Property Agents' commission

[Jamesc]

Property agents earn every cent they make.

 

You should see some of the customers they

 

have to deal with. If people think they make

 

too much they are welcome to join them.

 

[13177]

If the agent really good one, definitely I don't mind paying them commission la. Esp if the process of sourcing, paper works etc not easy to handle. But if the selling and buying process is easy, just submit some online paper works, go down to hdb during the 1st and 2nd appointment and nothing much effort being seen, don't think i want to pay 1-2% of commission.  

 

Cause have seen one agent which my friend was recently buying a hdb flat. This agent just simply arrange appointment through the ad found on property portal and newspaper, didn't negotiable or give advice on the pricing that seller asked, and this agent job simply just relate message between the other party agent to my friend, and seems like never fight for the buyer's interest. And yet my friend in the end still pay this agent 1% commission. Lol.

[Tedlhw]

A very learned friend once commented to me on the issue of some lawyers' behaviors

'Well, there are lawyers and there are lawyers'

 

Actually i feel just like every other other profession... there are good ones and there are bad ones.

 

I have met with some pretty crappy lawyers that rip you off.

And they rip off the poor people who are not well educated, mind you. And you guys hate agents and car salesmen?

 

I have met with some lousy doctors that capitalize on your grief and anxiety and order a bunch of unrelated useless tests.

Literally "this and this dun want, the rest all do", he told the nurse, 2 pages worth of tests, costing extra several thousand.

 

Weeks of pain and discomfort later, found out was all irrelevant as another top doctor in the industry actually didn't even want to look at it after we went for a 2nd opinion.  Irrelevant he said.

 

How about car workshops? Engine mounting not spoilt say spoilt. Also the same.

 

So it pays to do some homework, get referrals and stick to the ones that are good, be it doctors/lawyers/agents/car sales people. 

Cos they truly deserve the money that they make.

I dont really bother with phone sales people. Not worth effort to cultivate. Just upgrade new one every year, old one just sell. Price no good? Keep lor.

 

 

 

[Wyfitms]

If the agent really good one, definitely I don't mind paying them commission la. Esp if the process of sourcing, paper works etc not easy to handle. But if the selling and buying process is easy, just submit some online paper works, go down to hdb during the 1st and 2nd appointment and nothing much effort being seen, don't think i want to pay 1-2% of commission.  

 

Cause have seen one agent which my friend was recently buying a hdb flat. This agent just simply arrange appointment through the ad found on property portal and newspaper, didn't negotiable or give advice on the pricing that seller asked, and this agent job simply just relate message between the other party agent to my friend, and seems like never fight for the buyer's interest. And yet my friend in the end still pay this agent 1% commission. Lol.

 

HDB can DIY lah. All the steps etc in HDB website. Any question just email HDB to clarify.

[Mercury1]

From what I heard the 2% came about because developers starting paying agents 2% to clear their overpriced and bloated stock of new properties. This trickled down to the secondary market where agents said they wanted to be matched with this 2% or they would rather take their potential buyers somewhere else. Soon after 2% slowly became the norm, the transition between 1 to 2 % only started mid 2015 I believe.

 

The decision to pay or not is up to the seller I guess, if can sell yourself by all means save the comms. If the agent is super tokong and can match the sellers asking price (especially in this market) then also worth paying ?

[HP_Lee]

DIY by cutting the middleman (agent commissions)? The internet is making it possible today.

 

https://sg.finance.yahoo.com/news/younger-consumers-less-likely-consult-064300892.html

[taykelvin69]

Hi,

Hope that someone experienced can help.

If I have a rented flat, and the tenant wants to renew the tenancy.

Do I still have to pay the agent 1month commission for a simply paper work?

TIA

[Mercury1]

You only need the agent if you foresee issues with the tenant and don't want to get involved (i.e never pay rent, subletting without permission etc)

 

If you are okay to deal with the tenants directly just write-up a TA make sure the main tenant initials every page get someone to witness and then get it e-stamped.

