation: 0.9% Of The Purchase Price

Some people hire a buyer’s agent just to help them figure out what a home is worth and to talk to the seller about the price. If you already found a home you like, the agent can visit it and look at things like:

• How big it is
• How many bedrooms and bathrooms it has
• What condition it’s in
• What features it has, like the kitchen or flooring
• Where it’s located
• How close it is to schools, shops, and buses or trains

Then, the agent compares it to other similar homes that recently sold nearby. They also look at what’s happening in the housing market overall. After that, they can suggest a fair price, which helps when talking to the seller about how much to offer.

This service usually costs about 0.9% of the home’s price (plus GST), or it can be a set fee instead.

Auction Bidding: $500 Attendance Fee

Some property buyers choose to engage a buyer’s agent only when it’s time to bid at auction for a home they’ve already found. Having a professional represent you can ease the pressure and improve your chances of securing the property.

Because buyer’s agents remain emotionally detached, they can make clear, strategic decisions during the auction. This helps prevent overbidding and ensures you’re only paying what the property is truly worth. Their experience with auction processes allows them to navigate bidding confidently and effectively on your behalf.

Auction bidding services are generally more affordable than full-service packages, as they involve less work. Most buyer’s agents charge a fixed upfront fee of $500 + GST to attend, and a $1,000 + GST success fee if the property is successfully secured.

How Buyer’s Agent Fees Work

Knowing how much a buyer’s agent will cost is important if you’re buying a home or investing in property. The total amount you pay depends on how your buyer’s agent charges for their work.

To figure out the cost, first think about what kind of help you need.

Full-service help, where the agent does everything from finding the home to helping with the paperwork, usually costs more than just hiring them to help with things like negotiating or bidding at an auction. Where you’re buying and how experienced the agent is can also affect the price.

Upfront Costs And Retainers

When you hire a buyer’s agent, it’s important to know how their fees work, including any costs you might need to pay at the start. Some agents ask for an upfront fee, called a retainer, to show you’re serious. This is usually part of the total cost and can be around 20% to 50% of the full fee. Most of the time, this fee isn’t refundable.

Sometimes, buyer’s agents may also ask for small payments as they reach certain steps in helping you find and buy a property. This helps make sure they’re paid fairly as they go.

A good buyer’s agent will be clear about their prices and explain everything upfront. Before you agree to anything, it’s a good idea to talk through the fees so you know exactly what to expect.

Buyer’s Agent Fees By State And Territory

In Australia, there are no set rules for how much a buyer’s agent can charge. This means the cost can change depending on which agent you choose and where you’re buying. Here’s a general guide to what the cost might look like in major cities across each state and territory.

Sydney, New South Wales

Homes in Sydney usually cost more than in other parts of Australia, so buyer’s agent fees can be quite different. On average, you might pay between 1.5% and 3% of the home’s price, or a set fee between $8,000 and $21,000. Most people pay around $14,500.

If you only want help with bidding or negotiating, it usually costs more in Sydney too, about $1,000 for each property.

Canberra, ACT

In Canberra, buyer’s agent fees are about average compared to other places in Australia. Most agents charge between 1.8% and 2.8% of the home’s price.

If the agent charges a set fee instead, it’s usually around $12,000, but some may charge a bit more or a bit less.

Melbourne, Victoria

Buyer’s agents in Melbourne can choose how much they charge, but most ask for between 1.2% and 2.75% of the home’s price. Since houses in Melbourne are expensive, the total fees can vary a lot.

Some agents charge a fixed price instead, usually between $3,500 and $10,500. If you just need help with bidding at an auction or talking to the seller, it might only cost around $500 plus GST. You can also ask them to check out a property for you (called due diligence), which also costs about $500 plus GST.

Brisbane, Queensland

Buyer’s agents in Brisbane can set their own prices. Most charge between 1% and 2.7% of the home’s price, or a set fee between $6,000 and $18,000.

If you just want help with bidding or negotiating, it usually costs between $500 and $1,000 for each service. You can also ask them to do a property inspection, which costs about $550. You can check out one of the best buyer’s agents in Queensland here.

Adelaide, South Australia

If you’re buying a home in Adelaide, you’re in luck, buyer’s agent fees are some of the lowest in Australia. If they charge a percentage, it’s usually between 1.5% and 2.4% of the home’s price.

