5K estate agent fee for BUYER on 220K house

googler

ging84 wrote: »

So it would be legal and possibly enforceable

Possibly, on the face of it.

But, as folks above have suggested, and from other sources, nothing is set in stone when someone in E&W makes an offer on a property - not even the price - so, all the buyer need do is secure the property, then modify their bid by the amount of the buyer's fee before exchange.

googler

jonewer wrote: »

Estate agents are self serving money grabbing scumbags. We should not be surprised by their behavior.

Why don't you try and add something to the discussion, rather than just slinging insults around?

silvercar

Playing devil's advocate: All this does is legalise the cash in brown envelopes that have sometimes passed across the table to secure purchases.

googler

Dave_Ham wrote: »

I think it is the long term capacity of the existing Estate Agents model changing

But why....? I don't see the advantage over the existing 'seller pays' system, assuming the scenario described above and in other sources, where they buyer now pays the equivalent of the former seller's fee, and the seller pays a nominal marketing fee of around £150.

Without changing the whole of the market to operate this way, all they'll encounter is resistance from buyers, who've had to pay an EA fee to sell their current property, and are being asked for a buyer's fee when they buy in one of these London hotspots.

Natural reaction - people will walk away from these sales, and the practice won't spread, surely?

getmore4less

Buying and selling houses in the UK is cheap compared to many other countries.

If buyers are not happy they should make it clear to the vendors I would have offered but the EA want money off me so I will look elsewhere.

Could put in offers and negotiate down but why bother, move on.

googler

silvercar wrote: »

All this does is legalise the cash in brown envelopes that have sometimes passed across the table to secure purchases.

..but there's been no legislative changes, so how has it 'legalised' anything?

MobileSaver

KnightSmile wrote: »

I was informed I have to pay a 2% plus VAT estate agent fee. (£5000+). An 'introductory fee'. I like the property and I was made aware of this fee before bidding (they made me sign a form!). So in that respect I'm going in with my eyes wide open.

Sadly by agreeing to this you are part of the problem.

If most people contacted the seller stating they love the property but won't be making an offer due to the compulsory EA fee then the practice would quickly die.

Marmaduke123

This unfortunately seems to be getting more common. A family member is looking for a flat in London at the moment and has encountered it.

I expect its a feature of the red hot market in London at the moment, let's hope it doesn't become an accepted practice. In my opinion the agent's fees should be paid by the party they are acting for, namely the seller.

googler

Marmaduke123 wrote: »

I expect its a feature of the red hot market in London at the moment, let's hope it doesn't become an accepted practice. In my opinion the agent's fees should be paid by the party they are acting for, namely the seller.

I don't get how shifting the fee liability from seller to buyer is more appropriate to a red hot market (assuming as above, the seller pays a nominal fee and the buyer pays what the seller would have paid).

googler

MobileSaver wrote: »

If most people contacted the seller stating they love the property but won't be making an offer due to the compulsory EA fee then the practice would quickly die.

Agreed (in 10 characters)