Commission Explained

Real Estate Explained · Commission

That's the question worth answering honestly, because no doubt commission is one of the hardest conversations in real estate.

Commission is the percentage of the sale price an agent charges for selling your home. At RealWay, our commission is payable at settlement. There's no fixed industry rate, which is why the figure can look quite different from one agent to the next.

Here's a real life example

One of our agents was telling us about an appraisal not long ago. He was one of six agents through the same house, for the same seller, in the same week.

Every other agent in that room quoted a lower commission than he did. Rather than let the seller find that out later from a stack of proposals, he told them plainly, upfront, that his number was the highest of the six.

He wasn't saying he was better because he cost more. What he was effectively telling them was this: I'm the highest of the six. Here's what I charge. Here's how I work. Here's my evidence. You decide whether the difference represents value.

What matters isn't the number itself, but whether the agent can demonstrate the value behind it.

It's not about the biggest number, it's about the evidence

The best agent isn't necessarily the one who tells you the highest price or charges you the lowest fee. It's the one who can explain their advice, show you the evidence behind it, and keep giving you honest advice as the market responds.

That might mean adjusting a price recommendation a few weeks into a campaign, once buyer feedback tells a different story than the day the property was listed. That's not backtracking, it's responding to what the market is telling you.

Commission deserves the same level of scrutiny. An agent should be able to explain what they charge and why, without relying on the assumption that higher means better.

Why the number isn't always the same, even at RealWay

Even within our own four walls, our agents don't all quote the same commission. Every property, seller and campaign is different, and the fee should reflect the work and strategy involved.

Where that leaves you

If you're comparing agents, try taking commission out of the equation for a moment. If they all charged exactly the same, who would you choose?

Then put the fees back on the table and ask yourself whether the difference changes your decision.

That's a much more useful way to think about value than simply circling the lowest percentage.

Quick answers

Catch last week's Real Estate Explained post, Investor Services Explained, if you missed it.

Want to know the next steps?

As our Sales Director, Annette Neil can connect you with the right agent or investor services support from the start.

Talk to Annette

General information only and current as at August 2026. This isn't financial or legal advice. For advice specific to your situation, please speak with a qualified professional.