London estate agents earn the lowest commission per transaction among 10 major global property markets, despite operating in one of the world’s most valuable housing sectors, according to research from AgentWise, a global agent network firm.
The data reveals that the average London agent earns £9,963 per sale, based on an estimated fee of 1.7% and an average property price of £586,050. This places London at the bottom of the table for earnings per transaction among the cities surveyed.
Paris leads commission rankings
Paris ranks highest, where average fees of 5.5% generate £36,847 per sale on a typical property valued at £669,950. New York follows at £25,824 per transaction, despite commissions being split between listing and buying agents, while Singapore’s agents earn £22,515 per transaction.
In Berlin, the average commission is £18,618, in Madrid it reaches £15,692, whilst Hong Kong agents earn £12,430 per transaction. Milan agents receive £11,524 and Toronto £10,018 per sale. Dubai, at £9,993, sits only marginally ahead of London.
Market pressures and regulatory environment
Eric Corsaletti, founder of AgentWise, noted that agent fees in London vary widely, particularly at the prime end of the market. “This research shows clearly that London agents earn comparatively modest commissions per transaction when set against other major global cities,” he said.
The findings come as the property sector faces market uncertainty affecting agency profitability, with regulatory requirements and competitive pressures continuing to shape the London market. The research highlights the contrast between London’s high property values and the relatively low commission structure compared to international markets.
Corsaletti added that when considering the quality of service, regulatory requirements, and competitive pressures that London agents operate under, they “arguably add the most value when you consider the fees charged versus other global markets.”
Implications for the sector
The commission data suggests London’s estate agency model operates on significantly lower margins than international counterparts, with fees less than half those charged in Paris and approximately a third of New York’s rates. This pricing structure reflects the competitive nature of the London market, where transaction dynamics continue to evolve amid changing market conditions.
The research provides insight into the varying commission structures across global property markets, highlighting how London’s fee model differs substantially from other major cities despite comparable or higher property values.
