Agent Commission Calculator

Calculate Nigerian real estate agent commission for property sales and rentals, including VAT and net amount to the seller or landlord.

Transaction Details

Transaction Type

Property Sale Price

₦

Agent Commission Rate

Agent Commission

₦2,500,000

VAT on Commission (7.5%)

₦187,500

Total Agent Fee (incl. VAT)

₦2,687,500

Net to Seller

₦47,500,000

NIESV (Nigerian Institution of Estate Surveyors and Valuers) recommends 5% for sales and 10% of annual rent for lettings. Both buyer and seller may pay separate commissions in some transactions. Always agree commissions in writing before engaging an agent.

How to Use This Calculator

Select whether it's a property sale or rental transaction. Enter the property price (for sale) or annual rent (for rental). Adjust the commission rate if your agent charges differently from the standard. The calculator shows commission, VAT on commission, and net amount to the seller/landlord.

Nigerian Estate Agent Commission Standards

Sale Commission = Property Price × Rate (typically 5%) Rental Commission = Annual Rent × Rate (typically 10%) VAT on Commission = Commission × 7.5% Total Agent Fee = Commission + VAT Seller Net (Sale) = Sale Price − Commission Landlord Net (Let) = Annual Rent − Commission

The Nigerian Institution of Estate Surveyors and Valuers (NIESV) scale of professional fees recommends: 5% for sales, 10% of annual rent for residential lettings, 7.5% for commercial lettings. These are minimums — actual rates are negotiable, especially for high-value properties.

Example

Sale of ₦50M Property — Agent at 5%

Property Sale Price₦50,000,000

Commission (5%)₦2,500,000

VAT on Commission (7.5%)₦187,500

Total Agent Fee₦2,687,500

Net to Seller₦47,500,000

On a rental: A flat with ₦3M annual rent, agent commission = ₦300,000 (10%). Landlord receives ₦2.7M net. Note: in Nigeria, it is common for the tenant to also pay the agent a 10% letting fee — so total agency costs can be 20% of annual rent split between parties.

FAQ

In most Nigerian property transactions, the seller or landlord pays the agent commission. However, it is also very common (especially in Lagos rental markets) for the tenant to pay a 10% letting commission to the agent, separate from the landlord's commission. This means agents can earn 20% of annual rent (10% from landlord + 10% from tenant) for a single letting transaction. Always clarify upfront who is paying what before signing any agency agreement.

Yes. NIESV rates are minimums/standards, not fixed. For high-value properties (₦200M+), agents often accept 2–3% on sales. For exclusive or long-term mandates, landlords can sometimes negotiate 7–8% on rentals instead of 10%. The key is to have this negotiation before engaging the agent, in writing, and specify whether the stated rate is inclusive or exclusive of VAT. Agents who are NIESV-registered must follow professional conduct rules — check their registration before engaging.

Beyond agent commission: (1) Consent/governor's consent fee (usually 3% for sales in Lagos — paid to state government), (2) Legal fees (1.5–3% of property value), (3) Search fees (₦50K–₦200K to verify title), (4) Stamp duty (0.75% for transfers above ₦1M), (5) Land Registration fee (varies by state — Lagos charges ~1.5%), (6) Survey and charting fees if title documents need updating. Total transaction costs can be 10–15% of property value on top of the sale price.

Agent Commission Calculator

How to Use This Calculator

Nigerian Estate Agent Commission Standards

Example

Sale of ₦50M Property — Agent at 5%

FAQ

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