Some agents charge a set fee instead, and that’s usually around $10,000, but you can probably find agents who charge less than that.

Perth, Western Australia

Buyer’s agents in Perth usually charge between 1.8% and 2.5% of the home’s price, or they might offer a set fee, which is usually around $11,000.

Hobart, Tasmania

In Hobart, a buyer’s agent usually charges between 1.5% and 2.5% of the home’s price, or a set fee between $13,000 and $20,000. The cost can change a lot depending on how experienced the agent is and how much help they give you.

Darwin, Northern Territory

In Darwin, buyer’s agents usually charge between 1% and 3% of the home’s price. If they use a set fee instead, it’s normally between $5,000 and $15,000.

Are Buyer’s Agent Costs Tax Deductible?

If you’re buying a property as an investment, it’s a good idea to talk to a tax advisor before making any big decisions. But in most cases, the cost of using a buyer’s agent can be claimed on your taxes. This means when you sell the property later, those fees can help lower the amount of tax you pay on the profit.

If you’re buying a home to live in, the buyer’s agent fees can’t be claimed on your taxes.

How To Get The Best Deal For Buyers Agent Fees?

When you’re looking for a buyer’s agent, you don’t have to accept the first price they give you. Because there are no fixed rules for their fees in Australia, you can ask if they’re willing to lower the cost. Here are a few tips to help you when choosing a buyer’s agent:

1) Do Your Homework

It’s important to get ready before talking to a buyer’s agent. Look up how much buyer’s agents usually charge. Once you know the average prices, you can use that information to ask for a better deal.

2) Be Reasonable

It’s perfectly fine to try and negotiate a buyer’s agent’s fees, but it’s also important to be fair and respectful. Offering too little may lead the agent to step away. Keep in mind that experienced buyer’s agents often charge more because of the value they provide. Aim for an agreement that works for you, while also being considerate of the agent’s time and expertise.

3) Consider Different Options

Besides meeting with a few agents and seeing how much they charge, you can also think about choosing a smaller service to save money. For example, if you only need help with negotiating the price, it will cost less than full help from start to finish. If you can do some of the work yourself, you might save a lot on fees.

But keep in mind, buying a home can be tricky and tiring. There’s a lot of paperwork and running around. If you’re not ready for all that, having a buyer’s agent can really help and make things easier in the long run.

What Services Do Buyer’s Agents Offer?

Buyer’s agents can assist with many parts of the property buying process, such as searching for suitable homes, reviewing property details, negotiating with sellers, and bidding at auctions. They help buyers set clear goals, assess options, and handle key steps along the way.

In Australia, most licensed buyer’s agents offer one of three main service types:

• Full search
• Appraisal and negotiation
• Auction bidding

Benefits Of Using A Buyer’s Agent For Investment Property

Using a buyer’s agent to help with purchasing an investment property can offer a number of thoughtful benefits. Here are some of the key advantages:

• Access to off-market properties: Buyer’s agents often hear about homes that aren’t listed publicly, giving you more options and possibly less competition.
• Understanding of the local market: Their knowledge of the area and current trends can help you make well-informed choices.
• Support with negotiations: A buyer’s agent can work on your behalf to try and secure a fair price and suitable terms.
• Less time and stress for you: They can take care of tasks like searching for properties, organising inspections, and speaking with agents, which can make the process easier.
• Clear and objective advice: Because they’re working for you, their advice is focused on helping you meet your investment goals.
• Potential cost savings: With their experience, buyer’s agents may be able to help you purchase at a better price, which could improve your long-term returns.

Benefits Of Using A Buyer’s Agent For Your Own Home

It’s a common misunderstanding that buyer’s agents are only helpful for investors. In fact, if you’re buying a home to live in, there are several thoughtful reasons to consider having one by your side:

• A wise investment: A buyer’s agent can help make sure the home you choose is not only right for you but also a smart long-term financial decision. Buying the right home at the right price can make a real difference over time.
• Fewer surprises: With their experience, buyer’s agents know how to organise the right checks and reports to uncover any hidden issues, like building problems or low apartment maintenance funds, before you commit.
• Less stress, more focus: They can help narrow down your search to homes that fit your needs and budget, making the whole process more manageable and efficient.
• Balanced support: Sellers usually have professional agents working to get the best price for them. Having a buyer’s agent means you also have someone knowledgeable representing your interests, helping you through appraisals, negotiations, and key decisions.

