1. What is Real Estate Commission?

Real estate commission is the fee paid to agents for facilitating property transactions. In Malaysia, this is typically paid by the seller and calculated as a percentage of the property's sale price.

2. How Commission is Calculated

The standard commission formula is:

Where:

• Sale Price — The final agreed selling price of the property (MYR)
• Commission Rate — Percentage agreed with the agent (typically 2-3%)

3. Typical Commission Rates in Malaysia

Standard Rates: Commission rates in Malaysia typically range from 2% to 3% of the sale price, though this can vary based on:

• Property type and value
• Agent's experience
• Market conditions
• Negotiation between seller and agent

4. Using the Calculator

Tips: Enter the property sale price in MYR and the agreed commission rate (percentage). The calculator will show the total commission amount payable.

5. Frequently Asked Questions (FAQ)

Q1: Who pays the commission in Malaysia?
A: Typically the seller pays the commission, though this can be negotiated between parties.

Q2: Is the commission rate negotiable?
A: Yes, commission rates are often negotiable, especially for higher-value properties.

Q3: Are there GST or other taxes on commissions?
A: Yes, GST (6%) may apply to the commission amount in addition to the calculated figure.

Q4: What's included in the commission?
A: The commission covers agent services including marketing, viewings, negotiations, and paperwork.

Q5: Can I sell without paying commission?
A: Yes, through direct sale (FSBO), but you'll handle all aspects of the sale yourself.