 

 

Hi,

Hope that someone experienced can help.

If I have a rented flat, and the tenant wants to renew the tenancy.

Do I still have to pay the agent 1month commission for a simply paper work?

TIA

 

[HP_Lee]

https://sg.finance.yahoo.com/news/3-solid-reasons-why-may-010438299.html

 

You can sell or buy it yourself. Read more to the link

[Lovetodaze]

Hi,

 

Did anyone know if is possible to not engage a property agent even? When selling or buying?

[Ken138]

Everything is possible:) just a matter of cost & learning..

But if agt can bring in higher value & get better price , i prefer engage a professional to do leh..

:)

If use of agt can mean better resale value or better rental rate, why not ? If they are professional & can take care of all the tenant problems hassles esp during the 2 yr lease.. I prefer to use them..

:)

[Icedbs]

Hi,

 

Did anyone know if is possible to not engage a property agent even? When selling or buying?

 

Yes, it is possible. There are already many post in this thread that says possible. Did you read the thread?

 

[Throttle2]

Yes, it is possible. There are already many post in this thread that says possible. Did you read the thread?

 

Yup and not only say its possible but have done it.

Both buy and sell without agent.

 

He sin jiao lah, never read thread.

 

 

Btw, you want to buy gold Rolex from me?

[HP_Lee]

Here I tried to put some links to DIY property yourself. Agents goes through training and previously, we do have the internet access to the market. Therefore we have to depend mostly on them. The difference is , one just have to do more leg-work. But, there is good news in today's world, whereby more websites, one can access and do your homework first.

The problem is, all those sites are mostly listed by property agents themselves. What I say is majority is still using agents an easy way out. Eventually the internet-of-things(ioT), is pretty disruptive. They have done it Taxi's and insurance market. I have seen some sites similar DIY property (diypropertyhelper.com.sg) , whereby buyer and seller communicate. I believe more could be on the way.

 

There are many more sites alike. But is still in an infant stage. Once people are well informed, we will be seeing this happening soon.

 

Years back , we used to buy all stuffs from brick-and-mortar. Today, we see something we like, next we access websites to check the compare price and eventually buy from there. I am a Lego fan, used to visit local Lego shops. But now I ended up buying from ebay instead.   

 

 

Some links to do it yourself :

http://blog.iproperty.com.sg/property-diy-buy-and-sell-resale-hdb-flat-on-your-own/

 

https://www.propwise.sg/the-10-step-system-to-buying-a-property-in-singapore/

 

http://diypropertyhelper.com.sg/state/singapore/

 

http://www.stproperty.sg/articles-property/singapore-property-news/no-agent-for-1-in-10-hdb-resale-deals/a/48204

 

https://www.ecitizen.gov.sg/topics/pages/mobile/topicsdetail.aspx?mpageId=167

 

Some links on database on properties on sale :

http://www.iproperty.com.sg

http://www.srx.com.sg/

https://www.99.co/

http://www.propertyhub.com.sg/

http://www.stproperty.sg/

 

[Lovetodaze]

Yes, it is possible. There are already many post in this thread that says possible. Did you read the thread?

 

Oh! sorry, very new to this forum posting. 

Will read through the other posts. Thanks for pointing out!

Here I tried to put some links to DIY property yourself. Agents goes through training and previously, we do have the internet access to the market. Therefore we have to depend mostly on them. The difference is , one just have to do more leg-work. But, there is good news in today's world, whereby more websites, one can access and do your homework first.

The problem is, all those sites are mostly listed by property agents themselves. What I say is majority is still using agents an easy way out. Eventually the internet-of-things(ioT), is pretty disruptive. They have done it Taxi's and insurance market. I have seen some sites similar DIY property (diypropertyhelper.com.sg) , whereby buyer and seller communicate. I believe more could be on the way.

 

There are many more sites alike. But is still in an infant stage. Once people are well informed, we will be seeing this happening soon.

