Real Estate Agent Commission
Let’s talk straight about commission – agents in Geelong want 1.5% to 2.5% of whatever your place sells for. Sell for $900,000? You’re looking at $13,500 to $22,500. That’s not pocket change. If an agent is dropping their commission below 1.5% to try and win your business, you’d have to ask yourself why? It’s the only way they can try and compete with professional agents / negotiators. How well can they negotiate for you’re highest possible property price when they can’t even justify to you why they’re worthy of a professional commission rate.
The cheapest agent often ends up costing you the most money! Call Nathan to find out why!
But here’s the thing – a good agent often gets you way more than their fee costs. We’ve seen properties sell for $30,000 or $40,000 above expectations because the agent knew exactly which buttons to push. They had the buyers confidence and respect in justifying why the property deserves another $30K. They negotiate strategically. Suddenly that $5K “cheaper” commission doesn’t sting when you’re banking $30,000 more on your sale price. You’re $25,000 better off as well as receiving the highest quality service and in a timely manner.
Marketing Your Property
Marketing costs money – usually $3,500 to $6,500 depending what you need. Professional photography run about $500 (and no, your mate with the new iPhone won’t cut it). Getting proper premium exposure on realestate.com.au and domain.com.au costs approx $3,000 on it’s own.
Some places benefit from drone shots or video tours. Your agent should know what actually moves the needle for your type of property. No point paying for glossy print media when digital/social media is the world we live in and at a fraction of the price. Don’t be cheap on quality marketing either – cutting $300 here or $600 there could be leaving $15 -20K on the table if that marketing helped generate another 1 or 2 competitive buyers.
Legal and Conveyancing Fees
You need a conveyancer or solicitor to handle the paperwork. They charge $1000 to $2,000 depending how complicated things get. They write up contracts, deal with the buyer’s lawyer, make sure settlement actually happens.
Sure, you can find cheaper ones online. But local conveyancers know which councils take forever, which banks are painful, where the problems hide. Ask your agent who they recommend – they see who performs and who causes dramas every week.
Preparation and Styling Costs
Getting your place ready might cost a few hundred bucks – professional clean, tidy the garden, fix obvious problems. Full styling with hired furniture? That’s $3,000 to $7,000 depending on size.
Not every house needs the full treatment. Sometimes just clearing out clutter and throwing on some paint does more than fancy furniture ever could. Your agent should tell you honestly what’s worth doing. Seen too many people waste thousands on styling that added nothing to their price.
Hidden Costs to Consider
Always more expenses than you think. Building and pest inspections if you get them upfront – $500. Bank wants $300-500 to discharge your mortgage. Moving truck. Mail redirection. Finally clearing that shed you’ve ignored for years.
Selling one place to buy another? Gets messy. Might need bridging finance. Somewhere to crash between settlements. Got a pool? Need a compliance certificate. Recent renovations? More certificates. It adds up fast.
The Bottom Line on Selling Costs
All up, put aside 3% of your expected sale price. Selling for $900,000? Have $27,000 to ready for costs. Big money, I know.
But here’s what matters – spend it smart. Every dollar should be working to get you a better result. That’s where having agents at The Geelong Agency who know what they’re doing makes the difference. We’ve seen what works, success leaves clues!
