estate agent fees
Is it time to engage an Estate Agent but you don't know what to expect in terms of fees and what to budget for.
Here's some useful information to help you
- Agent's fee typically sit between 0.75% and 3% plus VAT. In 2023, the average estate agent fee in the UK is 1.18% plus VAT. This is for a sole agency agreement i.e. that there is only one agent acting for you.
- Make sure all services are included in the fee such as photos, floorplans, marketing and managed viewings.
- Be suspicious of estate agents charging less than 1% – there's usually a reason they're cheap. This could include online agents – always do your research.
- Always agree a no sale, no fee arrangement. Estate Agents typically only sell about 50% of properties on their books.
- There is always room to negotiate, so don't be afraid to ask.
- A multi-agency contract i.e. if you have more than one agent acting for you, can lead to a more expensive fee as the agent is taking a bigger risk in trying to sell your property in competition with another agent. This however can lead to the agent being more determined to sell for you.
- Make sure the fee is proportionate to the sale price of your property and you are in agreement with the valuation. Of course it's easier to sell a cheaper house, so agree on a sale price that you are happy with.
- Of all the professional costs you'll incur in your sale, the agent's fees are one of the highest. You may be surprised to know, they are typically much more than the fees of property lawyers who charge a lower fixed fee, because this is what the market drives. So it's essential to negotiate the best agent fee for you.
