Feedback

[Robbie84]

Feedback/ Research
Evening all,

We are thinking of starting a venture in low cost estate agency and would like some feedback on the following;

Would you pay an upfront fee of under £500 and nothing on completion, saving thousands, or to be charged a lower commission rate at the end not saving as much but still a bit?

Much appreciated,
Thanks.

 

[Alan]

The problem with an upfront fee is what happens if you fail to sell it. If the answer is' you loose it' then I would be very unlikley to part with the cash.

 

[Jet Virtual]

The upfront fee as opposed to commision model is being done online and I think works with high value properties that could save a huge amount in fees.

Would this work for lower value properties? Perhaps you need to set the fee accordingly ...

Best of luck,

Daniel

 

[Alan]

I also think to some extent, if there is a big fee on completion the agent then the agent is motivated to sell it. The last house I sold the agent earned a very large sum, however he sold the property for a lot higher than I expected and quickly.

If I hand over £500, I wouldn't expect much excitement on the agent's behalf to close the deal.

 

[Moneyman]

I totally agree. i have 3 properties on the market at the moment. If i had to pay up front there is no incentive to sell at all.

 

[Talay]

I agree with the consensus. Fixed fees on completion would sell but upfront fees would fly like a lead balloon.

 

[businessfunding]

With some experience of buying and selling properties, I would pay a reasonable success fee to an agency who knew what they were talking about and acted professionally

I would avoid

Fixed fees

Sharks who over value to get the contract

Those national ones with blue signs.