In short: This calculator starts with your expected sale price, deducts agent commission, marketing, conveyancing, loan discharge and any fixed-rate break costs, then subtracts your loan balance to show the cash you receive at settlement. On an $850,000 Melbourne sale with a $420,000 loan, typical costs of around $25,000 leave net proceeds of roughly $405,000, before any capital gains tax for investors.
- Agent commission$17,000
- Total selling costs$29,100
- Loan payout$420,000
- Net proceeds as % of price47.2%
- Deposit power for next purchase (20% + costs ≈ 25%)Property up to $1,600,000
Settlement adjustments (rates, water) and any bridging interest are extra. Use the CGT calculator for a real capital gains estimate.
Cash in hand after settlement: $400,900
That is a general estimate on standard assumptions. Every lender applies its own expense benchmarks, income shading and policy, so the real figure moves from lender to lender. Gorakh spent years as a senior credit officer deciding exactly these questions. Send him the numbers above and he will tell you what is realistic and which lenders fit — at no cost to you for home loans.
- A former senior credit officer reads itGorakh assessed loan applications on the lender side before he became a broker.
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Knowing the net figure early matters most when it becomes the deposit on your next home.
How this calculator works
Enter the expected sale price, commission rate, marketing spend, conveyancing fees, loan balance and whether any part of the loan is fixed. The tool subtracts each cost, shows total selling costs as a percentage of price, and reports net proceeds after the loan is repaid. Investors can add the cost base for a rough gain estimate; the capital gains tax calculator does the full calculation.
What it costs to sell a home in Victoria
Agent commission
Commission is negotiable and varies by suburb, price and agency. Some agents charge a flat percentage, others a tiered rate that rises above a target price; higher-value suburbs often see lower percentages. Ask at least three agents for their fee and what it includes. Commission comes out of the proceeds at settlement, so you do not need it in cash.
Marketing
Photography, floor plans, online listings and signboards are charged separately from commission. A campaign for a suburban house commonly runs from a few thousand dollars upward; auction campaigns cost more. Ask for an itemised marketing schedule before you sign the agency agreement.
Conveyancing and legal
Your conveyancer prepares the Section 32 vendor statement and contract of sale, handles the title transfer and attends settlement; see conveyancing and title transfer. Council, water and owners corporation certificates for the Section 32 add small amounts.
Loan discharge and break costs
Your lender charges a discharge fee to release the mortgage, plus a government fee to register the discharge on title. If any portion of your loan is fixed, a break cost may apply, reflecting the gap between your fixed rate and current rates for the remaining term. It can be nothing or many thousands. Read breaking a fixed rate loan and get a payout figure before you list. Styling, repairs, cleaning and removalists belong in the budget too.
Worked example: selling in Craigieburn
A family sells their Craigieburn house for $850,000. Their variable loan balance is $420,000, so there are no break costs. For illustration, commission is 2.0%, marketing $6,000, conveyancing $1,200 and discharge fees $400.
| Item | Amount |
|---|---|
| Sale price | $850,000 |
| Agent commission at 2.0% | $17,000 |
| Marketing | $6,000 |
| Conveyancing and certificates | $1,200 |
| Loan discharge and registration | $400 |
| Total selling costs | $24,600 (2.9% of price) |
| Proceeds after costs | $825,400 |
| Loan balance repaid at settlement | $420,000 |
| Net cash to seller | $405,400 |
Had the family fixed $300,000 of their loan two years earlier and rates had fallen since, a break cost could have reduced the net figure noticeably. This is a good reason to check fixed-rate exposure before deciding to sell.
Using the proceeds as your next deposit
The $405,400 above is more than a 20% deposit on a $1,100,000 purchase with room for stamp duty, which on that price at the general Victorian rate of 5.5% is $60,500. Run the upfront costs calculator on the new home to see whether proceeds cover deposit and costs without LMI.
Timing is the catch. If you buy before your sale settles, you need bridging finance or a deposit bond; if you sell first, you need somewhere to live and a plan for a rising market. Many upgraders negotiate a long settlement on the purchase and a shorter one on the sale so the proceeds arrive in time. Your broker and conveyancer should be coordinating both settlements.
Capital gains tax for investors
If the property was your main residence throughout, the sale is generally exempt from capital gains tax. If it was an investment or rented for part of the period, CGT may apply to the gain after selling costs are deducted, with the 50% discount for assets held more than 12 months. The tax is paid through your return for the financial year the contract was signed, not at settlement, so set money aside. Our capital gains tax on property page covers the rules and the six-year absence concession.
Frequently asked questions
How much does it cost to sell a house in Melbourne?
Total selling costs commonly land between 2% and 4% of the sale price once commission, marketing, conveyancing and discharge fees are added, with fixed-rate break costs on top if they apply. On an $850,000 sale that is roughly $17,000 to $34,000. Commission is the largest item and is negotiable.
When do I receive the money from selling my house?
At settlement. The buyer's funds are exchanged for the title, your lender is paid out, the agent's commission and outstanding costs are deducted from the deposit held in trust, and the balance is transferred to your account, normally the same day. In Victoria settlement is usually 30 to 90 days after the contract is signed, whatever period the contract specifies.
Do I pay capital gains tax when I sell my home?
Not if it was your main residence for the entire ownership period and the land is under two hectares. If you rented it out, used part of it for business, or owned it as an investment, some or all of the gain may be taxable. Selling costs reduce the gain, and the 50% discount applies to assets held more than 12 months.
Can I sell my house while it has a fixed-rate loan?
Yes, but the lender can charge a break cost when the loan is repaid at settlement. The amount depends on how far rates have moved since you fixed and how long remains on the fixed term. Some borrowers port the loan to the new property to avoid the break cost. Ask your lender for a written payout figure before listing.
Talk to GNT Finance
GNT Finance helps Melbourne sellers turn sale proceeds into the right loan for their next home, from bridging finance to porting a fixed loan. We coordinate with your conveyancer so both settlements line up, at no cost to you for our home-loan service in most cases. Book a free consultation or call 0426 403 703.
This page is general information only and not legal, tax or financial advice. Laws change — confirm current rules with the State Revenue Office, the ATO or a licensed professional.
Written by Gorakh Timilsina
Founder, CEO & Senior Mortgage Consultant at GNT Finance. Gorakh started as a broker assistant, spent years as a senior credit officer assessing loan applications, and now helps Melbourne families get the right loan approved. English, Nepali and Hindi spoken.