3% commission to estate agents

CJtill


Joined: 02/05/2008
Posts: 836

Message Posted:
13/11/2008 21:44

I have been told that all property resales in the TRNC MUST go through an estate agent, is this correct or is there a way (legal) to avoid this charge.

Michael

Groucho



Joined: 26/04/2008
Posts: 7993

Message Posted:
13/11/2008 21:46

No you don't need an Estate agent to sell your property... you do need to get permission to sell direct but my understanding is that this is merely a formality.



Speak to HBPG Marion Stokes...

sassycypgirl


Joined: 26/08/2008
Posts: 99

Message Posted:
14/11/2008 09:07

Hi



Friends bought a bungalow in September directly from the vendor. No agent involved

Very straight forward.

Dont be conned into paying out unnecessary fees

Sassy

negativenick


Joined: 10/11/2008
Posts: 6023

Message Posted:
14/11/2008 11:24

True - you do not need to use an agent - just need to get permission to sell direct - your Lawyer can sort this for you.....



How the heck can these greedy agents justify the 5-7% fees they are currently charging ??

Hector


Joined: 26/08/2008
Posts: 2352

Message Posted:
14/11/2008 16:08

The answer is 'they don't.' Just like everyone else who rips off the expats, they know they can get away with it.

lovingthesun


Joined: 13/11/2008
Posts: 61

Message Posted:
14/11/2008 16:11

I think they tried to bring out a law at the beginning of the year, to say all purchases had to go through an agent. This was stop people buying off waiters etc and wondering why there property never exisited. I believe this is now not the case and you can buy direct

sassycypgirl


Joined: 26/08/2008
Posts: 99

Message Posted:
14/11/2008 18:12

Hi



The locals will not pay an estate agent 5 % - 7% Only the expats.

Hence why the law wasn't passed.

Sassy

harita


Joined: 14/08/2008
Posts: 1343

Message Posted:
14/11/2008 18:31

negativenick wrote :-

True - you do not need to use an agent - just need to get permission to sell direct - your Lawyer can sort this for you.....



You don't even need a "Lawyer"... With a little help from you friends you can do it all yourself... Make sure if you buy a resale, POA is obtained before the vendors sail into the sunset with your money & enough is held back till you have the koçan in your name... It's a hard road but can be done...

No1Doyen


Joined: 04/07/2008
Posts: 16617

Message Posted:
14/11/2008 18:32

Why bother with Estate Agents?

cocos


Joined: 04/04/2008
Posts: 129

Message Posted:
14/11/2008 18:51

The estate agents here are mostly no better than the shark advocates and builders. How can they justify 5-7% for doing nothing basically when in the UK it's more like 1 - 1.5% they'll do the same thing to themselves that the advocates are now doing do themselves, guranteeing a certain death. Still, I suppose they don't care now, they've made themselves rich by being greedy liars!

negativenick


Joined: 10/11/2008
Posts: 6023

Message Posted:
17/11/2008 15:55

Cocos - at least in the UK Estate Agents have professional indemnity insurance, pay their staff a living wage and pay UK High Street rents, and manage to earn a living at 1-1.5%



The agents over here are taking the micky....

karakum5c



Joined: 18/03/2008
Posts: 1021

Message Posted:
17/11/2008 16:29

Death to the infidels!!!!!

karakum5c



Joined: 18/03/2008
Posts: 1021

Message Posted:
17/11/2008 16:30

Oops sorry should have read ESTATE AGENTS not Infidels.

elko2



Joined: 24/07/2007
Posts: 4400

Message Posted:
17/11/2008 16:37

According to the Registration of Estate Agents Law all professional sellers have to go through a registered Estate Agent. In order to be classed as a professional seller you must sell more than three properties in a year.



If you are getting the cash up front you do not need an estate agent and you do not need a lawyer. However if the money is going to be paid to you in stages then I advise you strongly to see a lawyer and indeed do not transfer the title deeds until you get all your money, otherwise you may not see the rest.

ismet

fire starter


Joined: 19/06/2008
Posts: 3401

Message Posted:
17/11/2008 22:04

uk estate agents are a load of rogues as well.

bakala


Joined: 10/01/2009
Posts: 34

Message Posted:
10/01/2009 05:25

HI Elko

wot ya doin on this forum ???

Hazel


Joined: 18/04/2008
Posts: 65

Message Posted:
10/01/2009 12:44

Death to estate agents, how pathetic, tarring everyone with the same brush and sending out misinformation to the unwary as per usual. I don't know which estate agents you're referring to but mine charges 3.5% and DOES have indemnity insurance, it's a legal requirement. If you actually knew your facts a law was passed last January stating that all REGISTERED estates agents must have indemnity insurance. Makre sure you ask your estate agent for their registration number otherwise don't use them.

negativenick


Joined: 10/11/2008
Posts: 6023

Message Posted:
11/01/2009 18:27

Hazel - you can't get professional indemnity insurance in northern cyprus....



