Property managers in Australia charge an ongoing management fee of about 7.5% of rent on average, plus a letting fee of about 1.4 weeks’ rent each time they find a tenant, according to 2026 averages from Local Agent Finder. Fees vary a lot by state, from under 6% in NSW and Victoria to around 8.7% in WA and Tasmania.
Key takeaways
- Management fees are charged on rent collected, plus GST.
- NSW and Victoria are the cheapest states on the management fee. WA and Tasmania are the dearest.
- Compare the whole fee schedule, not just the headline percentage.
- On a $600 a week property, each 1% of management fee costs about $300 a year.
Average fees by state
| State | Management fee | Letting fee |
|---|---|---|
| NSW | 5.8% | 1.1 weeks |
| VIC | 5.9% | 1.5 weeks |
| QLD | 7.5% | 1.0 week |
| SA | 7.5% | 1.9 weeks |
| WA | 8.7% | 1.7 weeks |
| TAS | 8.7% | 2.0 weeks |
| ACT | 7.1% | 1.2 weeks |
| NT | 8.5% | 1.0 week |
Source: Local Agent Finder, 2026 averages. Fees are typically quoted before GST.
What else you may be charged
- Lease renewal fee when a tenant signs on again
- Routine inspection fee every three to six months
- Advertising or marketing for a new tenant
- Annual statement fee for the end of year summary
- Tribunal attendance if a dispute goes to the state tribunal
- Admin or sundry fees each month
Ask for every fee in writing and convert them to a yearly dollar figure before comparing agencies.
How fees affect yield
On a $650,000 property renting for $600 a week with 2 weeks’ vacancy, a 5.8% fee costs $1,740 a year and an 8.7% fee costs $2,610. The difference is $870 a year, or about 0.13 points of net yield. Letting fees add more in years when the tenant changes. Try different fees in the net rental yield calculator.
Should you self-manage?
Self-managing saves the fee but costs time and carries legal risk. You need to know your state’s tenancy laws, handle maintenance at all hours, run inspections, and manage arrears and disputes. Many investors find a good manager pays for itself through better tenants and fewer vacant weeks.
How to choose a property manager
- Ask how many properties each manager looks after. Lower numbers usually mean better service.
- Ask for their average days to lease and arrears rate.
- Check how they handle maintenance approvals and which tradespeople they use.
- Read the agreement for the notice period to leave.
- Negotiate. Fees are often negotiable, especially with several properties or a long-term tenant. See how to increase rental yield.
Compare management fees
Try different fees and see the effect on your net yield.
Frequently asked questions
How much do property managers charge in Australia?
About 7.5% of rent on average in 2026, plus a letting fee of about 1.4 weeks’ rent. NSW and Victoria average under 6%, while WA and Tasmania average around 8.7%.
Are property management fees tax deductible?
Generally yes, as an expense of earning rental income. Confirm with your accountant.
Is GST charged on property management fees?
Usually yes. Check whether a quote includes or excludes GST.
See what this property would yield
Enter the price, rent and costs to get gross yield, net yield and weekly cash flow.
General information only. This calculator and content do not consider your personal circumstances and are not financial, tax or legal advice. Speak to a licensed professional before making investment decisions.
