Appointing a real estate agent
Many people use a real estate agent to sell their property. A real estate agent can:
- advise you on the price for your home
- find buyers
- negotiate the sale.
They're legally required to negotiate the best possible price for you.
Choosing an agent
Real estate agents must have a licence to work in Queensland. You can search the register to check if your real estate agent has a licence.
Speak with several real estate agents and ask them to inspect your property and provide you with a listing presentation before you choose to use them. They'll explain the state of the property market and develop a plan to market your home.
Setting your asking price
If the real estate agent suggests an asking price, they must do a comparative market analysis (CMA).
A CMA compares at least 3 properties that are:
- of similar standard or condition to your home
- sold within 5km of your property
- sold in the last 6 months.
If they can't find 3 properties that fit these criteria, they'll need to give you their market advice in writing and justify how they reached their opinion.
How to appoint a real estate agent
To appoint a real estate agent, complete the Appointment of a property agent, resident letting agent or property auctioneer form. Your real estate agent should be able to give you a copy.
The form sets out:
- how much commission the real estate agent will charge for their services
- any other costs they could incur on your behalf (e.g. advertising)
- when your payments to the agent are due
- what services the agent will provide and how.
Read the form thoroughly to make sure you’re happy with the arrangement.
Changes to the appointment form are coming
From 1 May 2024, 2 separate forms—for residential and commercial property appointments—will replace the current single appointment form. You’ll need to use the new forms for new appointments from that date. It won’t affect existing appointments.
Appointment timeframes
The appointment timeframes you can choose from include:
- a single appointment for a one-off service like selling your house
- a continuing appointment for several services—most commonly used for property management or if you have more than one property or businesses to sell.
Appointment types
You can choose from different appointment types, which will affect who can try to sell your property and who is entitled to a commission when your property sells. Your real estate agent must discuss these options with you before you sign the appointment form.
Open listing
In an open listing you can list your property with several different agents at the same time. You pay commission to the agent who sells your property only.
If you choose a sole or exclusive agency, the agent can continue as an open listing:
- after the sole or exclusive agency agreement has ended
- if you agree to this on the appointment form.
Exclusive agency
In an exclusive agency you have to pay the agent a commission when your property is sold, regardless of who actually sells it. If another agent sells it you could potentially pay 2 commissions.
Sole agency
In a sole agency you pay the agent a commission once your property is sold, unless you sell it yourself.
Cancelling an appointment
Either party—you or your agent—can cancel an open listing at any time by notifying the other party in writing.
For exclusive or sole agency appointments the maximum appointment term is 90 days. If you agree on a term of more than 60 days:
- either party can end the appointment
- the cancelling party must give a minimum of 30 days' written notice to cancel
- the appointment must remain in effect for at least 60 days.
Otherwise, the appointment ends at the end of the agreed contract term, which may be up to 90 days.
Resolving problems or disputes
If you have a dispute with your agent follow these 3 steps:
- Talk to the agent—Put your complaint in writing directly to the real estate agent. Explain the problem and what you want them to do to fix it. If they accept your complaint and fix the problem you don’t have to take the matter any further.
- Talk to the industry body—If your real estate agent rejects your complaint you can take it further. Contact the Real Estate Institute of Queensland (REIQ) for advice (if your agent is a member). If this fixes the problem you don’t have to take it any further.
- Make a formal complaint—If you still have no success, make a formal complaint with the Office of Fair Trading. You might also be able to claim compensation if you’ve suffered a financial loss.