Commission rate to property agent on private sale

[thebears]

I am in the process of engaging a firm outside Hua Hin. The firm already has a viewer to see my property, as a result of a mailshot already sent out. The viewer is waiting to see it.

What is a fair and going rate of commission? I thought 3% was the norm, but the contract, as yet unsigned is for 5%.

It's a reputable agent but I wonder if 5% is fair. The sale is for under 10m. Just as an example, in the UK the rate is normally about 1%, with some agents charging 1.5%. This is not of course UK, and the property market isn't very good at the moment. Thanks for any advice.

[hhfarang]

3% is the norm in the USA but here for a resale home the norm is 5% as told me by many different agents. In fact, some told me if you want your house sold you will offer 7% so as to compete with some of the new developments. Sorry, in a lot of ways, this is not Kansas or paradise...

[tonymaroni]

I am in the process of engaging a firm outside Hua Hin. The firm already has a viewer to see my property, as a result of a mailshot already sent out. The viewer is waiting to see it.

What is a fair and going rate of commission? I thought 3% was the norm, but the contract, as yet unsigned is for 5%.

It's a reputable agent but I wonder if 5% is fair. The sale is for under 10m. Just as an example, in the UK the rate is normally about 1%, with some agents charging 1.5%. This is not of course UK, and the property market isn't very good at the moment. Thanks for any advice.

With not so many buyers out there. Pay the 5% and count yourself lucky and just slightly ripped off in Thailand.

[Lev]

We did send you details on listing your property with us, paying a couple of baht, getting direct contact with the buyer and not paying any commission whatsoever however there was no response.

[icebear]

I recommend you to negotiate with the agent.

They should be happy to sell anything for a lesser fee.

But as somebody mentioned it, pay the commission and run....

[johnnyk]

Confusing. If an agent made the contact its not a private sale. A private sale involves two parties no agents.
A contract is a contract when it is signed. Not signed=no contract.
Offer 3%.

[Super Joe]

What is a fair and going rate of commission? I thought 3% was the norm, but the contract, as yet unsigned is for 5%.

Yes 5% is the going rate in HH, it was 3% but changed several years ago.

It's a reputable agent but I wonder if 5% is fair. The sale is for under 10m. Just as an example, in the UK the rate is normally about 1%, with some agents charging 1.5%. This is not of course UK, and the property market isn't very good at the moment. Thanks for any advice.

I thought UK fees were around 1.5%+VAT and 2.something+VAT multi-agency??

SJ

[caller]

thought UK fees were around 1.5%+VAT and 2.something+VAT multi-agency??

SJ

They will generally take whatever dregs they can which is often more than they are worth. I paid 1.5% 2.5 years ago after wasting my time with a bunch of retards offering the same. But yes, VAT has to be paid.

[migrant]

Residential standard rates here are 7% and commercial 10%

[hhfarang]

^ Wow Migrant, is that just Southern Cal or the whole U.S. now? When I sold my (4) homes in California, Oregon, and Florida, the rate was 3% (per agent), as it was when I went to real estate school (in Florida as a back-up profession).

[migrant]

^ Wow Migrant, is that just Southern Cal or the whole U.S. now? When I sold my (4) homes in California, Oregon, and Florida, the rate was 3% (per agent), as it was when I went to real estate school (in Florida as a back-up profession).

I'm pretty sure it's standard. That was presented to us in Maine, and here in California. I also get closing statements from other states when new clients move here.

But saying that I've also seen lots of negotiated 5-6%

[TypicallyTropical]

^ Wow Migrant, is that just Southern Cal or the whole U.S. now? When I sold my (4) homes in California, Oregon, and Florida, the rate was 3% (per agent), as it was when I went to real estate school (in Florida as a back-up profession).

I'm pretty sure it's standard. That was presented to us in Maine, and here in California. I also get closing statements from other states when new clients move here. But saying that I've also seen lots of negotiated 5-6%

There is no such a thing as "standard" as far as commission goes, though most brokerage companies will try to charge you 6%. The better companies have a sliding commission rate and the even better ones (like mine! ) have a "Menu of Services" describing what they do at various commission levels and let the client chose. Regardless, commission is subject to negotiation.

[brianks]

If you can sell it what is all this grousing about commission? 5% is normal but a sale is a sale is money in the bank at any commission. Take the money and run when its over.

[migrant]

A broker, who is now a friend but wasn't then, explained " I'll start out at my full commission, you at your full price. If I sell at your full price, pay me my full commission. If you discount, I'll discount"

Made sense to me, perhaps best to get in writing though

[dtaai-maai]

^You mean if you lowered your price, he would lower the percentage he took as commission? That sounds like a double whammy to me!!