Estate agent fees: what's normal and how to pay less

Most high-street estate agents in England and Wales charge a percentage of your final sale price, and you pay when the sale goes through. Which? says fees range from under 1% to as much as 3.5%, with recent averages of about 1.3% to 1.4%. VAT at 20% is added on top. Online agents usually charge a fixed fee instead, often paid upfront.

What you actually pay depends as much on the contract you sign as on the headline rate. This guide explains how fees work, what the law says agents must tell you, the clauses to avoid and how to negotiate.

How much do estate agents charge?

Type of agent or contract	Typical fee	When you pay
High street, sole agency	1% to 2% of the sale price (Which?)	On completion, if they sell it
High street, multi-agency	2% to 3.5% (Which?)	Only the agent who sells is paid
Online or hybrid agent	Fixed fee of £300 to £1,500 (Which?)	Often upfront, sold or not
Average across sellers	About 1.3% including VAT (2025) or 1.42% (November 2025 quotes)

Which? reports the average estate agent bill in England at £4,615, using quote data from November 2025. Fees vary from area to area, and Which? says you can usually negotiate a better deal on a sole agency contract or a higher-value home.

Do estate agent fees include VAT?

They should. Estate agents charge VAT at 20% on their fee, and Which? says The Property Ombudsman's rules have required quotes to include VAT since October 2016. Some adverts still say "plus VAT", so always check.

Here's what different rates cost once VAT is included:

Sale price	1% plus VAT	1.5% plus VAT	2% plus VAT
£150,000	£1,800	£2,700	£3,600
£250,000	£3,000	£4,500	£6,000
£350,000	£4,200	£6,300	£8,400

Our estate agent fee calculator works this out for your own price and rate.

Percentage or fixed fee?

A percentage fee rises with the sale price, which gives the agent a reason to push for a higher price. You normally pay nothing unless the sale completes.

A fixed fee, common with online agents, is the same whatever the price. Which? says online agents typically charge £300 to £1,500 and you'll often pay upfront even if your home doesn't sell. Some let you pay later for a higher price, and Which? warns that deferred payment may mean signing a credit agreement. Viewings are often left to you, with accompanied viewings costing around £300 extra.

What should the fee cover?

GOV.UK advises checking your contract for what the fee covers, not just how much it is. Two quotes with the same percentage can include very different services. Before you sign, ask whether the fee includes:

• photos, a floor plan and listings on the main property websites
• a "for sale" board (Which? says some online agents charge extra)
• arranging your Energy Performance Certificate, and whether that costs extra
• accompanied viewings, or whether you'll show buyers round yourself
• negotiating offers and checking that buyers can afford to proceed
• chasing solicitors and the chain between offer and completion

If something you need isn't included, ask what it costs and add it to the total before you compare agents. A cheaper fee isn't a saving if you end up paying for extras, or doing the work yourself.

Sole agency, multi-agency and sole selling rights

These terms have legal definitions, and an agent must explain them if they're in your contract.

• Sole agency. One agent markets your home. You pay them if contracts are exchanged with a buyer they introduced, or one introduced by another agent, during the sole agency period.
• Multi-agency. Several agents market your home, and only the one who finds the buyer is paid. Which? says fees are higher, usually 2% to 3.5%.
• Sole selling rights. You pay the agent if contracts are exchanged during the agreement, even if you find the buyer yourself. Which? doesn't recommend signing these.
• Ready, willing and able purchaser. You owe the fee if the agent finds a buyer who is prepared and able to exchange contracts, even if you then pull out. Which? says not to sign a contract with this clause.

Tie-ins, notice and withdrawal fees

Most contracts tie you in for a minimum period. Which? says the shortest you'll usually get is six weeks and suggests avoiding anything over eight, with a notice period that's often two weeks.

If you switch agents during the tie-in, you may still owe the first agent. GOV.UK warns that if you use more than one agent, you may have to pay more than one fee when the home sells. That can also happen later: if a buyer the first agent introduced ends up buying through a second agent, the first may still be owed commission. Check the contract for any withdrawal fee or marketing costs you'd pay if you take the home off the market.

What the law says agents must tell you

Under the Estate Agents Act 1979, before you sign, an agent must tell you when you'll have to pay them, how much (or how it's worked out) and any other charges, such as withdrawal fees. This must be done before you're committed to paying anything. If they don't, they can't enforce the contract without a court order, and a court can reduce or cancel what you owe.

Agents must also:

• Pass on every offer for your home up to exchange of contracts, GOV.UK says.
• Tell you about payments they get for recommending other services, such as a solicitor or mortgage broker. You don't have to use the firm they recommend.
• Belong to an approved redress scheme. GOV.UK lists two for estate agents: The Property Ombudsman and the Property Redress Scheme. That's where you take a complaint the agent hasn't resolved.

If you sign the contract at home or online rather than in the agent's office, consumer law normally gives you 14 days to cancel.

How to negotiate a lower fee

1. Get three valuations. Which? suggests inviting three local agents who've recently sold homes like yours.
2. Don't pick the highest valuation by default. Which? warns some agents overvalue to win business, and an overpriced home can sit unsold.
3. Compare the total in pounds, including VAT, not just the percentage.
4. Offer sole agency in return for a lower rate.
5. Ask for a tiered fee, where the agent earns a higher rate only above a target price.
6. Negotiate the terms too: a shorter tie-in, a two-week notice period, no withdrawal fee and no sole selling rights.
7. Get the final fee in writing before you agree to anything.

Selling without an estate agent

You can avoid agent fees altogether by selling privately or to a cash buyer. Our guide to selling without an estate agent covers what you'd need to do yourself.

Cash buying companies, including us, charge no fees or commission, and some pay the seller's legal fees. The trade-off is the price: cash buyers usually pay below market value, and the difference can be more than an agent's fee would have been. If your home is in good condition and you have time, an estate agent will usually get you more. A cash sale suits people who need speed or certainty, or whose home would be hard to sell on the open market. Our cash offer vs estate agent calculator shows which leaves you better off.