Hi guys, i have a question on ethics
I have a vacant section that i had on the market but decided to keep and was about to build on it within a few weeks.An agent from a different real estate office has a buyer who needs my section and the one beside me ( who wants to sell as well)
I’m happy with the price but not the fact that this agent will get a fair chunk of money for nothing.I think that when i sign the S&P i do so on the condition his fee is a flat rate of say 2k which is about half what i think he’ll try and charge.Do you think it’s ethical or should i pay him his rate.
CheersHi Queenstowner,
A friend of mine is an REA in Caloundra and she told me that the commission charge in sunny Qld is 5% for the first $18,000 and then 2.5% thereafter, and that most times, the REAs won’t negotiate below 2.5 on the thereafter bit.
I find this type of commission is way too high, but not having dealt with interstate property for so long; I am not in a position to say for sure what the true picture is on this note.
Are you perhaps able to negotiate with the prospective buyer directly, without the intervention of the REA????
Jo
If you still have an exclusive authority with your first agent and you liked them, then I would be telling the second agent with the buyer to approach you via your first agent. This way both agents would split the commission by whatever agreement they came to.
Hope this makes sense.
Luke…
Why dont you – after the first agency agreement expires, put your own sign up and wait for the guy interested in your property to contact you.
If the agent wasn’t planning on charging any more than the first agent would have charged you, then it’s fair enough that they get their full commission. For all you do know they may have spent a lot of time searching the area for properties for this buyer (so not necessarily for you specifically, but he has found your place in his search)..
Although, you could probably negotiate with him/her, I suppose the worst they can do is say no, and you can decide whether to sell or to build as planned….
Cheers
Mel
You must be logged in to reply to this topic. If you don't have an account, you can register here.
