Selling a house can be an exciting yet complex process, especially when it comes to understanding the associated costs. Whether you’re upgrading, downsizing, or simply moving on, it’s essential to plan and budget for the expenses involved in selling a property. If you’re in Adelaide, the costs can vary depending on the value of your home, the method of sale, and the professionals you engage to facilitate the process.
This guide will break down the various costs involved in selling your house in Adelaide so you can be better prepared to achieve a smooth and financially sound sale.
1. Real Estate Agent Fees
Hiring a real estate agent is a common choice for many sellers. Agents bring experience, negotiation skills, and marketing strategies to ensure you get the best price for your home. It’s important to note that their services come with a cost.
Commission Rates: Real estate agents in the Adelaide region generally charge commissions ranging from 1.5% to 3% of the property’s total selling price. The rate can vary depending on the agent, your property’s location, and the services included. For instance:
- On a $600,000 property, a 2% commission would equal $12,000.
- On an $800,000 property, a 2.5% commission would equal $20,000.
Fixed Fees vs. Percentage-Based Fees: Some agents offer fixed fees, where you pay a predetermined amount regardless of your property’s final sale price. This option can provide certainty around costs but may not incentivise the agent to achieve the highest sale price.
Before choosing an agent, ensure you understand the commission structure and any additional marketing or administrative costs they may charge.
2. Marketing and Advertising Costs
To attract potential buyers, your property needs to stand out in the crowded Adelaide real estate market. Effective marketing is crucial and typically includes a mix of both digital and traditional channels.
Marketing Costs Breakdown
- Professional photography: $300 – $1,000
- Online listings on real estate websites like Realestate.com.au or Domain: $200 – $1,500
- Print advertising (brochures, flyers, newspapers): $500 – $3,000
- Signboards for the property: $200 – $500
- Videography or virtual tours: $500 – $2,000
Total Marketing Costs: On average, sellers in Adelaide spend between $1,000 and $5,000 on marketing, depending on the strategy and platforms used. Some real estate agents include marketing as part of their fees, while others may charge extra, so be sure to clarify upfront.
3. Conveyancing and Legal Fees
Conveyancing involves the legal procedures involved in transferring property ownership from a seller to a buyer. Hiring a conveyancer or solicitor ensures all legal documents are in order, contracts are reviewed, and settlement occurs smoothly.
Cost of Conveyancing: In Adelaide, conveyancing fees typically range from $800 to $2,000, depending on the complexity of the transaction. Costs may be higher for properties with unique circumstances, such as subdivisions or boundary issues.
It’s important to hire a qualified and experienced conveyancer to avoid costly delays or legal issues.
4. Property Styling and Presentation Costs
First impressions count, and presenting your home in its best possible light can significantly influence buyers’ perceptions and the final sale price.
Home Styling Costs
- Full property styling (furniture, decor, and layout): $2,000 – $6,000, depending on the size of your home.
- Partial styling (focusing on key rooms): $1,000 – $3,000.
- Decluttering and cleaning: Professional cleaners typically charge $200 – $1,000 for a deep clean.
- Minor repairs or renovations: Budget $500 – $5,000 for basic fixes like painting, landscaping, or replacing fixtures.
While property styling is an additional cost, it can help you sell faster and potentially add tens of thousands to your final sale price.
5. Auction Fees (If Applicable)
If you decide to sell your house at auction, there will be additional costs involved. Auctions are popular in Adelaide for their ability to create urgency among buyers and achieve competitive offers.
Costs of Selling at Auction
- Auctioneer fee: $400 – $1,000.
- Additional marketing campaigns: Auctions often require heightened marketing efforts, adding $1,000 – $3,000 to your budget.
Your real estate agent will guide you on whether an auction is the right choice for your property and its location.
6. Lender and Mortgage Costs
If you have a mortgage on your property, you may face additional fees when selling.
Common Mortgage-Related Fees
- Discharge fee: Lenders typically charge between $200 and $1,000 to discharge your mortgage.
- Break fees: If you have a fixed-term mortgage and sell before the term ends, you could incur substantial break costs. These vary based on your loan amount and interest rates.
Speak to your lender before beginning the process to understand any fees associated with paying off your mortgage.
7. Capital Gains Tax (CGT)
If the house you’re selling is your primary residence, you are generally exempt from Capital Gains Tax in Australia. However, if the property was an investment or rental property, you may be liable to pay CGT on the profit from the sale.
How CGT is Calculated: CGT is based on the difference between your purchase price (including expenses) and the sale price, adjusted for inflation. The rate depends on your income tax bracket and how long you’ve held the property.
It’s best to consult a tax professional to understand your CGT obligations and any exemptions or discounts you may qualify for.
8. Moving Costs
Don’t forget to budget for the cost of physically moving your belongings out of the house. Moving costs vary depending on the distance, amount of furniture, and services you require.
Average Moving Costs
- Local moves within Adelaide: $500 – $2,000.
- Long-distance moves: $2,000 – $5,000+.
To save money, you could opt for DIY options like hiring a truck or packing yourself, but professional removalists provide efficiency and peace of mind.
Final Cost Breakdown Example
Below is a table summarising the typical costs of selling a $700,000 property in Adelaide:
| Expense | Estimated Cost |
| Real estate agent commission | $14,000 (2%) |
| Marketing costs | $3,000 |
| Conveyancing fees | $1,500 |
| Property styling | $3,000 |
| Auctioneer fee | $800 |
| Mortgage discharge fee | $500 |
| Moving costs | $1,500 |
| Total Estimated Costs | $24,300 |
Key Takeaway
Selling a house in Adelaide SA involves various costs that can add up quickly. From real estate commissions and marketing expenses to legal fees and mortgage discharge costs, understanding each element will help you avoid surprises and budget effectively.
By planning ahead, choosing the right professionals, and presenting your home well, you can maximise your sale price while managing your expenses.
If you’re considering selling your house, working with a reputable real estate agent can make the process smoother and more profitable. Liz Miles Real Estate Agent in Adelaide, is a trusted name in the industry, offering tailored strategies to meet your needs. With deep local knowledge and a commitment to achieving the best results for clients, Liz Miles can guide you every step of the way. Contact Liz Miles today to get started on your property journey.