by Neil King
20 February 2023 / 6 min read
Cost of selling a house in NSW 2023
In late 2022, the Australian housing market began to stabilise following a period of unprecedented home-buying activity fueled by historically low mortgage rates, now coming to an end. Despite an increase in homes for sale, the 2023 housing market in NSW may not necessarily favour buyers over sellers. Understanding the cost to sell a house in NSW, what spending is necessary to add the most value to your home and which expenses are unavoidable can help to guide a seller on how to enter the market most effectively.Find an agent
How much does it cost to sell a house in NSW?
When measuring the costs to sell your property, it’s essential to understand that there is more than one NSW property market. Different areas can see significant price variations, particularly between regional and metro suburbs. In general, if you’re calculating the cost of selling a house in NSW, you’ll need to consider these expenses:
Real estate commission:
On average, real estate agents in NSW charge between 1.8% and 2.5% in Sydney or 2.5% to 3.5% in regional areas.
Marketing costs often vary and are heavily dependent on the demand in the area and the amount of time spent on the market. Generally, you can expect to pay between $1,000 and $10,000 in NSW.
Conveyancing costs in NSW range from $800 to $2,200.
Early exit and mortgage discharge fees in NSW can cost between $150 and $1,500, with the exact amount depending on your specific lender.
Paying to style and furnish your home could cost up to $10,000
Voluntary costs - spend money to make money
Often referred to as hidden costs, these additional expenses are what you spend to make your home more appealing and stand out to potential buyers. The cost of marketing, hiring cleaners and renovations are optional when selling your home. But doing so can pay significant dividends by adding value to your property or improving the visibility of your local real estate market.
NSW has some of the country’s most expensive and highly sought-after property markets. An effective sales strategy can be the difference between earning the best price for your home and being overlooked. Homeowners should pay close attention to the current demand in their suburb and market appropriately, as costs can range from $1,000 to as much as $10,000 when trying to stand out in the competitive NSW market.
Hiring a professional cleaner with experience preparing homes to be displayed or moved into can add to the appeal of your property to prospective buyers. Prices can vary between $200 and $1000 depending on the type of service provided and the property size. Our suggestion if you intend to hire any cleaning service is to collect multiple quotes from local cleaners to ensure a more precise quote.
Professional home stagers can make recommendations
about the presentation of your home or can completely redesign the look and feel of your property to entice buyers during inspections, potentially adding up to 10% to the value of your home. If you’re selling in NSW, the price for home staging can vary widely; expect to pay between $700 and $3,000.
Buyer interest in NSW
The recent overhaul of NSW stamp duty is a long-awaited reform that will positively impact thousands of people by helping them shave two years off the time needed to save for a deposit. Starting from 16 January 2023, the new First Home Buyer’s Choice initiative will allow eligible first home buyers who exchange sales contracts after this date to pay no stamp duty for their purchase and instead opt-in to the annual property tax. This could create a surge in demand from first-home buyers for properties valued up to $1.5 million, expected to increase competition and prices. As a homeowner, you can benefit from the new legislation and the increased demand it will bring.
Finding a real estate agent with experience negotiating with first-time buyers is one of the most effective ways to capitalise on this new initiative. For many new homeowners, this could be an exciting but highly stressful decision, and they may not be familiar with the process of buying a house. Local agent’s with a track record for selling property to first-home buyers know the best sales strategies to attract the right person to your home. They can also assist new buyers through the sales process to make it as smooth as possible. When comparing agents, ensure you ask about the First Home Buyer’s Choice initiative and their experience with new buyers if you intend to sell your home for under $1.5 million.Find an agent
Cost of selling a house in regional NSW
Selling a property in regional areas of NSW requires close attention to the current trends in the market. Demand for homes, or lack thereof, will determine the amount a homeowner spends on costs like marketing and agent fees. Many factors can affect interest from potential buyers: Increasing competition, extreme weather and rising interest rates are some of the reasons for a sudden drop in prices compared to the boom caused by the pandemic.
However, steady growth continues in many regional areas, demand has remained strong, and selling prices are still higher than pre-pandemic. If you’re considering selling your home in regional NSW, seek the advice of local real estate agents who can share their insights about your suburb and potentially help you save on additional costs.
Should you sell your house in NSW?
While buyers may have some advantages in the new year, the increase in available homes links closely to properties spending more time on the market amid challenging affordability conditions, the First Home Buyer’s Choice initiative will help by boosting demand for homes up to $1.5 million, bringing a large number of potential buyers into the market, previously held back by the need to save for stamp duty. Expected to advance another 5.4%, the national annual median price for 2023 remains relatively high. Although less than half the pace observed in 2022, homeowners can still walk away with a higher selling price in 2023 if they successfully attract the right buyer.
Remember that we are not an official source of legal advice. Before beginning the process of selling your property, be sure to conduct your own research regarding the laws and responsibilities involved.
For more advice on how to effectively sell your home, check out our blogs here.Get started
Thinking of selling your home?
Receive up to five appraisals from top agents in your local area within two business days.