Typical agent commission in Singapore is guided by industry benchmarks rather than fixed law: roughly 2% paid by the seller on a resale transaction (private resale sits between 1.5% and 2%), and around 1% for a buyer's agent where one is engaged directly. On new-launch purchases, the developer pays the agent, so buyers typically pay nothing. Rentals conventionally run at 0.5 to 1 month's rent, depending on lease length and who instructs the agent.
These figures are market conventions, not statutory rates, so every number is negotiable and subject to 9% GST if the agency is GST-registered. Before any marketing begins, confirm the agent's registration and get the commission written into the CEA-prescribed Estate Agency Agreement.
- HDB resale seller: approximately 2%
- Private resale seller: 1.5% to 2%
- Buyer's agent (if paid directly): approximately 1%
- New launch: developer pays, buyer pays nothing
- Rental: 0.5 to 1 month's rent
Key Takeaways
Agent commission in Singapore follows negotiable market conventions, not fixed law, so verifying registration and recording terms in writing matters more than memorising a percentage.
| Point | Details |
|---|---|
| Rates are conventions, not law | HDB resale sellers pay ≈2%, private sellers 1.5% to 2%, buyer agents ≈1%, all negotiable. |
| New launches shift the cost | Developers pay the agent commission on new launches, so buyers typically pay nothing. |
| GST can add materially | Confirm whether the agency is GST-registered, since 9% on a large commission adds thousands. |
| Put it in writing | Record percentage, GST treatment, exclusivity, and payment trigger in the CEA-prescribed Estate Agency Agreement. |
| Check net proceeds, not just rate | Use a tool like Haio to run an instant valuation and net-proceeds calculation before comparing agent quotes. |
Table of Contents
- Typical agent commission rates in Singapore by transaction type
- Who pays: resale, new launch and rental, and how co-broking works
- Does commission include GST, and what else affects the total?
- How to calculate agent commission: worked examples
- How to negotiate commission and lock the terms in writing
- Verify the agent before you sign anything
- Common commission mistakes and how disputes get resolved
- Judging commission against your actual net proceeds
- Why transparency on commission matters more than the percentage
- Estimate your net proceeds before you agree a rate
- Frequently asked questions
- Sources
Typical agent commission rates in Singapore by transaction type
Commission structure Singapore wide follows a handful of recognisable patterns, but the exact percentage still depends on what you're buying, selling, or renting.
Where two agents are involved (one representing the seller, one the buyer), that 2% is often split roughly evenly, commonly 1% to each side under a co-broke arrangement. Private resale property follows a similar logic but with slightly more room to move, typically 1.5% to 2% for the seller's agent, again shared with the buyer's agent under co-broking.
New-launch condominiums work differently. The developer pays the marketing agent's commission directly out of its sales budget, which is one reason buyers of new launches often pay no agent commission at all. This is worth understanding early: many first-time buyers assume every transaction carries a personal fee, when in fact new-launch buyers are usually the exception.
Across resale transactions, the CEA notes that HDB resale sellers conventionally pay around 2%, and private resale sellers 1.5% to 2%, with buyer's agents commonly charging 1% when engaged and paid directly.
Rentals carry their own conventions. A whole-unit HDB or private residential lease typically attracts a fee of half a month's rent to one month's rent, usually paid by whichever party engaged the agent (often the landlord for HDB rentals, and either party for private lets depending on local practice). Room rentals tend to sit at the lower end, sometimes a flat fee rather than a percentage of rent.
- HDB resale: seller pays ≈2%, often split 1%/1% under co-broking
- Private resale: seller pays 1.5% to 2%, similarly split
- New launch: developer pays, buyer pays nothing
- Rental: 0.5 to 1 month's rent, payer varies by lease type
Who pays: resale, new launch and rental, and how co-broking works
In most resale transactions, the seller has traditionally paid the full commission, which then gets divided between the seller's agent and the buyer's agent through co-broking. That said, SIEA's Best Practice Guide has been pushing a different model: each party pays the agent who represents them, so the buyer's agent bills the buyer and the seller's agent bills the seller. This reduces the conflict of interest that arises when one agent effectively answers to whoever is paying, even if they're meant to represent the other side.