Is Hiring A Buyer’s Agent Worth It?

Hiring a buyer’s agent might seem like a significant cost at first, but if they’re able to negotiate a lower purchase price, where the savings exceed their fee, the value becomes clear.

An experienced buyer’s agent can also save you considerable time by handling much of the property search for you. Whether you’re purchasing a family home, relocating interstate, investing in property, or simply unfamiliar with the buying process, a buyer’s agent can provide valuable guidance and support throughout.

Selecting The Right Buyer’s Agent

Choosing the right buyer’s agent is an important part of the home-buying journey. A thoughtful and reliable agent should:

• Genuinely act in the buyer’s best interest
• Be licensed, experienced, and have a strong reputation
• Work independently, without accepting commissions from sellers or developers

Selecting someone who meets these standards helps ensure they’re focused solely on your needs, similar to the role of a buyer’s advocate.

It can also be helpful to speak with local selling agents. Their experience working with various buyer’s agents may offer useful insights into an agent’s reputation and results.

A reputable buyer’s agent will usually:

• Hold a real estate license and have local experience
• Be a member of a professional real estate body or institute
• Understand the local market, including property values, conditions, and zoning rules
• Use their knowledge to find suitable properties and negotiate on your behalf
• Be transparent about fees, including any upfront costs or retainers

When considering a buyer’s agent, it’s worth thinking about:

• Their industry experience
• Local market knowledge
• Negotiation skills
• Communication style and responsiveness
• Availability to support you
• Client feedback and reviews

Taking the time to review these qualities can help you choose an agent who will guide you through the process with care and professionalism.

Summary

Understanding the costs involved in hiring a buyer’s agent, along with the services they offer, can be a helpful part of planning your property purchase.

Buyer’s agents may charge a fixed fee, a percentage of the purchase price, or offer different service levels at different prices. Each option has its own advantages and can suit different needs.

Working with a buyer’s agent can offer many benefits, such as saving time, reducing stress, accessing off-market properties, and receiving guidance during negotiations.

As you begin your property journey, taking the time to choose the right buyer’s agent can help make the experience smoother and more comfortable. Knowing what to expect in terms of cost allows you to plan ahead with confidence.

FAQ

Do Buyer’s Agents Save You Money?

An experienced buyer’s agent can help you save money in several thoughtful ways. They’re familiar with how to negotiate with real estate agents and can stay calm and focused, which may lead to a better outcome. They also understand how to assess a property’s value and what a fair price should be.

In some cases, they may even help you avoid buying a property that isn’t the right fit, spotting issues that might not be obvious at first. Avoiding a poor investment can be just as valuable as finding the right one.

Why Pay A Buyer’s Agent To Help You Buy A Property?

Some people worry they can’t afford to hire a buyer’s agent, especially if they’re already struggling to find the right home within their budget and don’t know what buyer’s agents usually charge. But it’s important to remember that not having expert help can end up costing you in other ways.

You might lose time in a rising market, where the longer you wait, the more prices go up, and you might miss out on homes in the area you really want. You could also end up buying a home that doesn’t grow much in value, which can be easier to do than most people think.

There’s also the risk of paying too much, either because you don’t know the true value of the property or because the seller’s agent is better at negotiating. Compared to the total cost of buying a home, a buyer’s agent’s fee can be quite small for the peace of mind they offer.

Remember, most sellers have professional agents helping them. Without expert support, buyers are often left guessing. Buying a home without a buyer’s agent is a bit like playing a card game blindfolded, while the seller’s agent holds all the cards.

Why Does It Vary Greatly On What Buyer’s Agents Charge?

One big reason buyer’s agent fees can change is how much time they spend helping you. Some buyer’s agents offer a smaller service, like checking out one property for you or bidding at an auction. Since these tasks take less time than helping with the whole buying process, they usually cost less than full service.

Can Buyer’s Agent Fees Be Included In Your Home Loan?

This can vary depending on your lender. In some cases, part of the buyer’s agent fee may be included in your mortgage, but only if it’s added to the total purchase price and approved by the lender.

However, in most situations, it’s a good idea to plan ahead and set aside a separate budget for the buyer’s agent fee.