London’s estate agents earn the lowest commission per transaction in 10 major global property markets, despite operating in one of the world’s most valuable housing sectors, according to research carried out by AgentWise.

The global agent network firm’s data shows 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. That puts the capital right at the bottom of the table for earnings per transaction.

Paris top

Paris ranks highest, where average fees of 5.5% generate £36,847 per sale on a typical property of £669,950. New York is next at £25,824, 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’s £15,692, it’s £12,430 in Hong Kong, £11,524 in Milan and £10,018 in Toronto. Dubai, though, is only marginally ahead of London at £9,993.

When you consider the quality of service, regulatory requirements, and competitive pressures that London agents operate under, it’s fair to say that they arguably add the most value.”

Eric Corsaletti (pictured), Founder of AgentWise, says: “Agent fees in London can vary widely, particularly when it comes to the prime thresholds of the capital, but this research shows clearly that London agents earn comparatively modest commissions per transaction when set against other major global cities.

“So when you consider the quality of service, regulatory requirements, and competitive pressures that London agents operate under, it’s fair to say that they arguably add the most value when you consider the fees charged versus other global markets.”