This is a variant of the realtor commission calculator which also adds value added tax to the commission (but only to the commission, we assume that the house price is not a subject to VAT). Also, it appears that in most cases the commission is only taken from the selling party. We know there are exceptions, and if you'd like us to cover another case, we'll happily build a calculator for you. Just contact us. You can find our details at the bottom of the page.

🙋 You may also want to check out the regular commission calculator
and what to offer on a house calculator.

How do I add VAT to the realtor commission?

You can compute the amount of VAT that needs to be added to the real estate commission as the product of the net commission and the VAT rate in your country. Remember, the net commission is just the property price multiplied by the commission rate.

How do I calculate the realtor commission with VAT?

To determine the realtor commission with VAT (the gross fee), follow these steps:

  1. Write down the property price, the realtor commission C, and the VAT rate V.
  2. Compute the net realtor commission as net fee = price × C.
  3. Compute the VAT for the commission as VAT = net fee × V.
  4. You find the gross realtor commission as gross fee = net fee + VAT.

Let us rewrite this procedure as one neat mathematical formula.

What is the formula for the realtor fee with VAT?

The gross realtor commission formula is the following:

gross realtor commission = price × C × (1 + V),

where:

  • price is the property price;
  • C is the commission rate; and
  • V is the VAT rate.

Example of adding VAT to the real estate commission

Imagine the house sells for €100000 and a realtor is an intermediary in the transaction. The Realtor's commission is 3%, and a 23% VAT rate applies. The net commission is €3000, which becomes €3000 + (€3000 × 0.23) = €3690 gross. So the total the owner of the house receives is €100000 - €3690 = €96310.

FAQ

What is the 3% realtor commission with 10% VAT added?

The answer is 3.3% of the property price. To get this answer, we use the formula for gross realtor commission: gross realtor commission = price × C × (1 + V). Plugging in numbers, we get gross realtor commission = price × 0.03 × (1 + 0.1) = price × 0.033 and 0.033 = 3.3%, as claimed.

Mateusz Mucha
House price
$
Commission
%
VAT rate
%
Commission gross
$
Owner receives
$
Check out 13 similar real estate calculators
Simple interestPartially amortized loanMortgage… 10 more
People also viewed…

BMR - Harris-Benedict equation

Harris-Benedict calculator uses one of the three most popular BMR formulas. Knowing your BMR (basal metabolic weight) may help you make important decisions about your diet and lifestyle.

Circumference

Use this free circumference calculator to find the area, circumference and diameter of a circle.

RD (recurring deposit)

RD calculator (recurring deposit) helps you determine the maturity value of your RD investment account given its interest and lifetime.

RV loan

Use our RV loan calculator to work out how to structure your RV financing deal.
Copyright by Omni Calculator sp. z o.o.
Privacy policy & cookies
main background