Co-broking simply means two separate agents, from potentially two different agencies, work the same deal on opposite sides. The SEAA's FAQ on co-broking confirms that co-broking itself is compulsory practice in many transactions, but how the commission gets split between the two agencies is entirely contractual, agreed case by case rather than fixed by rule.
That leaves three common outcomes for a buyer:
- Buyer pays nothing, because the seller's 2% is split with the buyer's agent under co-broking.
- Buyer pays their own agent directly (commonly around 1%), following the SIEA-recommended client-pays model.
- Buyer pays a negotiated fee that sits somewhere between those two, depending on what the agency agreed with the seller's side.
Uptake of the client-pays model has been gradual. The Straits Times has reported tepid take-up of the newer guidelines, so don't assume your transaction will automatically follow best practice. Ask directly which model your agent is using before you sign anything.
Does commission include GST, and what else affects the total?
Whether GST applies depends entirely on the agency's registration status. If it isn't, no GST applies. Never assume either way. Confirm this in writing before signing, because on a seven-figure property, GST can add thousands to the final bill.
Commission is rarely the only cost in a transaction. Budget for these as well:
- Conveyancing or legal fees for the sale and purchase agreement
- Buyer's Stamp Duty and, where applicable, Additional Buyer's Stamp Duty
- Valuation fees, particularly if a bank requires an independent valuation for financing
- Marketing costs or abortive fees, if the Estate Agency Agreement specifies them for a withdrawn listing
Pro Tip: Ask your agent for a sample final invoice, showing the base commission and the GST line separately, before you sign the Estate Agency Agreement. It takes two minutes and removes any ambiguity later.
How to calculate agent commission: worked examples
The formula behind every commission calculation is the same: sale price multiplied by the agreed rate, plus GST if the agency is registered for it.
- S$1.3 million resale flat at 2%: base commission is S$1,300,000 × 2% = S$26,000. Add 9% GST on that fee: S$26,000 × 9% = S$2,340. Total payable: S$28,340.
- S$300,000 resale unit at 2%: base commission is S$300,000 × 2% = S$6,000. GST adds S$540. Total payable: S$6,540.
- Rental at one month's rent: on a S$3,000 monthly rent, one month's commission is S$3,000. With GST at 9%, that becomes S$3,270.
The proportional gap between the two resale examples is the point worth remembering: the rate stays constant, but the absolute sum swings from a few thousand dollars to tens of thousands depending on property value. Run your own numbers with sale price × rate, then add GST only if the agency is registered for it, and you'll have a figure close to what most agencies would quote.
How to negotiate commission and lock the terms in writing
Commission is a market rate, not a fixed tariff, so there's genuine room to negotiate, particularly on higher-value properties or multiple-unit instructions.
- Offer an exclusive listing period in exchange for a lower rate. Agents typically charge less when they aren't competing with three other agencies for the same sale.
- Commit to the agency's marketing plan (photography, listing placement, viewings schedule) rather than resisting it. Agents often reduce fees for cooperative, well-prepared sellers.
- If you're listing multiple units, such as several rental properties, ask for a blended rate across the portfolio.
Whatever you agree verbally, get it into the Estate Agency Agreement before marketing starts. The contract should specify:
- The exact percentage or fixed fee agreed
- Whether GST is included or added separately
- Exclusive versus non-exclusive listing term
- The payment trigger, for example on exercise of the Option to Purchase or on completion
- Any abortive fee clause if the deal falls through
Be wary of agents who resist putting numbers in writing, pressure you to sign on the spot, or stay vague about GST treatment. Those are the moments where disputes start.
Verify the agent before you sign anything
Every property agent operating in Singapore must be registered with the Council for Estate Agencies, and checking that registration takes under a minute on CEA's public register.
- Search the agent's name or registration number on the CEA public register to confirm they're currently licensed and check for any disciplinary history.
- Ask the agency directly whether it's GST-registered, since this changes your total cost materially.
- Pay the agency, never the individual agent personally, and only at the payment trigger stated in your signed agreement.
One rule worth knowing well: dual representation, where a single agent represents both buyer and seller and collects commission from both, is prohibited. An agent can help the other side with paperwork, but cannot be paid by both parties in the same deal. If an agent suggests otherwise, that's a clear red flag.
