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What does a rental agent actually cost?
Half a month per year of lease is the Singapore norm — on each side. See what that comes to on your rent, and what it adds up to over a decade of letting.
Below S$6,000/month, SEAA's 2024 guidelines mean the tenant is commonly expected to pay their own agent.
How rental commission works in Singapore
There is no legally fixed commission. CEA does not set rates, and everything is negotiable. What exists is a strong convention: half a month of rent per year of lease. A one-year lease is about half a month; a two-year lease is about one month. GST of 9% goes on top where the agent is registered.
What changed recently is who pays. The old arrangement was that the landlord paid an agent and the tenant used that agent for free. SEAA's 2024 Best Practice Guidelines pushed the market the other way: tenants renting below S$6,000 a month are increasingly expected to engage and pay their own agent. On a lot of leases, both sides are now paying half a month each.
The number worth looking at is not the single lease — it is the ten-year one. Most landlords re-let every one or two years, so the commission is not a one-off cost, it is a recurring subscription taken out of your yield.
Common questions
- How much is a rental agent commission in Singapore?
- There is no legally fixed rate. The 2026 market norm is about half a month of rent per year of lease — so roughly half a month for a one-year lease and one month for a two-year lease. GST of 9% applies on top if the agent is GST-registered.
- Does the landlord or the tenant pay the agent fee?
- Traditionally the landlord paid and the tenant used the landlord’s agent for free. Since SEAA’s 2024 Best Practice Guidelines, tenants renting below S$6,000 a month are increasingly asked to pay their own agent on the same half-month-per-year basis. On many leases both sides now pay.
- Is the agent commission negotiable?
- Yes. CEA does not set rates, so the amount and who pays are both negotiable. Whatever you agree must be documented in a written estate agency agreement before the transaction proceeds.
- Is GST charged on rental agent fees?
- Agents whose turnover exceeds the GST registration threshold charge GST, currently 9% since 1 January 2024. On a S$1,500 commission that is another S$135.
- Can I rent out my property in Singapore without an agent?
- Yes. There is no legal requirement to use an agent to let a property. The work an agent does — marketing, viewings, tenant checks, drafting the tenancy agreement, stamping — can be done directly. Rentora handles the eligibility checks, agreement and IRAS stamping so going direct does not mean going unprotected.
- What do I actually get for the agent commission?
- Typically listing and marketing, arranging viewings, negotiating terms, preparing the tenancy agreement, and coordinating stamping and handover. Agents do not provide legal advice and do not underwrite the tenant.
Going direct doesn't mean going unprotected
Rentora checks HDB quota and ICA eligibility, verifies both parties through Singpass, generates the tenancy agreement and files the stamp duty with IRAS. No commission, either side.
Commission conventions and the 9% GST rate verified in August 2026. Rates are not regulated and vary by agent — treat these as typical, not fixed.