1. What is Real Estate Commission?

Real estate commission is the fee paid to agents for their services in buying or selling property. In Queensland (Australia) and Canada, this is typically a percentage of the final sale price, negotiated between the seller and agent before listing the property.

2. How Commission is Calculated

The calculator uses the standard commission formula:

Where:

• Sale Price — Final selling price of the property
• Commission Rate — Agreed percentage rate between seller and agent

Example: For a $500,000 property at 2.5% commission rate, the calculation would be $500,000 × 0.025 = $12,500 commission.

3. Typical Commission Rates

Queensland, Australia: Typically ranges from 2% to 3.5% + GST (varies by agency and property value)

Canada: Typically ranges from 3% to 7% (often split between buying and selling agents)

4. Using the Calculator

Instructions: Enter the property sale price in AUD (for QLD) or CAD (for Canada), input the agreed commission rate percentage, select your region, and click Calculate.

5. Frequently Asked Questions (FAQ)

Q1: Is commission negotiable in QLD and Canada?
A: Yes, commission rates are always negotiable between the seller and real estate agent.

Q2: Are there additional fees beyond commission?
A: In QLD, GST (10%) is added to the commission. In Canada, additional fees may apply for marketing and administrative costs.

Q3: Who pays the commission?
A: Typically the seller pays the commission, which is deducted from the sale proceeds at settlement.

Q4: Are commission rates fixed by law?
A: No, commission rates are not fixed and vary by agency, property type, and market conditions.

Q5: How is commission split between agents?
A: Typically 50-50 between listing and buyer's agents, but this can vary based on agreements.