Philippines real estate agent fees: no legal rate, a licensed broker only.
// Short answer
No Philippine law sets a broker's commission: the Real Estate Service Act only defines a broker as someone who acts for a fee or commission, so the rate is whatever is agreed. What the law does fix is who may collect it: only a broker licensed by the PRC, and a salesperson only through their supervising broker. VAT of 12% applies to brokers above the VAT threshold.
Where agent commission is capped, who pays it and the VAT, in twenty-one countries side by side: real estate agent fees by country.
Rules and rates as of October 2026.
On this page
How much commission does a Philippine real estate broker charge?
No rate is set by law. RA 9646 regulates who may practise and defines a broker as acting for a professional fee, commission or other consideration, but it sets no percentage or cap.
So the rate is what your written agreement says. On a pre-selling condo the developer usually deals with the agent, but you should still see in writing who pays what. Every cost at closing: the Philippine condo fee stack.
Who is allowed to collect an agent fee in the Philippines?
Only a licensed real estate broker. Practising without a Professional Regulation Commission licence is prohibited, and a salesperson may not receive or demand a fee except through the licensed broker who supervises them.
So a payment request from someone without a broker behind them is a warning sign. Paying through a special power of attorney from abroad needs the same check.
Is VAT charged on agent commission in the Philippines?
Real estate brokers are named among the services subject to 12% VAT (NIRC section 108, as amended by RA 12023). Brokers below the VAT registration threshold pay percentage tax instead.
Taxes once you own: Philippines property tax for foreigners.
Philippines agent guide
Choosing a broker in the Philippines? The questions to ask first
No law sets the commission, but unlicensed agents face double penalties. Broker or salesperson, the licence to sell, the 40% rule, what a reservation fee really is, your Maceda Law rights, a first-call script and a worksheet in pesos.
How do I check a Philippine real estate broker's licence?
The Professional Regulation Commission's online verification lets you check a licence by name or licence number. Do it before you pay any reservation fee through an agent.
How the foreign-ownership cap works: buying a Philippine condo as a foreigner.
Frequently Asked Questions
What is the standard real estate commission in the Philippines?
Can an unlicensed agent collect commission in the Philippines?
Is there VAT on broker commission in the Philippines?
How do I verify a real estate broker in the Philippines?
Header photo: patrickroque01, CC BY-SA 4.0, via Wikimedia Commons. All credits: image credits.