Buying real estate

[Robbie Stewart]

i'm in the final stretch of selling, been a rollercoaster as it was all done and dusted precovid.

 

agency commision seems to be standard at 3-4% (in the sub R2m market) these days.

 

That's a hoot. I was informed that the cut that she was being asked to apply was down from 5% to 4%...(my house is sub R3m though)

 

nou is ek eers moerig...

[i24]

Agency two has been quite transparent with is, they told us what he wanted and what they wanted with commission included. I know they need to make money, I have no plans of doing them in by going private

 

Sounds like some of seller Agency 1 and/or Agency 2 are being economical with the truth.

• If you first saw the house with Agency 1 then they are going to want, and will likely get, a slice of the commission.
• If the seller did not accept either of the offer to purchase, before the return date on the offer, they are both invalid.
• If either of those contacts were accepted, then you are party to a binding contract. If this is the case I assume you would be aware of it.
• If the contract with Agency 2 was accepted, you may end up paying double commission. Did you tell Agency 2 that you first saw the house with Agency1.
• Did you pay a deposit with either offer to purchase?

If there are no binding contracts, then tell both the seller and Agency 1 together what you are prepared to pay and how much commission you are willing to pay and that the commission should go to Agency 1. It is a buyers market and they will get their act together sooner rather than later.

 

 

Otherwise just start looking for another property. They will get their act together and start chasing after you.

[The Ouzo]

Be wary of this. You may be a sardine in the shark tank here.  If you have a lawyer on tap; use them. 

 

We ended up having to pay Agent 1 some commission after seeing a house with Agent 1 who sneeringly would not even let us look at the house or take an offer from us - we saw it while looking at another place nearby with them. Agent 2 then took us through the place, we made an offer and it was accepted.

 

Agent 1 sued for part commission and we were advised (by an attorney we trusted) to settle. We split the settlement between us and Agent 2.

 

You are dealing with some of the most venal people on earth; next to politicians. Count your fingers regularly.

Damn I wish it worked like that in the car industry.

 

The amount of times you spend hours with a customer answering all their questions, showing them all the options, test drives. negotiations etc. for them to go and buy at another dealership where all the salesman did was undercut your quote.

[eddy]

Be wary of this. You may be a sardine in the shark tank here. 

 

You are dealing with some of the most venal people on earth; next to politicians. Count your fingers regularly.

 

Have a good look at the offer to purchase you sign with the estate agent.

 

I saw one recently which still had the clause that they could take their commission out of YOUR deposit as a buyer even if the seller causes the sale to be cancelled. 

[Bonus]

I was surprised at how SA estate agents operated and what they charged compared to what I was used to in the UK.

[Kranswurm]

I was surprised at how SA estate agents operated and what they charged compared to what I was used to in the UK.

What do they charge in the UK?

[Bonus]

What do they charge in the UK?

 

Generally just under 1.5% of the selling price. I got 1.25% once.

[IceCreamMan]

Generally just under 1.5% of the selling price. I got 1.25% once.

 

Considering the number of estate agents in guildford its a miracle they survive on around 1.5%. 

 

We recently bought in Bramley and will be moving in the next couple of months. Previous owner paid 1.45% commission. (excl VAT) . I was amazed that they can survive on those levels of comm

[Bonus]

Considering the number of estate agents in guildford its a miracle they survive on around 1.5%. 

 

We recently bought in Bramley and will be moving in the next couple of months. Previous owner paid 1.45% commission. (excl VAT) . I was amazed that they can survive on those levels of comm

 

When we went to sell in SA and the agent was talking about something like 8%, I assumed they were on drugs or something!