Buyers Agent Fees Melbourne: Typical Costs & What to Expect

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There are more buyers agents in Australia than ever before. In 2016, the Property Investment Professionals of Australia (PIPA) estimated that there were 500 buyers agents registered across Australia. Today, in 2025, there are over 1,000 buyers agents.

For Melbourne buyers, this growth means more choice – and more variation – in buyers agent fees. Before you sign anything, it helps to understand:

• How buyers agent fees in Melbourne work
• How Melbourne compares with other states and major cities
• What you actually receive for the fee
• When using a buyers agent is likely to be worth it for you

What are buyers agent fees in Melbourne?

Buyers agents earn money through fixed fees or percentage-based commissions. Like selling agents, buyers agents generally do not have a fixed monthly income. Instead, what they earn depends on:

• The number of successful purchases they complete
• Their chosen fee structure (fixed, percentage, or hybrid)
• The property prices and complexity of their clients’ briefs

In Melbourne, you will commonly see:

• Full-service fixed fees
• Full-service percentage commissions
• Partial services (such as negotiate-only or auction-only) at lower flat fees

The right option depends on your budget, the type of property you are buying, and how much help you want.

How the main fee structures work

Fixed fees

Buyers agents charge fixed fees that can be as low as $3,000 or as high as $30,000. As you can expect, the more expensive and complex the brief, the higher the fees.

Some buyers agents use a tiered fixed-fee structure, where fees vary between different price brackets. For example, a buyers agent may charge a fixed fee of $8,000 for properties valued between $500,000 and $799,999, with a higher fee for properties above $1,000,000.

What fixed fees mean for Melbourne buyers

Advantages:

• Cost certainty – you know the professional fee upfront.
• Independent of final price – if competition nudges the price higher, your fee does not automatically climb.
• Well suited to buyers who prefer a clear, predictable budget.

Considerations:

• Confirm the scope: search, property appraisals, suburb insights, due diligence, negotiation, auction bidding.
• Ask how changes in your brief are handled.

Percentage-based commissions

Commission-based buyers agents charge a percentage of the purchase price, paid when the purchase is complete. Commission rates generally fall between 1% and 3%.

For example, a 2% commission rate will result in a commission fee of $30,000 for a property purchased at $1,500,000.

What commissions mean for Melbourne buyers

Advantages:

• Pay on success – the main component of the fee is due only when you buy.
• It scales with the size and complexity of the purchase.

Considerations:

• The higher your budget, the higher the dollar amount of the fee.
• Clarify how the percentage is calculated (contract price only, and whether GST is included or added).
• Discuss how the agent maintains price discipline so the commission structure does not encourage overpaying.

Partial services (negotiate-only or auction-only)

Many buyers agents offer limited-scope services, such as:

• Negotiation-only on a property you have already found
• Auction bidding-only, where they represent you on the day

These services are usually charged as flat fees, often smaller than a full-service engagement. They are useful if you are confident finding properties yourself but want professional negotiation skills at the critical moment.

What’s included in buyers agent fees (and what isn’t)

While every business is different, full-service buyers agent fees in Melbourne typically include:

• Strategy and brief (clarifying your budget, goals and timeline)
• Search across on-market, off-market and pre-market properties
• Property inspections and property appraisals
• Comparable sales analysis and advice on fair value
• Suburb insights and micro-market commentary
• Offer strategy and negotiation
• Auction bidding (if applicable)
• Coordination of pest inspections, building reports and other due diligence (third-party costs extra)
• Liaison with your conveyancer, broker and other affiliated services through to settlement

Normally not included in the fee:

• Building and pest inspections
• Legal / conveyancing fees
• Bank fees or valuation charges
• Government charges (stamp duty, registration, transfer)
• Renovation quotes and ongoing project management (unless specifically agreed)

A transparent buyers agent will give you a written breakdown of inclusions and exclusions, so you know exactly what you are paying for.

Regional comparisons: how Melbourne fees compare across Australia

Buyers agent fees are influenced by state and territory differences, local regulations, and the depth of service required in each micro-market.

According to national data, the average buyers agent commission sits between 2% and 2.5% of the property’s sale price, with variation by state:

• New South Wales – ~2.31% (range 1.2% – 3.5%)
• Victoria – ~2.18% (range 1.3% – 3.5%)
• Queensland – ~2.72% (range 1.5% – 3.8%)
• South Australia – ~2.25% (range 1.6% – 3.2%)
• Western Australia – ~2.66% (range 1.74% – 3.72%)
• Northern Territory – ~2.8% (range 2.52% – 3.31%)
• Australian Capital Territory – ~2.18% (range 1.44% – 2.36%)
• Tasmania – ~2.96% (range 2.09% – 2.77%)

Melbourne vs Sydney, Brisbane and Perth

Melbourne (Victoria)

• Metropolitan areas are competitive, with many licensed buyers agents holding strong real estate qualifications and local experience.
• Commission rates often sit toward the lower half of the Victorian range in inner and middle-ring suburbs, reflecting competition and relatively high property prices.
• High service depth: detailed suburb insights, micro-market analysis, and strong focus on off-market and pre-market access.