 

Years back , we used to buy all stuffs from brick-and-mortar. Today, we see something we like, next we access websites to check the compare price and eventually buy from there. I am a Lego fan, used to visit local Lego shops. But now I ended up buying from ebay instead.   

 

 

Some links to do it yourself :

http://blog.iproperty.com.sg/property-diy-buy-and-sell-resale-hdb-flat-on-your-own/

 

https://www.propwise.sg/the-10-step-system-to-buying-a-property-in-singapore/

 

http://diypropertyhelper.com.sg/state/singapore/

 

http://www.stproperty.sg/articles-property/singapore-property-news/no-agent-for-1-in-10-hdb-resale-deals/a/48204

 

https://www.ecitizen.gov.sg/topics/pages/mobile/topicsdetail.aspx?mpageId=167

 

Some links on database on properties on sale :

http://www.iproperty.com.sg

http://www.srx.com.sg/

https://www.99.co/

http://www.propertyhub.com.sg/

http://www.stproperty.sg/

Wow! thanks for listing these websites!

[Icedbs]

While I am not against people who DIY a property transaction themselves, I always could not really rationalise why they would not want to use an agent.

 

The commission that is paid is always included in the selling price. If a seller wants to sell a house for say $1m, the agent would always try to sell it above $1m so that his commission is already part of that price. And if the agent could not sell it above $1m, the seller can always reject that agent.

 

Also, if the agency agreement is not exclusive, there is no stopping the seller from trying to sell it himself and using the agent at the same time! Agents may hate me for suggesting this, but through this way, an inexperience seller can tap on an agent expertise (and advice) but at the same time, trying to look for buyer himself as well.

 

So I am not sure about this not using agent mentality. Is it because one does not like another fellow earning a commission out of him? Or is it an ego issue? If the agent is able to sell the house  above seller asking price, then what is the issue of using an agent? I feel that the biggest value an agent provides is to help to filter out all the "not qualified" buyers/sellers in order to avoid a transaction that may turn sour or could not go through at the end. All the DIY guidelines given in property blogs/property websites are like a recipe book; it tells you all the ingredient and steps to cook a decent dish, but it doesn't show you all the necessary technique, experience and considerations in tacking all the "what ifs" if a step doesn't turn out to be right during the cooking process itself.. That you will need an experience chef to tell you how.

 

Just my 2 cents, nothing against DIY or agentts

Edited May 31, 2016 by Icedbs

[Mustank]

While I am not against people who DIY a property transaction themselves, I always could not really rationalise why they would not want to use an agent.

 

The commission that is paid is always included in the selling price. If a seller wants to sell a house for say $1m, the agent would always try to sell it above $1m so that his commission is already part of that price. And if the agent could not sell it above $1m, the seller can always reject that agent.

 

Also, if the agency agreement is not exclusive, there is no stopping the seller from trying to sell it himself and using the agent at the same time! Agents may hate me for suggesting this, but through this way, an inexperience seller can tap on an agent expertise (and advice) but at the same time, trying to look for buyer himself as well.

 

So I am not sure about this not using agent mentality. Is it because one does not like another fellow earning a commission out of him? Or is it an ego issue? If the agent is able to sell the house  above seller asking price, then what is the issue of using an agent? I feel that the biggest value an agent provides is to help to filter out all the "not qualified" buyers/sellers in order to avoid a transaction that may turn sour or could not go through at the end. All the DIY guidelines given in property blogs/property websites are like a recipe book; it tells you all the ingredient and steps to cook a decent dish, but it doesn't show you all the necessary technique, experience and considerations in tacking all the "what ifs" if a step doesn't turn out to be right during the cooking process itself.. That you will need an experience chef to tell you how.

 

Just my 2 cents, nothing against DIY or agents

 

diffulty is agent wont wanna do work unless exclusive is given

[AntonSm]

It is possible but are you sure that you can handle all risks? Stakes are high. Check this article https://tranio.com/traniopedia/tips/real_estate_agents_commissions_in_various_countries/ it highlights real estate agency commission rates in different countries. They are not that big, but an agency is able to guarantee that your savings will work