Negotiating a reduction in EA fees after sale

phoenix_w

Hopefully I'm due to exchange soon... One thing I'm unhappy with is the estate agent we selected. Their fees were very expensive compared to the competition in our area, but we accepted them because we thought they'd sell our house reasonably quickly.

We have a number of complaints with their service, mostly minor niggles, but some serious ones as well. The serious ones are that they've tried to rip us off over their conveyancing recommendation (trying to earn themselves two lots of commission), they have refused to call us back upon complaint, they don't respond to email and that they are not passing on questions from our buyer to ourselves!

The agent we're dealing with for our purchase is a breath of fresh air in comparison - all queries have been followed up almost immediately and they've frequently checked up with us to ensure things have gone smoothly.

Given this, I want to negotiate a reduction in our EA fees because they've not pulled their weight. I've already told my conveyancer to not pay the fees direct as I'll settle with a cheque upon completion, which I intend to do but after negotiation has taken place.

Any advice on how to proceed? Should I wait until after exchange has taken place so they can't sabotage the sale, or after completion to be sure? Is it worth contacting their head office directly rather than deal with branch level (since the manager doesn't seem to have a scooby when we've called to complain). Any advice would be helpful.

Nobbie1967

They've sold your house and are due the fee you agreed. The complaints seems fairly minor, but if your unhappy you can complain to head office and then the Ombudsman if you're still not happy. Don't think you'll get very far though. How much do you expect to get off the fee?

AdrianC

You agreed their fee. They performed the service you'd hired them for. They are due their fee.

If you think their recommended solicitor is "a rip-off", use a different solicitor. If you have issues with their service, raise them immediately, then they can do something about them.

DRP

I disagree with some other posters who think just because they've sold your house they deserve their full fee. Clearly when you hire an EA, you are buying the whole package, including good and honest service - not just a sale.

phoenix_w wrote: »

I want to negotiate a reduction in our EA fees

Unfortunately, it is probably too late. I would comlain in writing, but unless you can come up with a reason they have cost you money you are unlikely to get a discount. Worth a try though! :money:

rpc

DRP wrote: »

I disagree with some other posters who think just because they've sold your house they deserve their full fee. Clearly when you hire an EA, you are buying the whole package, including good and honest service - not just a sale.

Contractually, you are paying the EA to get you a sale. I doubt their terms bind them to deliver "good and honest service."

If your contract with them is house sale = full fee then that is what you pay. The route to get there is largely irrelevant.

If you were not happy with the service and wanted to renegotiate the fee, that should have been dealt with at the time.

phoenix_w

The problem is that they're not prepared to deal with our complaints - and I would hardly call failing to pass on questions from the buyer to vendor "minor", I would call them issues that could potentially stall or cause the sale to fail. We've tried to complain to the branch manager says he'll call back, and he doesn't. I've contacted their head office by email and they don't even respond.

I would have no problems with writing them a cheque for the full amount of they did a good job, but they haven't and it seems that negotiating will be the only way for them to deal with our complaint since they will just fob us off until completion otherwise

ali_hire

As others have said, your contract withy the will almost certainly be that you agree to pay a fee for them to introduce a buyer.

Your best option will be to see the sale through and then follow their complaints procedure to raise a conplaint. If you aren't satisfied with the outcome of any response you receive then you can complain to the ombudsman who had the power to make them pay you compensation if they agree with your complaint.

JimmyTheWig

I'm not sure that the agent will release the keys without their money, will they?

mgarl10024

phoenix_w wrote: »

they have refused to call us back upon complaint, they don't respond to email

I agree with most of the posters above. You agreed the fee upfront and unless they've breached their terms or you incurred demonstrable costs in some way and are entitled to compensation, I think it is owed in full.
I'd certainly look at registering a formal complaint with them and subsequently the ombudsman if they fail to resolve it to your satisfaction.

That said, if their service has been poor, perhaps yours will be too. I'd have no problems giving them a taste of their own medicine - i.e. misplacing the first invoice and making them send a second; refusing to talk to them on the phone; insisting on detailed breakdowns of costs before payments...
While you *must* pay the money, you needn't make it easy for them.

davidmcn

JimmyTheWig wrote: »

I'm not sure that the agent will release the keys without their money, will they?

I've never encountered an agent doing that. Besides, what would be the point? The keys don't need to be passed via the agent.

eddddy

They might reduce their fee as 'a goodwill gesture', but it doesn't sound like you have any legal basis to make them accept less (i.e. you have no basis for claiming damages from them).

To claim damages, you would need to show that they breached the contract and that you suffered a loss as a result.

(e.g. You could prove that your house would have sold for more, if they hadn't breached the contract. Or you could prove that you incurred greater costs, because they breached the contract.)

I guess you can try to negotiate something, but you probably have more to lose than the EA, and they will be able to see that.