When you put your property on the market you might wince at the commission that your estate agent is asking. Most often, in the UK, you can expect to pay around 1.50% to 1.75% and, if your property sells for £400,000, 1.75% adds up to £7,000.
That £7,000 seems like a lot, but you should pay it without question. You don’t have to pay it upfront, after all. It’s also well worth it, and here’s why.
Your commission isn’t just a tip for your agent
That commission isn’t just a nice little reward for selling your house, because that house won’t sell itself.
In order to sell your property, your agent will need to answer lots of phone calls, make lots of phone calls, conduct at least one viewing, deal with awkward and charming house-hunters alike. They’ll fend off aggressive developers who think they can get away with an offer of £250,000.
You’ll get some good publicity
Your commission will also fund the expense of a professional photography shoot with, these days, staging advice and maybe even a few props.
You can’t do much in the property market without great photos, so if you think you can save the £300 to £400 involved in taking, editing and uploading photos, you’d better be a professional photographer yourself!
Then there’s the brochures, which are still very effective, especially if your property is in the window display and it catches the eye of a passer-by. A print run can cost upwards of £200 and if it helps to sell your place, it’s just as worth it as the photos and the phone calls.
You’re paying for the long-run
If your property is on the market for a few months, then there’s going to be a lot of viewings, calls, negotiations and diplomacy in order to find that buyer and walk them through to completion. Your commission will fund either months of attention or a rapid sale at the right price – either way, your estate agent deserves every penny.