Buyers in Adelaide have been growing in confidence over the last year as South Australia’s property market is showing signs of improvement after a time of sluggish activity. Adelaide is slowly following in the wake of property hubs, Sydney and Melbourne, and though it won’t see the same massive growth spurts, investment opportunities are prime in the city of churches.
The median house sale price in Adelaide sat at $522,815 in December 2017; with an increasing 3.5% over last year. (Source: Domain Group House Price Report, December 2017). Affordability is the name of the game in this capital city’s emerging market, as low interest rates and lower house prices encourage investment.
What you need to know about real estate agent fees in Adelaide
In terms of capital cities, Adelaide has the lowest average commission rate at 1.93%, sitting above the state average of 1.98%. The average commission fee starts to increase in areas on the outskirts of Adelaide, for example, in One Tree Hill and Modbury Heights, where the commission rates range between1.76% to 2.8%. Generally, real estate agent fees tend to be lower in built-up urban areas with high population density and where there is stronger competition among agents, for example in Norwood or Rose Park, where commission rates don’t tend to reach above 2%.
Compared to Adelaide’s average, real estate agent fees increase slightly in the outer metro regions of Adelaide; for example the average commission rate sits at 1.99% in the coastal region of Salisbury.
Real estate agent fees are deregulated in South Australia, which means that agents can charge their own commission rates, but home sellers are also able to negotiate the fee before signing a contract. The best agents don’t necessarily charge the highest commission fee as there are many other factors to consider when choosing an agent that is right for you. Find out more about real estate agent fees and commissionsacross Australia.
What to consider when researching real estate agent fees in Adelaide
Agents that operate in Adelaide CBD are on average more likely to charge a lower real estate agent fee than agents that are based in Adelaide Hills or on the coast.
Adelaide is still an emerging market, which means that hiring a real estate agent that is best suited to selling your property is still important. Agents don’t need to be selected on the basis of fees alone; compare a number of agents on criteria like experience and knowledge of your local market.
Agent commission varies on a number of factors, including services provided. When comparing agents ask what is included in the agent fee, especially for services like marketing.
To determine the average commission by capital city, LocalAgentFinder took the average commission of all active agents in each city respectively on 21 March 2018. This included agents with tiered and fixed commission structures based on a $500,000 selling price.
This article was updated on 11th April 2018