Property Selling Cost Calculator

Property Selling Cost Calculator

So, you’re looking to sell your current property to purchase your ideal Australian home. That could be because you’re either cashing in on an investment property or moving to your permanent residence. 

What are the expenses associated with selling property in Australia? 

First, review the terms of your home loan. If you have a fixed-interest rate loan, you might incur an exit fee if you sell your home before the end of the fixed-term agreement.

There should be no exit fees if you have a variable interest rate loan. Your real estate agent can offer a complimentary appraisal. However, a valuation is still required if you list your property.

Next, consider your real estate agent’s fees and allocate that to your budget. These fees usually amount to approximately 3% of the property’s sale price and an additional 1% for marketing costs. These costs can add up significantly, especially if you secure a high price for your home!

Use the Property Selling Cost Calculator by Odin Tax to calculate the total costs involved in selling a property in Australia.

How can I sell my property in Australia?

To successfully sell your home in Australia, you will have to engage the services of a real estate agent. The standard commission fee charged by real estate agents in Australia ranges from 2% to 3%. They calculate the cost as a percentage of your home’s sale price

For example, if your home sells for $500,000, you might have to pay up to $15,000 in real estate commission fees. That is a significant amount! 

Furthermore, you may also incur marketing expenses, usually around 1% of the sale price. In this case, with a $500,000 property, you would have to pay an additional $5,000 for marketing.

How can I get the best price for my property in Australia?

Your property must be in good condition and appealing to potential buyers so that you get the most out of your Australian home sale. To attain the best price, give your home a fresh look with a new coat of paint, and make sure you finish any necessary repairs. Decluttering and maintaining an attractive exterior can also help. 

If you’re able, renovating the kitchen or bathroom can significantly increase the property value, potentially by tens of thousands of dollars, and quickly attract offers from home buyers.

What costs are involved in selling a property in Australia?

When selling your Australian property, there are several expenses to keep in mind. To ensure you know all the costs involved, refer to our comprehensive checklist below:

  • Real estate and marketing fees: When selling your property, you can expect to pay a combination of real estate agent fees (up to 3%) and marketing costs (up to 1%).
  • Lender exit fees: If you have a fixed-rate home loan, you may have to pay exit fees called break costs. Before selling your home, you can avoid exit fees by switching to a variable-rate home loan.
  • Capital gains tax (CGT): You may be subject to CGT when selling an investment property in Australia. However, CGT can be waived if you’re selling a primary residence.
  • Transfer fees: Transferring the certificate of title when the sale is finalised can cost a few hundred dollars and is also known as transfer fees.
  • Conveyancing fees: Hiring a solicitor or conveyancer is advisable to ensure a smooth and error-free sale. The costs can range from $1,000 to $2,000.
  • Moving costs: Consider expenses for packing, storage, removal and unpacking services when selling a home. We recommend you do as much of the moving process on your own as possible to save money.

It’s essential to determine the cost of these expenses and whether you are responsible for paying them.

How can I calculate my property selling costs?

Using Odin Tax’s Property Selling Cost Calculator, you can estimate the expenses involved in selling your property in Australia. To utilise the calculator, provide the expected sale price of your property and the commission rate of your real estate agent. 

Then, input your agent’s advertising and auction expenses and additional fees, such as conveyancing costs. The calculator will generate an estimated total of your selling costs, allowing you to plan and budget accordingly.

If you are buying property, calculate the expenses involved in buying your dream home in Australia using our Property Buying Cost Calculator.

What can I do if my home does not sell?

If selling your property is not an option, consider refinancing your home loan with Odin Tax. By doing so, you can secure a lower interest rate and reduce your monthly payments.

Moreover, you can utilise the equity in your property by incorporating a lump sum into your refinanced home loan. That can provide you with the funds needed for a down payment on a new property or other investments.

Refinancing your home loan through Odin Tax can help you save money by allowing you to keep your property and access extra cash while lowering your monthly payments.

Frequently asked questions

Selling your home without the help of a real estate agent is possible. While this option might save you money on real estate fees, you may miss out on reaching a wider pool of potential buyers. 

Real estate agents have the expertise and marketing tools to attract potential homebuyers and make your home more appealing. 

However, if you’re confident, you can advertise your home by putting up a “For Sale” sign or marketing it privately. If you find the right buyer, you could save thousands of dollars in real estate agent fees!

Utilise the Property Selling Cost Calculator from Odin Tax to calculate the total expenses of selling your property in Australia. 

These costs will encompass exit fees, moving expenses, and applicable goods and services tax. Additionally, you will be required to pay a commission to your real estate agent based on your home’s final sale price. That could either be a fixed fee or a percentage ranging from 2% to 3% of the sale price. 

Finally, remember to factor in settlement costs, legal fees, and any penalties for breaking a fixed-rate home loan early.

Odin Tax provides home loan services to Australian Expatriates and foreign nationals. Utilise our Borrowing Power Calculator to determine the maximum amount you can borrow for a home loan purchase. Boost your borrowing potential by increasing your income and reducing your expenses. You can also calculate the amount of stamp duty fees you will incur using our Stamp Duty Calculator. Make sure the terms of your home loan are feasible and affordable for you. If you make a down payment of less than 20%, you may need to pay the lender’s mortgage insurance due to the higher perceived risk. This extra monthly cost covers the lender’s interests.  However, meeting specific lending criteria is necessary to secure a home loan approval. Having a good credit score is also essential for Expats in Australia.  Reach out to Odin Tax to explore a variety of competitive home loan interest rates.

When selling real estate, having a robust online presence is crucial. Most prospective homebuyers will conduct their initial searches online before physically visiting properties. 

By handling the marketing and promotion of your property independently, you can save a significant amount of money on real estate fees. You can then use that money as a larger down payment towards your new home loan.

As an Australian citizen or permanent resident, you may be eligible for government grants when purchasing a property. 

For instance, first-time home buyers can receive the First Home Buyers Grant, approximately $10,000, to be used towards their property purchase with the requirement to occupy the property. 

The Home Loan Guarantee Scheme is also available for eligible Australian citizens, allowing for a low deposit of 5% for first-time home buyers purchasing a new home or 2% for single parents, with the requirement to reside on the property. 

However, foreign nationals and Expat investors are not eligible for such incentives.

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