How do I choose an estate agent to sell my home - Part 2 - Fees
An introduction to things you should consider when choosing an agent to sell your home. Part 2 - Fees
Given that most estate agents do not publicly advertise their fees, it can be difficult for you to compare fees when choosing an agent to sell your home.
You need to know what is included in the fee, what is excluded, whether there is an upfront fee, a withdrawal fee or, any additional fees etc.
Although the fee is important to you it should not be the sole basis for making a decision on which agent to use.
There is a push to encourage estate agents to become more transparent with their fees and you can find that some will publish fees on their websites willingly, whereas others won’t divulge this information until they have gained access to your property.
In the UK fees generally tend to vary from 1% - 3% + VAT of the actual selling price if they are operating on a commission basis. Some will offer a lower fee when they are struggling to get listings and/or competition within the industry is high.
If an agent is quick to negotiate on their fee however, imagine how quickly they will expect you to negotiate on your asking price? If they are negotiating on fee, are they also negotiating on service levels? Make sure you know what you are getting for your money. Ask what is included.
Other agencies charge a fixed fee. It is worth working out what percentage of your initial asking price this is, so you can decide whether you are paying more than you should be. Again, you need to know what is and, just as importantly, what is not included in the fee.
Expect to pay more for Leasehold property sales and properties that have been bought with a ‘Help to Buy’ scheme and Shared Ownership properties as there is extra work involved in the sale.
Agents will also make additional charges for Energy Performance Certificates and any out-sourced professional photography services including videos, floorplans and virtual tours. Some will also charge extra for accompanied viewings and for sale boards. There will also be additional charges for any staging of your home.