The commission charged by estate agents varies and is usually based on a percentage of the sale price. However, the national average can range from 5 to 7.5 percent plus Value Added Tax (VAT). The commission can be negotiated, but it is also important to remember that agents put a lot of time and money into listing and marketing the property to ensure a sale that will ultimately see them receive their commission.
Some agents have a fixed fee payment structure where the commission is fixed at a certain price or a certain percentage irrespective of the sale price.
The agent's commission is paid by the seller after the successful sale of a property - this means that all the conditions of the sale have been met and the property has been transferred to the buyer. Keep in mind that if a prospective buyer refuses to go ahead with the purchase, but change their mind later and purchase the home, the estate agent who played a role in attracting that buyer in the first place will be entitled to a commission, even if they didn’t play a role in bringing about the eventual agreement.
You can work out your estate agent's commission using our commission tool