Buyers agents work for buyers. Selling agents work for vendors. Opposite jobs, opposite fees. Here’s how to pick the right one.
Pick the scenario that matches you. Each links straight to the right deep-dive.
Both are licensed. Both negotiate. But they work for opposite parties with opposite legal duties and different pay structures.
| Factor | Buyers Agent | Selling Agent |
|---|---|---|
| Who they work for | The buyer — legally bound to act in the buyer's best interests. | The vendor (seller) — legally bound to achieve the highest price for the seller. |
| Who pays them | The buyer pays directly. Fee is usually 50% upfront, 50% on settlement. | The vendor pays commission from sale proceeds at settlement. Marketing is billed separately. |
| Typical cost | 1.5–2.5% of purchase price, or a flat $10,000–$25,000. | 1.6–2.8% commission (varies by state), plus $5,000–$15,000 marketing. |
| Core value they add | Off-market access, purchase price negotiation, auction bidding, due diligence coordination. | Buyer database access, pricing strategy, marketing reach, multi-offer management, auction campaign management. |
| Licensing | Must hold a real estate agent licence in the state where they operate. Many are also REBAA members. | Must hold a real estate agent licence in the state where they operate. |
| Tax treatment | Investment purchases: fee is added to cost base, reducing CGT on eventual sale. | Sale of an investment property: commission reduces the capital gain. PPOR sale: generally CGT-exempt anyway. |
| When they're worth it | Competitive markets, interstate purchase, auctions, investment property, price > $800K. | Almost always — agent-sold properties typically achieve measurably higher prices than private sales, which more than covers the commission for most vendors. |
| Can one person do both? | Dual agency is heavily regulated — an agent can only act for both parties with written informed consent from both, and most reputable agents avoid it because of the inherent conflict of interest. | |
A buyers agent (sometimes called a buyers advocate) works exclusively for you as the buyer. In a system where every selling agent is trained to maximise the price, a buyers agent is the only person whose job is to keep that price down — and who has access to the data, relationships, and negotiation playbook to actually do it.
Highly competitive markets (Sydney, Melbourne inner ring), auction-heavy suburbs, interstate purchases, time-poor professionals, investment purchases above $800K, or any situation where you're unfamiliar with local comparable sales. The higher the purchase price and the hotter the market, the more valuable the fee becomes.
A selling agent (real estate agent) is legally bound to achieve the highest possible price for you as the vendor. Top-performing agents routinely achieve noticeably higher sale prices than average agents in the same suburb — widely-reported industry estimates put the difference in the mid-single-digit percent range, which on a $1 million property can translate to tens of thousands of dollars. Choosing well is one of the biggest financial decisions of the sale process.
Interview at least 3 agents. For each, ask: How many sales have you made in this suburb in the last 6 months? (answer: should be 5+); What was your average list-to-sale price ratio? (answer: ideally 100%+); Average days on market? (answer: should be at or below the suburb average); Show me 3 recent sold comparables you used to arrive at my price. Don't sign until all three have given you a written Comparative Market Analysis.
Two free calculators built using the same formulas professional agents use every day. Switch between buyer mode and seller mode.
Estimate the cost of a buyers agent and how much they need to save you on the purchase price to cover their own fee.
Typical fees: 1.5–2.5% of purchase price, or a flat $10,000–$25,000. Industry reports cite negotiation savings of 5–10% versus an unrepresented buyer.
Work out what you’ll actually walk away with after commission, marketing, mortgage payout and legal costs.
State averages: NSW 1.8–2.5%, VIC 1.6–2.2%, QLD 2.0–2.8%, WA 2.0–2.5%. Marketing is billed separately, typically $5,000–$15,000.
Indicative estimates only. Not financial advice. Individual results vary by market, property and negotiation.
A buyers agent works exclusively for the buyer — they find, research, and negotiate property purchases. A selling agent (also called a real estate agent or listing agent) works exclusively for the vendor (seller) — they market, price, and negotiate the sale. They have opposite legal duties and are paid by different parties.
Dual agency (one agent acting for both buyer and seller) is heavily regulated in Australia. State laws — including the NSW Property and Stock Agents Act 2002 and the VIC Estate Agents Act 1980 — require the agent to disclose the conflict and obtain written informed consent from both parties. In practice most reputable agents avoid it because they cannot simultaneously negotiate the lowest price for the buyer and the highest price for the seller — the interests are directly opposed.
Yes, if you are both selling your current home and buying a new one. You would engage a selling agent to sell your existing property, and optionally a buyers agent to help find and negotiate your next purchase. They handle different transactions on your behalf and don't interact with each other unless you buy from the same firm.
Typical fees are 1.5–2.5% of the purchase price or a flat fee of $10,000–$25,000. Most charge an engagement fee upfront ($2,000–$5,000) with the balance due on settlement. For investment properties the fee is capitalised into your cost base for CGT purposes rather than being immediately deductible.
Commissions vary by state: NSW 1.8–2.5%, VIC 1.6–2.2%, QLD 2.0–2.8%, WA 2.0–2.5%. Commission is negotiable and typically includes GST. Marketing costs (photography, premium listings, signage) are charged separately and typically run $5,000–$15,000 depending on the campaign.
It depends on your budget, market knowledge, and how competitive the market is. Buyers agents add the most value on purchases above $800,000, in competitive auction markets, when buying interstate, or when you are time-poor. For a straightforward suburban purchase you know well, the fee may not be justified — use the buyers agent calculator to check.
Compare at least 3 agents. Check recent sales in your suburb (last 6 months), list-to-sale price ratio, average days on market, online reviews, and their proposed marketing plan. Do not pick the agent who quotes the highest price — "overquoting to win the listing" then pressuring you to drop later is a textbook tactic. Ask for verified sales data.
Yes. The terms "buyers agent" and "buyers advocate" are used interchangeably in Australia. Both must hold a real estate agent licence in the state where they operate, and many belong to the Real Estate Buyers Agents Association (REBAA).
Sometimes — but be careful. Even if the two individuals are different people, when they're in the same firm there can still be a conflict of interest that undermines your negotiation position. If you are the buyer, your buyers agent should generally be from a completely independent firm from the selling agent.