1. What is Real Estate Commission?

Real estate commission is the fee paid to agents for facilitating property transactions. In Malaysia, this is typically a percentage of the final sale price, paid by the seller unless otherwise agreed.

2. How Commission is Calculated

The standard commission formula is:

Where:

• \( Sale\ Price \) — Final property sale price in MYR
• \( Commission\ Rate \) — Agreed percentage (typically 2-3%)

3. Typical Commission Rates in Malaysia

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

• Property value (higher-value properties may have lower percentages)
• Agent experience and track record
• Market conditions
• Special agreements between agent and client

4. Using the Calculator

Instructions: Enter the property sale price in MYR and the agreed commission rate (as a percentage). The calculator will compute the total commission amount.

5. Frequently Asked Questions (FAQ)

Q1: Who pays the real estate commission in Malaysia?
A: Typically the seller pays the commission, unless otherwise negotiated in the agreement.

Q2: Is the commission rate negotiable?
A: Yes, commission rates are often negotiable between the agent and client, especially for high-value properties.

Q3: Are there different rates for different property types?
A: Commercial properties may have different commission structures than residential properties.

Q4: When is the commission paid?
A: Commission is typically paid upon successful completion of the property transaction.

Q5: Is GST included in the commission?
A: GST (6%) is typically charged on top of the commission amount, unless the agent is not GST-registered.