The real estate agent’s commission is one of the largest cost items when buying or selling property. In Austria, this is governed by clear legal regulations – yet there is often confusion about who pays what and when a commission is actually due. This article provides a comprehensive overview of everything you need to know about real estate commissions in Austria.

What Is a Real Estate Commission?

The real estate commission (also known as agent’s fee or brokerage fee) is the remuneration paid to a real estate agent for their mediation services. It becomes due when a purchase, rental or lease agreement is legally concluded through their activity. Without a successful contract being signed, there is generally no right to a commission – agents work on a success basis.

The legal basis is the Austrian Real Estate Agent Act (Maklergesetz, MaklerG), which regulates the rights and obligations of all parties.

How High Is the Commission in Austria?

The commission amount is regulated in Austria by the Real Estate Agent Ordinance (Immobilienmaklerverordnung, IMV) and depends on the purchase price:

For Property Purchases

• Up to €36,336.42: Flat rate of €1,453.46 (net)
• €36,336.42 to €48,448.51: 4% of the purchase price
• Above €48,448.51: 3% of the purchase price

These rates apply to each party separately – meaning the agent can charge both buyer and seller if acting for both, with a combined maximum of 6% of the purchase price (plus 20% VAT).

For Rental Agreements

Since 2023, the ordering principle (Bestellerprinzip) applies: whoever engages the agent pays the commission. The maximum is two gross monthly rents per party.

The Ordering Principle for Rentals

Since 1 July 2023, the ordering principle applies to residential rentals in Austria. This means: whoever commissions the agent – usually the landlord – pays the fee. Tenants can only be charged if they actively engaged the agent themselves.

This regulation has had significant effects on the rental market, with landlords increasingly advertising properties directly or through cheaper channels.

Important: The ordering principle applies only to residential rentals, not to property purchases or sales.

When Does the Commission Become Due?

A right to commission arises when:

1. Valid agent contract: A legally valid mandate must exist between agent and client.
2. Causality: The agent must have actually brought about the deal. If the buyer already knew the property before the agent was involved, the commission claim may lapse.
3. Legally valid contract: The main contract (purchase or rental agreement) must have been concluded.

Can the Commission Be Negotiated?

The rates in the IMV are maximum rates, not minimums. In theory, negotiation is possible. In practice it is rare for smaller transactions, but quite common for high-value properties. On a purchase price of €1 million, 3% amounts to €30,000 per side – well worth a conversation.

Overview of Purchase Ancillary Costs

The agent’s commission is just one of several ancillary costs when buying property in Austria:

Cost item	Amount
Real estate transfer tax	3.5% of purchase price
Land register entry fee	1.1% of purchase price
Notary/legal fees	approx. 1–2%
Buyer’s agent commission	up to 3% + VAT
Seller’s agent commission	up to 3% + VAT

Total ancillary costs: typically 8–12% of the purchase price. On a €300,000 property, that can be up to €36,000 in additional costs – a significant factor in budget planning.

Dual Agency: When One Agent Acts for Both Sides

In Austria, it is permitted for one agent to act for both buyer and seller (dual agent). This must be disclosed to both parties. The agent is then obliged to remain neutral. If they favour one side, their right to commission may be forfeited in whole or in part.

Tips to Protect Yourself as a Buyer or Tenant

1. Read the agent contract carefully: What services are included? Is a fee due even if no contract is concluded?
2. Clarify dual agency situations: Ask directly whether the agent is also acting for the other side.
3. Pay only after contract signing: Reputable agents never require upfront payments.
4. Check the ordering principle for rentals: As a tenant, ask who commissioned the agent – and whether you are actually obliged to pay.
5. Keep your receipts: The commission paid may be tax-deductible in certain circumstances.

Commission and Tax

For private buyers, the agent’s commission is generally not directly tax-deductible, as private property purchases are not income-generating. However, those who rent out or commercially use the property can claim the commission as deductible expenses. When in doubt, consult a tax advisor.

Conclusion

The real estate commission in Austria is clearly regulated by law, but not always transparent at first glance. Anyone who is well-informed before buying or renting a property can avoid surprises – and, especially for high-value properties, may even be able to negotiate. The ordering principle introduced in 2023 has also brought more fairness to the rental market.

Modern property management software such as nuimmo helps agents document commission agreements clearly and communicate them transparently to clients – an important contribution to greater trust in the industry.

FAQs

Do I always have to pay a commission as a buyer?

Only if you have signed an agent contract or the agent was demonstrably acting on your behalf. Without a mandate or causality, there is no right to commission.

What happens if the purchase contract falls through?

If the main contract is not concluded, there is generally no right to commission – unless the buyer groundlessly prevented it from being signed.

Is there a minimum commission by law?

No. The IMV only regulates maximum rates. A lower commission is always possible with mutual agreement.

Does the ordering principle apply to purchases too?

No, the ordering principle applies only to residential rentals, not to property purchases or sales.

Can I reclaim the commission?

Yes, if the agent has breached their duties (e.g. providing false information, failing to disclose dual agency), the commission can be reclaimed in whole or in part.