Expat Property Agents Fees !

Are expat property agents' fees on selling property justified & if so why/how ??

Cheers,

Harry

No.  They charge what they like because unlike the UK, there is no industry standard and no laws governing their conduct!

www.golfapartment.co.uk

Local expat property agent's fee for selling a flat  - €3k

Local Spanish agent's fee for same property - €5k

What was the question?

"No.  They charge what they like because unlike the UK, there is no industry standard and no laws governing their conduct!"

We almost bought a Spanish property in early 2011 & dealt with a very young personable UK property agent. When I inquired about eventual selling fees he confirmed these would be 10% & were justified by his "professionalism plus the specialised expertise required in Spain".  Incidentally,  I also recall he mentioned "increased market activity", "bullish outlook" etc similiar to what we are currently hearing from one of our property agent friends here.

Harry

When we decided to sell our Spanish property, we were told by each of the three agents we chose to value it that the 5% agents' fees would be added on top of the price that we decided to sell at ie; our property was valued at between 152,000E and 165,000E which meant the property would be placed on the books at the lowest valuation (and fee) for 159,600E and the highest valuation for 173,250E.....quite a difference.  (It's a ridiculous situation that you can still see a single property advertised at so many different prices in Spain.)  We chose to go with the lowest valuation and we also advertised the property on Daltons Weekly.  The couple that bought it had done their research and, knowing how high agents' fees can be in Spain, they asked us directly how much we wanted for the property without the added fees.  Needless to say, we sold it to them ourselves....for 150,000E. 

Then, if not now (I'm unsure about this point) you could put your property up for sale with as many agents as you liked.....hence the reason we also advertised it ourselves and sold it ourselves...without having to pay the agent.

Its surprising that no one is prepared to come forth & offer any reasonable justification re fees of 5% - 10% plus.

Camposol directly posed this question to Georgia on another thread & was met with silence !!!!!!!

Hopefully, some one may be able to assist us.

Regards,

Harry

 Hi Harry,

Just logged in for lunch again, i have just back tracked and saw Camposol question,fortunately i have to work and have a young family which keeps me occupied and off the web at 7.30pm and also at 5.00 am!!! (you really need to get a hobby!!!)

I think Camposol asked me to justify MY fees,as he doesnt know my fees i dont quite know how he can ask me to justify them??!!

My mother always taught me that it is quite vulgar to speak of how much or little you earn.

If you wish to start a trend with peopkle naming firstly there professions and then earnings per annum i still think i wouldnt join in but you are more than welcome to ask them all i suppose..?!

For me people can charge me what they wish...if i am not happy i don't pay it..life is full of choices!

ps...i am still waiting on that bet?????

georgia - 1 October

"In the states the standard commission is 5-8%,just as an example.

Atlas and Masa were charging 18% plus here in spain."

???????????????????

 ???????????? i dont live in the states and work for Atlas or Masa for the record.....

Fish and chips are about 6 Euros,beer is 1.20 a bottle in the bar in the square......i dont work in the bar or the chippy....whats your point????

 ???????????? i dont live in the states and work for Atlas or Masa for the record.....

Fish and chips are about 6 Euros,beer is 1.20 a bottle in the bar in the square......i dont work in the bar or the chippy....whats your point????

I have already asked georgia about fees, and the response was similar to that of a politician! Why do fees vary so much-what does the one who charges so much do, that the one with the lower fee doesn't. if talking about fees is vulgar, georgia, then i'll be vulgar, as i want !to know what my money is paying for, which is reasonable enough, don't you think? I'm not asking what your earnings are for the year! I know that estate agents compile a description of the property, with photos, that they advertise in newspapers, on the web etc, show clients round, draw up contracts. I'm sure they must do a lot more than that, so please let me know how hard you work for the considerable sum of money that will be deducted from the sale of my property.

maddiemack-our estate agent said it is illegal for the same property to be on sale with different agents at different prices-they must all quote the same price!

Given the inability to justify agents fees may we safely conclude that these are not justified ?

Regards,

Harry

 its not an inabilty Harry,it a freedom of choice,even if i didn't charge at all i probably wouldnt say.

I am really bored now so i may check in a few months to see if the magic roundabout is still spinning.

Its inability !!!!!!!

if its an inibilty, as in i am unable then why are you asking me to do something that i am unable to do??

I have the inability not to fly if i flap my arms....i have the choice not to disclose.

Is that simple enough?

WOW!!!!!!!!!!

If it's any consolation Georgia, I will never buy a property, but, if I did, I would buy from you or Maria. Why? Because I have watched you both on this forum over many years and I know, I would get a legitimite, risk free property and a professional service with follow up care after sale, if it were needed.
 
Some things are worth paying a little more for in my opinion...for peace of mind. Especially with something so costly and the legal aspects.

At the end of the day, a property agent (or any other self employed person/sales person) has the right to set whatever charge they feel able to realistically sell their services or product for. As a customer, you get to choose whether to pay their price or not. Whatever choice you make, and you do get to choose, it is a given fact that whether or not you are buying/selling there are going to be fees to pay. 

Everyone has to make a living, nothing is free and if you choose "wisely" you should get the level of service you pay for.

Remember the old adage...you get what you pay for!  

NIKKI

(I'd happily pay 3% in Turkey too)

I am disappointed that georgia did not take the opportunity to  give the agent's side. A simple question was asked, requiring an honest, straightforward answer, and Eye on Spain was the ideal place to answer it.  If people are prepared to pay whatever they are asked, without question, (talking generally here, not about  any particular individual) well, more fool them, they are asking to be ripped off, plus they have too much money, whereas with information at their disposal, they can make an informed choice, and compare different agents.

"Are expat property agents' fees on selling property justified & if so why/how ??

The thread simply asked whether agents fees are generally  justified or not.  Who knows - perhaps they are although we may now never know !!!

Cheers,

Harry

Hi Campasol

There must be many ex-pat property agents on EOS, maybe some of those would like to chime in giving their thoughts on the fees charged. After all Georgia is not the only ex-pat agent...although he/she seems to be the only one expected to answer. This could be a very useful thread for people looking to buy in Spain, in the future, as long as comments are not solely directed at one agent, amongst many.

"If people are prepared to pay whatever they are asked, without question". No one in their right mind is going to pay whatever they are asked without question. However, as agent fees are set prior to property purchase, the buyer will know what costs are involved from the outset. They don't need to question it further because those questions will of been answered "before" choosing an agent, if they have done their homework thoroughly. If they chose the agent with a higher fee they pay more, the one with the lower fee, pay less. The level of fees are not the only thing people should consider when buying/selling as you know...for me on hand assistance and integrity of the agent would be more important. But that is just me...many buy/sell with a spit in the hand and a handshake direct from the owner/buyer with no agent. That would be too scary for me! 

"well, more fool them, they are asking to be ripped off" I don't think anyone asks to be ripped off and if someone is, it does not make them a fool. It's an unfortunate fact of life, that there are many unscrupulous and greedy people willing to prey on others. There will always be people ripped off, no matter how many precautions they take to prevent this. It happens.  


"plus they have too much money" Just because someone is willing to pay to pay the fee their chosen agent charges, which could be higher than another agent, it does not mean they have too much money. It just means they are willing to pay the agreed fee. The one they agreed to, on choosing the agent,. Surely we have no right to say what constitutes another human being as "having too much money"...anothers money is their own business and no one elses.



Hi Harry


"Are expat property agents' fees on selling property justified & if so why/how ??
 
If their level of work and services justify the amount paid, then yes their fees are justified. They set their fee and are making a living, just like anyone else. But that is only my thought...others may feel not.