Estate agent fees are unavoidable if you sell your house the traditional way.
With thousands of pounds on the line, it’s only natural to want to get the best deal possible.
But can you negotiate estate agent fees?
We’ve answered this question and more below.
Estate agents fees: A quick overview
Estate agents usually take a commission on the total selling price of your property.
The average commission in the UK is currently approximately 1.42% of a property’s final price.
And it tends to be the same rate for all houses.
So, the estate agent makes much more from an expensive property than an inexpensive one.
(But equally, there are more inexpensive properties on average to work with.)
When do estate agents charge?
Most estate agents charge their fees upon completion.
A small number charge up-front, or charge half up-front and the other half at the end.
This particular question could potentially be negotiable, too.
Can you negotiate with estate agents over fees?
While it’s not often possible, negotiating estate agent fees is worth considering, especially with smaller, independent agencies.
Larger, national estate agencies typically have fixed commission rates that are difficult to negotiate.
It ultimately depends on the organisation’s policy and the specific estate agent.
How do I find the best estate agent fees?
There are a few steps you can take to find the best estate agent fees.
It’s worth taking your time and considering all of these because they can help you avoid the need to negotiate in the first place.
In short, finding the best estate agent fees is often the same as choosing the right estate agent.
Speak to multiple companies
You can contact several estate agency companies to confirm what their fees are.
You can ask for this information without committing to selling your property with them.
Doing this with several estate agencies in your area allows you to see the lay of the land.
You can then cross-compare their prices with the service you expect.
Use price comparison websites
There are price comparison websites that can give you guidance in this area, too.
This can show all the estate agencies in your location and their typical price. It shows their reviews, as well.
Get recommendations
Ask friends and family for details about the rates they’ve encountered.
This can also give anecdotal evidence of which companies are the best on price.
Ways to avoid estate agent fees
Online estate agencies
Online estate agencies often have different price structures to traditional ones.
This is partly due to them not having the same overheads as traditional estate agencies.
It’s worth checking these out and contacting them.
Use a cash buying company
Using a cash buyer to sell your house does not incur a fee. In most cases, they’ll buy it for free, at a reduced market rate.
Auction houses
Auction houses take a fee when they sell your house, but this is usually far lower than an estate agent’s commission.
Sell privately
Selling privately also allows you to sidestep estate agent fees.
This is because you do everything yourself, and thus don’t need to pay an estate agent.