You might have public liability insurance, but that's not the same.



I was a lawyer in the uk, by the way...





Nick



ps: why would you HIDE your e mail address - surely you'd want people to contact you ???

johnboy


Joined: 19/05/2008
Posts: 170

Message Posted:
11/01/2009 18:34

Hazel, which agents do you work for? John

Hector


Joined: 26/08/2008
Posts: 2352

Message Posted:
12/01/2009 00:07

Wasn't the estate agents insurance only up to 100,000 ytl?

biker-babe


Joined: 30/12/2008
Posts: 75

Message Posted:
12/01/2009 09:45

even 3% is too much! Suzie

negativenick


Joined: 10/11/2008
Posts: 6023

Message Posted:
13/01/2009 00:07

perhaps when the recession bites deep, only the good ones will be left...





Nick

Turbo


Joined: 24/12/2006
Posts: 833

Message Posted:
13/01/2009 09:29

Regarding estate agent fee's, my experience .

If listed with one agent only its 3% if multiple agents involved it goes up to 4%.

negativenick


Joined: 10/11/2008
Posts: 6023

Message Posted:
13/01/2009 09:35

mess 23 - you try and get 4% !! - most want 5 or 6 or even 7% - some developers who are desperate to sell are offering 10% !





Nick

Jaybee


Joined: 11/11/2008
Posts: 228

Message Posted:
13/01/2009 10:56

I've just had mine valued and its 4% + 16% kdv and thats sole agency

negativenick


Joined: 10/11/2008
Posts: 6023

Message Posted:
13/01/2009 11:05

Jaybee - 4% + VAT for a sole agency is too high - if they want 4% for sole agency, they'll want 7-8% for joint...





Nick

Chessman


Joined: 13/05/2008
Posts: 486

Message Posted:
13/01/2009 11:06

NN msg 18



I have been underwriting liability insurance for nearly 40 years at manager and director level. You are absolutely right, there is a major difference between PL and P.I

Jaybee


Joined: 11/11/2008
Posts: 228

Message Posted:
13/01/2009 11:29

These 3,4,5 % that people are quoting, does this include the KDV normally?

Turbo


Joined: 24/12/2006
Posts: 833

Message Posted:
13/01/2009 21:15

Jaybee, the KDV is paid when the kocan is about to be released.

Hazel


Joined: 18/04/2008
Posts: 65

Message Posted:
14/01/2009 13:49

Sorry to disappoint you but don't work for an estate agent.

Enjoy your vendettas if that's what cheers you up.

Hazel

Kitty Kat Jac


Joined: 18/03/2008
Posts: 230

Message Posted:
14/01/2009 16:44

Turbo



I think you are getting confused,I think people are talking about the KDV on the comission, which all EA need to pay for the comission they have received.

Chessman


Joined: 13/05/2008
Posts: 486

Message Posted:
14/01/2009 16:53

KKK



Does the EA pay the KDV to the Gov. out of the commision received or does the customer pay the KDV to the EA also?

Kitty Kat Jac


Joined: 18/03/2008
Posts: 230

Message Posted:
14/01/2009 16:58

The customer pays the KDV to the EA also! It is currently at 16%

No1Doyen


Joined: 04/07/2008
Posts: 16617

Message Posted:
14/01/2009 17:09

Geoff. I never knew you were in the Insurance business.

Chessman


Joined: 13/05/2008
Posts: 486

Message Posted:
14/01/2009 17:10

Bill. Yes, nearly 40 years. Sad eh?

Chessman


Joined: 13/05/2008
Posts: 486

Message Posted:
14/01/2009 17:15

KKK



Thank you.

No1Doyen


Joined: 04/07/2008
Posts: 16617

Message Posted:
14/01/2009 17:27

Geoff. UK based?

Chessman


Joined: 13/05/2008
Posts: 486

Message Posted:
14/01/2009 17:29

Bill. I was. Now here in TRNC for nearly 3 years.

barnaclebill


Joined: 12/12/2008
Posts: 303

Message Posted:
14/01/2009 17:41

The 16% KDV is what the estate agent has to pay on commission received from the sale.For example a £100000 sale at 3% commission will earn £3000,KDV to the government £480.Try shopping around as some estate agents have sliding scales for their charges and include KDV.Bigger is not always better???

negativenick


Joined: 10/11/2008
Posts: 6023

Message Posted:
14/01/2009 20:46

Mess 17 & 30 - Hazel, one minute you work for an estate agents next minute you dont...



Are you another victim of the housing market ??





Nick