21. Estate agent for sellers
An estate agent is a professional individual or company that facilitates the sale, purchase, or rental of real estate properties. They act as intermediaries between buyers and sellers, helping to market properties, arrange viewings, negotiate offers, and facilitate the transaction process. Estate agents play a crucial role in the real estate industry by providing expertise, guidance, and support to clients throughout the buying or selling process.
What if you do not have an estate agent?
If you are not using an estate agent to sell your property, you can simply inform your conveyancer of this fact. While estate agents can provide valuable assistance in marketing and selling properties, their involvement is not mandatory. Your conveyancer will still be able to manage the transaction effectively, working directly with you and any other relevant parties involved.
Importance of providing estate agent details to your conveyancer
When engaging in a property transaction, it is important to provide your conveyancer with the details of the estate agent involved. Here is why:
- Communication: Your conveyancer may need to communicate with the estate agent to obtain crucial information related to the sale, such as property details, key dates, and updates on the progress of the transaction.
- Coordination: Providing estate agent details allows your conveyancer to coordinate effectively with all parties involved in the transaction, including the seller's conveyancer and any other relevant stakeholders. This helps ensure a smooth and efficient process from start to finish.
- Problem resolution: In the event of any issues or challenges arising during the transaction, your conveyancer may need to liaise with the estate agent to address them promptly and find suitable solutions.
While not mandatory, providing estate agent details to your conveyancer can enhance communication, coordination, and efficiency throughout the property transaction process.
Agreed estate agent fee/commission
The agreed estate agent fee or commission refers to the payment that a homeowner agrees to pay an estate agent for their services in selling a property. This fee is usually a percentage of the final sale price of the property or a fixed fee agreed upon in advance.
The fee is typically exclusive of VAT (Value Added Tax), meaning VAT is added to the commission amount.
Fee/Commission |
The fee or commission is the remuneration that the estate agent receives for marketing the property, conducting viewings, negotiating with potential buyers, and facilitating the sale process. |
Percentage of sale price |
In many cases, the estate agent's commission is calculated as a percentage of the final sale price of the property. For example, if the agreed commission is 1.5% and the property sells for £300,000, the estate agent's fee would be £4,500 (excluding VAT). |
Fixed fee |
Alternatively, some estate agents might charge a fixed fee regardless of the sale price. This fee is agreed upon before the agent begins marketing the property. You can find this information with the following:
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Understanding the agreed estate agent fee or commission is crucial as it impacts the net proceeds you will receive from the sale of your property. It is advisable to thoroughly review and understand the terms of the agreement with your estate agent to avoid any surprises during the sale process. If needed, seek clarification or advice from a legal professional or a real estate advisor.