Sydney (New South Wales)

• Higher average property prices can lead to higher absolute dollar commissions, even at similar percentages.
• Certain prestige pockets (eastern suburbs, lower north shore) may attract higher fees because of the complexity and scarcity of stock.
• As in Melbourne, there is an emphasis on relationships and access to tightly held listings.

Brisbane and Queensland markets

• Queensland’s average percentage is higher than Victoria’s, in part because typical property prices have historically been lower, and agents compensate with slightly higher commission rates.
• Service depth in Brisbane is often focused on growth corridors, development potential and yield for investors.

Perth and Western Australia

• Higher average commission percentages reflect smaller transaction volumes and a more dispersed market.
• Buyers agents may cover larger geographic areas, and fees recognise the additional time and travel required.

Metro vs regional and micro-markets

Within each state, metropolitan areas and regional centres can look very different:

• Metro areas (e.g. inner Melbourne)
  • More buyers agents competing for clients
  • Stronger pressure to keep commission rates competitive
  • High focus on deep local knowledge at the suburb and street level
• Regional or lifestyle areas (e.g. Mornington Peninsula, coastal NSW, regional QLD)
  • Fewer buyers agents, lower listing volumes
  • Percentage-based agent commission can sit higher within the state range
  • More travel and legwork per client, which is reflected in fees

Even within Melbourne itself, micro-markets – such as Brighton vs Brunswick, or Kew vs Kensington – behave differently. Service depth, strategy and time investment may be heavier in tightly held, low-supply suburbs, and this can influence the fee a buyers agent quotes.

Additional fees and engagement costs

Beyond the main fee or commission, you may encounter:

• Engagement / retainer fee – a smaller upfront payment when you appoint the agent (usually credited against the final fee).
• Due diligence costs – building and pest inspections, strata or owners corporation reports, engineering or planning checks, paid directly to those providers.
• Out-of-area or travel costs – if your brief covers a broad geography.

To stay in control:

• Request a full written fee schedule.
• Ask which fees are non-refundable.
• Clarify whether the agent receives any incentives or rebates from affiliated services.

Are buyers agent fees capped by law?

There is no legal maximum buyers agent fee or commission in Victoria or other states. However, several factors act as natural limits:

• Competition within each city and suburb
• Regulations around real estate licences and professional conduct
• What buyers in each market are realistically willing to pay

If a quote sits at the very top of the published range, it should also come with a clear explanation of the extra service depth or specialisation you are receiving.

Value and benefits of using a buyers agent

Fees are only one side of the equation. The other is value.

A good buyers agent aims to improve your investment decisions, protect you from common mistakes, and deliver a better outcome than you are likely to achieve alone. (Learn more about the Duties and Responsibilities of a buyers agent here.)

Here are the key value pillars.

1. Better property selection

• Filtering out poor-quality stock (e.g. compromised aspect, overdevelopment risk, inferior land content).
• Identifying off-market properties and pre-market properties before they reach the portals.
• Providing suburb insights: school zones, transport, demographics, upcoming infrastructure and council changes.

This matters because the property you buy once will influence your capital growth for decades.

2. Stronger negotiation and price discipline

Buyers agents bring tested negotiation skills to:

• Pre-auction offers
• Private treaty negotiations
• Post-auction negotiations if a property passes in

They use recent sales, property appraisals and clear strategy to hold the line on price, even when emotions run high. Avoiding overpaying by tens of thousands of dollars can instantly outweigh the fee.

3. Risk reduction through due diligence

A thorough buyers agent will insist on sensible checks, such as:

• Building and pest inspections
• Reviewing the contract and Section 32 with your conveyancer
• Checking zoning, overlays, easements and development approvals
• Reviewing strata / owners corporation documents for apartments and townhouses

These steps can prevent you from buying into structural issues, legal complications, or capital growth dead-ends.

4. Time saved and stress reduced

For many Melbourne buyers – particularly professionals, young families, downsizers and expats – time is as valuable as money.

A buyers agent can:

• Shortlist only genuinely suitable properties
• Attend weekday inspections you cannot get to
• Coordinate due diligence and manage back-and-forth with selling agents

This lets you focus on key decisions, not endless admin.

Value considerations for investors

For investors, buyers agent fees can be part of a broader financial picture that includes tax benefits and long-term returns.

Key points to consider (always seek personal tax advice):

• For investment properties, buyers agent fees are generally treated as part of the cost base of the asset for capital gains tax (CGT) purposes, or may be deductible over time depending on the structure and advice from your accountant.
• Structuring the purchase correctly – with the right asset type, location and price – can have a far greater impact on long-term capital gains and rental performance than the initial fee.
• Good advice around holding structure, future development potential and renovation strategy can influence future CGT outcomes and overall portfolio performance.

In other words, a skilled buyers agent is not just a “property finder”; they are an input into your broader investment strategy.

