What is a real estate agent?

A real estate agent in Australia is a licensed professional who acts on behalf of property owners to sell or rent residential or commercial real estate. They are regulated under state and territory legislation, with licensing handled by fair trading or consumer affairs agencies, and must complete prescribed training and background checks before acting.

There are two main role categories. Licensed real estate agents (sometimes called licensees in charge or principals) hold the senior qualification and run the agency. Real estate salespersons (or registered representatives) work under the supervision of a licensed agent. Each role requires completion of the relevant Certificate IV in Real Estate Practice or Diploma of Property qualifications and registration with the state regulator. Each state also imposes ongoing continuing professional development requirements, typically 6 to 12 hours per year.

Sales agents represent the seller. They market the property, conduct open homes and private inspections, negotiate offers, and prepare contracts of sale. Most charge a commission of 1.5 to 3 per cent of the sale price, plus a marketing budget for advertising on realestate.com.au and Domain. Property managers represent the landlord during the tenancy. They market the property for rent, screen tenants, prepare rental agreements, collect rent, organise repairs, and conduct routine inspections. Property management fees usually range from 7 to 10 per cent of weekly rent plus letting fees and other charges.

Buyers' agents work for the buyer rather than the seller. They search for properties, research market values, negotiate purchases, and bid at auctions on the buyer's behalf. Buyers' agents typically charge a flat fee or a percentage of the purchase price (1 to 3 per cent). Conveyancers and solicitors handle the legal transfer of property title and are separate from the real estate agent. Complaints about agents (overcharging, misrepresentation, unauthorised dealings with trust accounts) can be lodged with the state fair trading or consumer affairs agency, with serious matters referred for prosecution. Trust account funds are protected by state-based fidelity funds against fraud.