We sell properties at fees that traditional agents wince at. We’ve become pretty good at it and the word is spreading.
Recently we’ve been asked to sell a growing number of shared ownership properties which, typically, have a sale price of 25% to 40% of full value. Recent successes include houses and flats in Milton Keynes, London and Cambridge.
High Street estate agents charge a percentage of the price that is achieved. So, on average, a £200,000 home costs £3200.00 in agency commission PLUS vat of £640. A total of £3840.00. Shocking in itself.
But these local agents don’t charge in the same way for shared ownership homes or indeed lower value properties in general. They have a ‘minimum fee’.
And having called a few ‘bricks and mortar’ type agents today we can reveal that some agents are really pushing the envelope with regard to the REAL percentage that they charge.
haart in Milton Keynes for instance charge a minimum £2200 (plus vat of £440.00). Even at a price level of just £45,000 as we discussed with them in our mystery shop call.
Like loan sharks hiding their APR from their prey, High Street agents are charging as much as 5% on these sales. Tellingly, the chap at haart explained with great enthusiasm as to how easy shared ownership properties are to sell. Get that! Easy and a whopping great bill in return.
You’ve been warned!