Simple case-style examples of value

Home buyer – inner suburb
A family considering several townhouses in the same price range engages a buyers agent. The agent’s analysis shows that one property sits in a superior school zone, on a quieter street, with better land content and lower owners corporation risk. Over 10–15 years, that choice is likely to deliver stronger growth and a more enjoyable lifestyle – a long-term gain that dwarfs the fee.

Investor – off-market purchase
An investor wants a quality townhouse in a tightly held Bayside micro-market. The buyers agent secures an off-market property at a fair price, avoiding competitive bidding and rushed decision-making. The investor pays a professional fee but gains a property they would not have seen on their own, in a suburb with better long-term fundamentals.

How to compare buyers agent fees in Melbourne (value vs price)

When comparing buyers agent fees Melbourne-wide, it helps to ask:

• What micro-markets and suburbs does this agent specialise in?
• Do they clearly explain their fee structure and what is included?
• How do they access off-market and pre-market opportunities?
• What is their approach to negotiation and price discipline?
• Do they have relevant real estate qualifications and an appropriate real estate licence?
• Are there any ties to sellers, developers or project marketers that could affect independence?

The cheapest option is not always the best if it comes with limited service depth, weak negotiation or poor access to quality stock.

How to Choose the Right Buyer’s Agent in Melbourne

Choosing the right buyer’s agent is one of the most important steps in your property journey. With the right questions and a focus on transparency, you can make a confident, informed decision—free from pressure or uncertainty.

What to Look For

• Accreditation and Professional Memberships
  Look for agents who are members of industry bodies such as the local Real Estate Institute. This signals commitment to professional standards.
• Full Real Estate Licence and Local Expertise
  Insist on a fully licensed agent with deep experience buying in your target Melbourne suburbs. Ask for recent examples—ideally within your price range and preferred school zones.
• Proven Track Record and Client Reviews
  Request evidence of successful purchases and client feedback or reviews. A strong agent should be able to share stories of real clients, not just generic testimonials.
• Transparent, Written Fee Structure
  All fees—engagement, success, and any extras—should be explained upfront and in writing. Confirm the payment model (fixed fee, percentage, or tiered) and what’s included for each.
• Independence and No Conflicts of Interest
  Your agent should act solely for you, the buyer. Confirm they do not accept commissions or referral fees from selling agents, developers, or project marketers. Ask directly about any potential conflicts of interest.
• Negotiation Skills and Real Market Knowledge
  Choose someone who can clearly explain recent negotiation wins, auction strategies, and how they’ve added value for clients. Strong local networks and up-to-date market insights are essential.
• Clear, Calm Communication
  You should feel heard and respected at every step. Look for an agent who explains each stage in plain English, answers questions directly, and never rushes or pressures you.

Red Flags to Watch For

• No industry accreditation or professional memberships
  
  • (Check Membership with the REIV)
• Unclear licensing or limited experience in your target area
  • (Check licensing with Consumer Affairs Victoria)
• Vague, verbal-only answers about fees or inclusions
• Pressure to sign quickly or reluctance to provide written agreements
• Any financial ties to sellers, developers, or referral partners
• No recent client reviews

Practical Tips

• Ask for a sample agreement and fee schedule before you commit.
• Request references or recent client reviews - a reputable agent will be happy to share them.
• Clarify the payment process: When are fees due? Are any non-refundable? What happens if you don’t buy?
• Take your time. The right agent will welcome your questions and support your decision-making process.

Choosing a buyer’s agent should leave you feeling empowered, not pressured. A trustworthy agent will be transparent about their experience, fees, and process—helping you move forward with clarity and confidence.

FAQ: buyers agent fees and value

Are buyers agent fees tax-deductible?

• For owner-occupiers, buyers agent fees are usually not deductible.
• For investors, fees may form part of the acquisition cost base for CGT purposes, or be deductible under certain conditions. Always speak to your accountant before making assumptions.

When are buyers agent fees payable?

• Typically: a smaller engagement fee upfront and the remainder on unconditional contract. Partial services (like auction bidding) are paid on completion.

Can I negotiate the fee?

• Often, yes. It is reasonable to ask. Any agreed change should be confirmed in writing.

Do all buyers agents charge the same across Australia?

• No. Commission rates and fee levels vary by state, city, micro-market, service depth and property price. Melbourne sits around the national average on percentage terms but, because property prices are higher than many markets, the dollar amounts can still be significant.

Key takeaways

• Buyers agent fees in Melbourne are usually charged as fixed fees, percentage-based commissions, or partial flat-fee services.
• Victoria’s average commission rate is around 2.18%, with Melbourne’s competitive metro market often seeing rates toward the lower end of the range.
• Different states and territories have different typical commission rates, influenced by property prices, competition and service depth.
• The real question is not just “What does it cost?” but “What value do I receive – in better property selection, stronger negotiation, lower risk and long-term returns?”

Understanding both the regional differences and the value and benefits of using a buyers agent will help you decide whether engaging one in Melbourne is the right move for you.

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