Am I getting my money’s worth?
Estate agency fees can range from below 1% up to 3.5%, depending on the value of the property, and your location. TheAdvisory estimate the average is 1.18%+VAT, but a typical fee could be between 1% to 2%, so what exactly are you paying for?
The difference in fees does not usually represent a difference in the service you receive, so it is worth doing your homework before enlisting the help of an estate agent.
Compare different estate agents
We think it’s always important to compare fees on services when you move to get the best deal. That’s not only conveyancing and surveys, but estate agency fees too.
Unfortunately, there isn’t a clear comparison of estate agent fees across the UK. We think more transparency would make it easier for sellers to get a better deal.
However, for locations you can take a look at NetanAgent to compare fees.
What do estate agent fees cover?
The estate agent charges usually include the following services.
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Valuation - This involves researching the local market, looking at trends and past sales data. This then need formatting into a comprehensive report
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Floorplans, measurements, and photographs
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Write up on your property to entice potential buyers
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The installation of a for sale sign
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The organisation of viewings via telephone and online enquiries
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Cost of viewing
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Marketing the house on the internet
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Newspaper marketing
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Negotiation costs
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Other costs - estate agency office rental, fleet cars and general advertisement
High street estate agent prices
As mentioned earlier, estate agents can charge anywhere from below 1% up to 2.5%+VAT. Always ask whether the fee you’re quoted includes VAT or not. If it does not then the price will, of course, go up once VAT is added.
Be sure to work out the percentage on a flat rate fee – it may seem like a great deal, but for properties where the property is priced quite low, the fee may be quite a large percentage.
Estate agent fee calculation
According to Land Registry House price report published in April 2024, the average house price in the UK stood at £281,373.
Using a national average fee of 1%, the agency fee would be £2,813.73. Add on the VAT and the charges stand at £3376.48.
These prices only reflect high street estate agents, not online options.
Are online estate agents cheaper?
Often, online estate agents can be cheaper. They may offer a fixed fee, but it is important to be aware that you may end up doing a lot of the work yourself if you choose to use an online-only estate agent.
You might opt to use a hybrid agency that employ local property experts to handle parts of the process such as viewings and offer negotiations.
What about costs for the buyer?
Traditionally the buyer has a different set of costs to pay for, including Stamp Duty,
a surveyor’s fee and
legal fees. They do not pay estate agent fees.
Are there ways to avoid these fees?
There are ways that you can reduce the costs of estate agent fees. However, it is important not to compromise on the performance of your estate agent by finding the cheapest deal only.
Online estate agents
The cheapest way to sell your home in England and Wales is to use an
online estate agency, many of these sites offer a fixed fee package which means you know the cost of using the service from the outset.
The services offered by these sites differ, with some companies offering a comprehensive package whilst others simply enabling you to upload a listing.
Prices usually range between £300 up to £1500 but can be as low as £45.
No sale, no fee estate agents
Some estate agents may offer no sale, no fee agreements. This means that you only need to pay the estate agent fees once the sale has been completed.
When do I pay estate agent fees?
It is worth noting that it’s quite normal for the estate agent’s contract to state that agency fees are due on exchange of contracts, meaning that you would be liable for the fees even in circumstances when a buyer did not complete on the house purchase.
Many people don’t realise that estate agent fees are often negotiable, so be sure to ask what deal the estate agent can do for you.
Are estate agent fees different in Scotland?
In Scotland, most solicitors are also estate agents and will act in the marketing process as well as in the legal work when you are selling your home.
In England and Wales, the laws are slightly different, and a conveyancer will act separately to an estate agent. You can find out more about
conveyancing solicitors in Scotland with our useful guide.
If you think that your estate agent has made any unfair charges, take a look at our article
How To Complain About an Estate Agent.
Estate agent fees FAQs
Can you negotiate estate agents’ fees?
Yes, it is possible to negotiate estate agents' fees. Many estate agents are willing to be flexible with what they offer. However, it is important to prioritise the performance of your estate agent rather than the cheapest price.
Can I sell my house without an estate agent?
Although it is legal to sell your house without an estate agent, it is important to be aware of all the necessary steps you will need to take. The process is not always simple and can take up a lot of time.
Using an experienced estate agent can make the process easier and less stressful for you.
Do you have to pay estate agents if you pull out?
Yes, not only will you have to pay for the services provided to you so far, but some estate agents may also charge a withdrawal fee when you remove your property from the market.