Selling guide · 4 min read · Checked 21 October 2026

How Much Does It Cost to Sell a House in Victoria?

In short

Budget roughly 2% to 4% of the sale price. On a $1.2 million Melbourne home that is about $27,000 to $45,000: agent commission (roughly 1.6% to 2.5%), marketing ($6,500 to $12,000), conveyancing, a mortgage discharge fee, and any repairs or styling. Investors should also plan for capital gains tax, and every seller needs an ATO clearance certificate before settlement.

Use the property selling cost calculator

A worked example

Here is what selling a $1.2 million home in Melbourne’s east typically costs. Your figures will depend on the agent, the campaign and your loan.

Selling a $1.2 million home
Agent commission (1.6% to 2.5%)	$19,200 to $30,000
Marketing campaign	$6,500 to $12,000
Conveyancing, including the Section 32	About $900 to $2,300
Mortgage discharge	About $160 to $350, plus a small registration fee
Repairs, cleaning and styling	Varies; styling a family home is often $3,500 to $8,000
Typical total, before styling	About $27,000 to $45,000

Agent commission

Commission is negotiable. In Victoria it must be written into the sales authority before you sign. If it is a percentage, the authority must also show it in dollars, with GST shown separately. There is no cooling-off period once you sign an authority, so read it first.

Compare agents on what you will net, not on the fee alone. A lower fee is no saving if the campaign or the negotiation is weaker.

Marketing

Marketing costs are negotiable and must also be recorded in the sales authority. Sellers usually pay them, and they are often owed whether or not the home sells. Portal listings are the biggest single cost: in one 2025 Melbourne example, $3,289 of a $5,880 marketing bill was the realestate.com.au listing.

Ask for marketing itemised at cost. Any rebates an agent receives from suppliers must be passed on to you. Ask whether you can pay at settlement rather than upfront.

Legal and loan costs

Conveyancing: your conveyancer or solicitor prepares the vendor statement (Section 32) and contract, and handles settlement. Quotes for sellers commonly run from about $880 to $2,275, with most around $1,000.
Mortgage discharge: lenders charge a fee to release your mortgage, from about $160 to $350 at the big four banks, plus a small Land Services Victoria registration fee.
Fixed-rate loans: breaking a fixed loan early can cost far more than the discharge fee. Ask your lender for a break-cost estimate before you list.

Tax

Your home: capital gains tax usually does not apply to your main residence.
Investment property: capital gains tax applies to the gain. Today, individuals who have held a property for at least 12 months generally get a 50% discount. Under federal law passed in June 2026, gains that accrue from 1 July 2027 are taxed differently, with indexation replacing the discount and a 30% minimum rate. Ask your accountant to estimate your tax before you sign.
ATO clearance certificate: since 1 January 2025, every Australian-resident seller needs one by settlement, whatever the price. Without it the buyer must withhold 15% of the price and pay it to the ATO. Apply early: it can take up to 28 days and lasts 12 months.
Land tax: for contracts since 1 January 2024, you generally cannot pass land tax on to the buyer through settlement adjustments, unless the property is worth more than $10.7 million.

Settlement adjustments

Council rates, water charges and owners corporation fees are shared between you and the buyer from the settlement date. If you have paid ahead, you are reimbursed. If you are behind, it comes out of your proceeds.

How to keep costs down

Get every agent’s fee, marketing budget and price evidence in writing, and compare them side by side.
Ask for marketing at cost, payable at settlement.
Spend on cheap, visible fixes rather than renovations.
Talk to your accountant and lender before you list, not after you sign.
Order your ATO clearance certificate as soon as you decide to sell.

Questions

What people ask us

What is a normal commission in Melbourne?

Roughly 1.6% to 2.5% of the sale price, with around 2% common. It is negotiable, and it must be shown in the sales authority in dollars before you sign.

Do I pay marketing if my home does not sell?

Often yes. Marketing is usually the seller’s cost regardless of the result, so check your sales authority and ask whether it can be paid at settlement.

Do I pay stamp duty when I sell?

No. Stamp duty (land transfer duty) is paid by the buyer.

Do I need a clearance certificate if I live in Australia?

Yes. Since 1 January 2025, Australian-resident sellers of any property need an ATO clearance certificate by settlement, or the buyer must withhold 15% of the price.

Do I pay capital gains tax on my home?

Usually not if it has been your main residence the whole time you owned it. Investment properties and homes used to earn income can be different, so ask your accountant.

Sources

Written by Luke Fornieri, licensed estate agent, Fornieri & Azar, East and South East Melbourne. Checked 21 October 2026. General information only, not legal, tax or financial advice. Grants, duty and rules change, so check the sources or ask us about your situation.