- Check the CEA public register before engaging any agent
- Confirm GST registration status in writing
- Pay the agency, not the individual, at the agreed trigger point
- Refuse any arrangement where one agent claims to represent, and bill, both sides
Common commission mistakes and how disputes get resolved
Most commission disputes trace back to the same handful of avoidable errors.
- Not signing the Estate Agency Agreement, and relying instead on a verbal understanding of the rate
- Failing to confirm GST status upfront, then disputing the final invoice
- Assuming commission rates are fixed by law, when they are market convention and fully negotiable
- Trusting verbal promises about exclusivity, marketing spend, or fee waivers with nothing in writing
If a disagreement does arise, raise it with the agency first. Many issues are resolved once both sides compare the signed agreement against the invoice. Where that fails, CEA's guidance and prescribed forms are the reference point for what should have been agreed, and the SEAA's best-practice FAQ points toward mediation or arbitration routes where co-broking commission splits are contested between agencies.
Keep your signed EAA, all invoices, and any written chat or email correspondence about fees. These are the documents that matter if a dispute reaches formal mediation.
Judging commission against your actual net proceeds
Run an instant valuation on haio, then subtract the expected commission, GST, and legal costs to see your actual net proceeds if you're selling, or true net cost if you're buying. That single comparison often matters more than the headline percentage.
Where this gets genuinely useful is when you're weighing two or three agent proposals.
Pro Tip: Save your net-proceeds calculation as a PDF or screenshot and bring it to the table when you negotiate the Estate Agency Agreement. It gives you a concrete figure to anchor the conversation, rather than negotiating percentage points in the abstract.
- Run a valuation before accepting any commission quote
- Subtract commission, GST, and legal costs to see the real outcome
- Compare multiple agent proposals against the same net-proceeds baseline
Why transparency on commission matters more than the percentage
Haio built its valuation and net-proceeds tools because too many sellers and buyers in Singapore focus on the headline rate and lose sight of the number that actually matters: what lands in your account, or what you actually pay, once every cost is accounted for. Verify every agent through CEA's register before you engage them. The rate is negotiable. Your net outcome shouldn't be a surprise.
Estimate your net proceeds before you agree a rate
There are other ways to work out whether a quoted commission is fair, from asking agent friends for a benchmark to trawling property forums for anecdotal rates. None of them show you your actual numbers. Haio gives you an instant property valuation and a net-proceeds calculator in the same place, so instead of negotiating a percentage in the abstract, you're negotiating against a real figure: what you'd walk away with after commission, GST, and legal costs, or what a purchase genuinely costs you once fees are included.
Haio's affordability checks and mortgage rate comparisons work off the same data, so buyers can stress-test a purchase price alongside the agent fee question rather than treating them separately. This article is published by Haio, and none of it replaces verifying your agent through CEA's own register. Run a free valuation on Haio before your next negotiation, and use the net-proceeds figure as your starting point at the table.
Frequently asked questions
Is agent commission fixed by law in Singapore? No. There's no statutory rate. Commission is a market convention agreed between the client and the agency, and it must be documented in the Estate Agency Agreement.
Who pays commission when buying a new launch condominium? The developer pays the agent's commission on new launches, which is why buyers typically pay nothing when purchasing directly from a developer's sales team.
Does commission always include GST? Not always. Confirm this in writing before you agree a rate, since it changes the total payable.
What happens if my agent and I disagree on the commission owed? Raise it with the agency first, referencing your signed Estate Agency Agreement and invoices. If unresolved, CEA guidance and SEAA's dispute routes, including mediation, are the next step.
Can one agent represent both the buyer and seller and collect commission from both? No. Dual representation with commission collected from both parties is prohibited. An agent may assist the other side with paperwork but cannot be paid by both sides in one transaction.
This article is general information, not a substitute for advice from a qualified financial advisor. Consult a qualified financial professional about your own circumstances before acting on anything here.
Sources
- What to take note of when engaging a property agent | Council for Estate Agencies
- Gov
- Best Practice Guide for Co-broking Commission - Singapore Institute of Estate Agents
- Best Practice Guide for Co-Broking Commission - FAQ
- Tepid take-up of new guidelines on property agent commissions | The Straits Times