selling

No sale no fee estate agents: how the fees work and what to check in the contract

No sale no fee estate agents explained: what you pay if the sale fails, how the fee compares, and the withdrawal, tie-in and notice terms to check first.

4 min read
Last reviewed 5 November 2026
By Your Property Check team

Part 1 of 7

What no sale no fee covers

General information, not legal advice. Under a no sale no fee arrangement the agent is paid when your home sells and nothing if it does not. The HomeOwners Alliance says most high street agents offer it and some online agents do too, and that you pay nothing if no buyer is found or the sale falls through. It also says the fee is usually higher than under a standard arrangement. That is the trade: you carry less risk upfront, and you may pay a higher rate on a sale. We read the sources named below on 5 November 2026 and name no company.

The phrase is a description, not a legal term. What you actually owe is set by the contract you sign. GOV.UK says that using an estate agent means signing a legally binding contract, and that breaking its terms could lead to court action.

Part 2 of 7

What the law makes an agent tell you

Section 18 of the Estate Agents Act 1979 says that before you enter a contract the agent must give you particulars of:

the amount of its fee, or how the fee will be calculated if the amount is not yet known
the circumstances in which you become liable to pay it
any other payments that are not part of the fee, with the amount or an estimate and how it is worked out

If that information is not given, the contract is not enforceable by the agent unless a court orders otherwise. Citizens Advice adds that the usual rates run from under 1% to 3.5% of the final sale price, and that you should check whether advertising, photos, a for sale board and VAT are included.

Part 3 of 7

A worked example of the fee

The rates below are illustrations, not market rates. The sum is the sale price multiplied by the rate, then 20% VAT on top (VAT at 20% is the standard rate on GOV.UK).

Sale price	Illustrative rate	Fee before VAT	VAT at 20%	Total fee
£300,000	1.5%	£4,500	£900	£5,400
£300,000	2%	£6,000	£1,200	£7,200
£300,000	2.5%	£7,500	£1,500	£9,000

One percentage point on £300,000 is £3,000 before VAT and £3,600 with it. If a no sale no fee quote is a point above a standard quote, that is the price of not paying if the sale fails. Whether it is worth it depends on how likely a sale is, so compare quotes in pounds, not percentages. Our guide to estate agent fees has the full breakdown, and the sale route comparison shows net proceeds and timescales for agent, auction and cash routes.

Part 4 of 7

What to check in the contract

The HomeOwners Alliance guide lists the clauses that change what "no fee" really means:

Withdrawal and extra charges. Look for marketing fees, early termination charges or a withdrawal fee. The guide says marketing should normally be covered by the commission and any extra charge should be agreed in writing in advance.
Handwritten additions. The guide warns that handwritten changes can add marketing or withdrawal fees.
Tie-in and notice periods. The guide says sole agency lock-ins are commonly 4 or 12 weeks, and to check for a separate notice period on top. It reports finding a 20 week tie-in with a 4 week notice period and suggests negotiating if the terms look excessive.
"Ready, willing and able". The guide says an agent may be owed a fee if a buyer is ready, willing and able to buy even if contracts are never exchanged. This is the clause that most changes what "no sale" means, so read it closely.
Continuing liability. Under an open-ended agreement a former agent may claim a fee on a buyer it introduced, even months later. The guide says the agent should explain this in writing and provide a list of the parties it introduced.
Cooling-off. The guide says you may have 14 days to cancel if you signed away from the agent's office, such as at home.

Part 5 of 7

Contract types matter as much as the fee

Citizens Advice and the HomeOwners Alliance describe the same main types. With sole agency you appoint one agent, and no fee is due if you find the buyer yourself. With sole selling rights the agent is paid even if you find the buyer. With joint agency two agents share the fee, and Citizens Advice says the commission is usually higher. With multiple agency several agents market the home and only the one that sells it is paid. GOV.UK warns that using more than one agent may mean paying more than one fee, depending on the contract. A no sale no fee label can sit on any of these, so check which one you are signing.

Part 6 of 7

Complaints and who to ask

Citizens Advice says all agents must belong to an approved complaints scheme, either the Property Redress Scheme or The Property Ombudsman. The Property Ombudsman says you must first raise a complaint with the business, and then it can review the case. Ask any agent which scheme it belongs to before you sign.

Part 7 of 7

Before you sign

Get the quote in writing, in pounds, with VAT stated. Ask when the fee becomes payable, the tie-in and notice periods, and whether any fee applies if you withdraw. Compare at least two quotes. If a fee or tie-in worries you, ask for it to be changed before you sign. This page is general information, not legal advice.

Our take

Compare the fee in pounds, then read the exit terms

Our view: the label matters less than the clauses behind it. The common mistake is to compare percentages and skip the withdrawal charge, the tie-in and the wording on when a fee becomes due. Put every quote into pounds with VAT, and ask what you owe if you withdraw.

Then see where an agent sale sits against the alternatives. Our free sale method comparison compares auction, estate agent and cash buyer on net proceeds and timescale, so you can judge a quote against your other options before you sign.

Compare sale routes

Our opinion, drawn from the facts on this page: not advice and not a forecast. We earn from OfferCheck reports and from introducing sellers to cash buyers, so weigh it with that in mind (see our disclosure). We are not authorised or regulated by the FCA.

Questions, answered

Frequently asked questions

What does no sale no fee mean for estate agents?

You pay the agent nothing if no buyer is found or the sale falls through. The fee is due only when your home sells. The HomeOwners Alliance says the fee is usually higher than under a standard arrangement.

Is no sale no fee really free if I withdraw?

Not always. Check for withdrawal or early termination charges and marketing fees in the contract. The HomeOwners Alliance says any extra charge should be agreed in writing in advance and warns about handwritten additions.

What is a tie-in period?

It is the period you are committed to an agent. The HomeOwners Alliance says sole agency lock-ins are commonly 4 or 12 weeks and advises checking for a separate notice period. Selling elsewhere inside the tie-in can mean paying a fee.

Can an agent charge me if the sale does not complete?

Possibly. If the contract says a fee is due when a buyer is ready, willing and able, the agent may be owed it even if contracts are never exchanged. Read that clause before you sign.

Who do I complain to about an estate agent?

Citizens Advice says agents must belong to an approved scheme, the Property Redress Scheme or The Property Ombudsman. Raise the complaint with the agent first, then take it to the scheme.

Where this comes from

Sources

Last reviewed 5 November 2026 by the Your Property Check team. This page is general information, not legal, tax or financial advice. For your own situation, speak to a conveyancing solicitor or another qualified professional.