How many people renegotiate estate agents fees?

chickmug

Doozergirl wrote: »

And you rejected the idea of house network over £1500 + VAT?

Trying to take a step away from my background I have warmed to the idea of the housenetwork type of service. I have someone I know who is thinking of selling and before I throw housenetwork into the mix the only aspect that worries me is - what if you pay up front and they go bust?

bitsandpieces

chickmug wrote: »

Trying to take a step away from my background I have warmed to the idea of the housenetwork type of service. I have someone I know who is thinking of selling and before I throw housenetwork into the mix the only aspect that worries me is - what if you pay up front and they go bust?

You lose (all or most of) the money, surely, as with most other companies where you pay upfront for a service and they go bust.

googler

chickmug wrote: »

Trying to take a step away from my background I have warmed to the idea of the housenetwork type of service. I have someone I know who is thinking of selling and before I throw housenetwork into the mix the only aspect that worries me is - what if you pay up front and they go bust?

What if you pay upfront and they don't manage to sell?

Do you also lose your money (and have to hire another agent....)?

westv

xtra_time wrote: »

I am not very good at bargaining (will prob end up paying more lol). I think I may compose an email to send to them mentioning how I would take hips, and legal from them if the price was less. Worth a go.

Call them don't email but don't offer to buy any services from them.

BritRael

chickmug wrote: »

Refusing to lower fees meant a number of lost instructions but my business and so my choice. I knew the overheads and how much I would need to spend, each time, to get a buyer so didn't see why I should give our services away when we were lucky to have a really high repeat business. I was in business, offering a bloody good service, NOT running a charity;) So there - seriously not all agents will drop prices as easily as some of the posts on here suggest.

I see what you're saying, but could you tell me something? Why do EA's charge a percentage and not a flat fee? In the booming property market which we have experienced for quite a few years (if not the last few months ) prices have soared, and therefore, so has the EA's fee's. But why (at 1.5%) would you charge 1500 quid for a 100k property and 3k for a 200k property? Would it really be twice the work?

googler

BritRael wrote: »

I see what you're saying, but could you tell me something? Why do EA's charge a percentage and not a flat fee? In the booming property market which we have experienced for quite a few years (if not the last few months ) prices have soared, and therefore, so has the EA's fee's. But why (at 1.5%) would you charge 1500 quid for a 100k property and 3k for a 200k property? Would it really be twice the work?

Why is anything levied as a percentage of anything else?

Why is stamp duty a percentage and not a flat fee?
Why is income tax a percentage and not a flat fee?
VAT?
Capital Gains Tax?
Import Duty?

Doozergirl

googler wrote: »

Why is anything levied as a percentage of anything else?

Why is stamp duty a percentage and not a flat fee?
Why is income tax a percentage and not a flat fee?
VAT?
Capital Gains Tax?
Import Duty?

That's not the point is it. Taxes are based on a percentage because it's fair. Everyone pays the same % but those who earn more can afford to pay more.

EA fees aren't based on a fair system. High end estate agents you even have to pay for your marketing on top of their % fee so it's not based on how much it costs to market a property, it is based on the perception of a person's ability to pay based on the price of their house.

BritRael

googler wrote: »

Why is anything levied as a percentage of anything else?

Why is stamp duty a percentage and not a flat fee?
Why is income tax a percentage and not a flat fee?
VAT?
Capital Gains Tax?
Import Duty?

er...are you possibly an EA?

Either way, that's not answered the question. All the above are fairly obvious, as the clue is in the titles; 'value' added tax, Capital 'gains' tax etc.

However, (as far as I can see) an EA charges for a service, and the cost of the property being sold appears to be irrelevant. I mean, they advertise, make phone calls, accompany viewers (occassionally) etc. Is that not the same 'cost' to the EA for a 200k property as for a 400k property? Or am I missing something?

Andyf33

Just about everything is negotiable in house buying/selling - apart from statutory things such as stamp duty rates etc. Dont just see it as a negotiation with the buyer/seller. EA's, solicitors, mortgage companies (fees and rates), surveyors, removal men will usually negotiate on fees knowing that they are fighting for your business - remember you are the client.

I once renegotiated EA fees on the day before a sale went through asking for another £500 off or I would pull out and pointed out it was surely better for them to make something after the effort they had put in than nothing. Risky strategy but they knew I was not desperate to sell and they agreed after a few moments of protest - you just gotta know when you hold the aces.

As my old grandad used to say "shy bairns get nowt"

googler

Andyf33 wrote: »

I once renegotiated EA fees on the day before a sale went through asking for another £500 off or I would pull out and pointed out it was surely better for them to make something after the effort they had put in than nothing.

Did you have a written contract with them for the original fee?