Need Help! Direct Buyer With No Agent Need To Pay 1% Commission To Seller's Agent?

[angelialaw 0]

Hi,

Need some advice here. I am a direct buyer who saw an ad on the net posted by a house agent. I have view the hdb unit and have committed to purchase this unit. The seller's agent is asking me for 1% commission as he's helping me to submit the paperwork to hdb. I did not engage any agent, must I still pay him the 1% commission?

Your help is greatly appreciated.

Brgds,

Angie

Edited December 12, 2009 by angelialaw

[leechaorui 2]

Hi,

Need some advice here. I am a direct buyer who saw an ad on the net posted by a house agent. I have view the hdb unit and have committed to purchase this unit. The seller's agent is asking me for 1% commission as he's helping me to submit the paperwork to hdb. I did not engage any agent, must I still pay him the 1% commission?

Your help is greatly appreciated.

Brgds,

Angie

Tell the agent politely that you did not engage her service and you are a direct buyer. Tell the agent that you will do the paper work on your own.

[swift 0]

Yup. I don't think its right for the agent to ask you for commission.

Refer this web site to the agent. Ask him to post here, and explain to us why he deserve the 1%.

[forgotten 1]

You can refuse to pay the 1% to agent. You will have to do the paperworks all by yourself. But are you familiar with the paperworks?

Edited December 14, 2009 by forgotten

[purecat 0]

Hi,

Need some advice here. I am a direct buyer who saw an ad on the net posted by a house agent. I have view the hdb unit and have committed to purchase this unit. The seller's agent is asking me for 1% commission as he's helping me to submit the paperwork to hdb. I did not engage any agent, must I still pay him the 1% commission?

Your help is greatly appreciated.

Brgds,

Angie

In reality I think the role of the buying agent is not to submit documents ? For our purchase, our buying agent help us source the flat. The documents to HDB is submitted by the seller's agent ( usually via resale net ) and not buying agent.

Hence I dont think he can charge you 1% at all. However did you sign any commission form ?

Btw I thought now rules already stated that the buying agent and selling agent cannot be the same person for the same HDB flat ? Maybe worth calling HDB to check on this.

[coldflamez 0]

In reality I think the role of the buying agent is not to submit documents ? For our purchase, our buying agent help us source the flat. The documents to HDB is submitted by the seller's agent ( usually via resale net ) and not buying agent.

Hence I dont think he can charge you 1% at all. However did you sign any commission form ?

Btw I thought now rules already stated that the buying agent and selling agent cannot be the same person for the same HDB flat ? Maybe worth calling HDB to check on this.

Although MND has revealed they are likely to ban this practice, the rule has not been officially put into place yet. So obviously this is another unethical agent trying to scamp people of their money before the practice is banned.

My advice is not to pay the agent! If he says that he will not sell you the house unless you engage him, demand to speak to the seller or tell him you will lodge a official complaint against him. This is because he will be voiding his agreement with the seller by not conveying your offer to the seller.

[coldflamez 0]

Although MND has revealed they are likely to ban this practice, the rule has not been officially put into place yet. So obviously this is another unethical agent trying to scamp people of their money before the practice is banned.

My advice is not to pay the agent! If he says that he will not sell you the house unless you engage him, demand to speak to the seller or tell him you will lodge a official complaint against him. This is because he will be voiding his agreement with the seller by not conveying your offer to the seller.

And another thing, do not sign the commission agreement. If you think that you would rather have the agent fill up the paperwork for you (even though it's not difficult), you can negotiate to pay him a few hundred for his service. There is no way submitting the form will justify a 1% commission.

Edited December 14, 2009 by coldflamez

[synapse 0]

interesting.. i always thought we have to pay the agent the comm if he is the seller agent as he will do the paperwork etc. I think that seller's agents prefer to deal with direct buyers so they can get the comm rather than deal with buyers with agents correct?

[forgotten 1]

I was a buyer sourcing for units mths ago. All the seller agents expected me to pay them the 1% commission if I wanted the deal to go through.

Edited December 15, 2009 by forgotten

[davidbslee 1]

My agent is also seller agent because I call to view the flat as I got no agent. I was told to pay 1% as agent fee to my agent. I always thought is a rule to follow. Something like seller 2% and buyer 1% if same using agent. Recently I just finish my 1st appt and seller told me they only pay 1% to our agent. I told my wife about it but my wife said never mind as agent also need to eat, I confuse. Since my wife ok with it, I also never go talk about it and look forwards to our 2nd appt in 5weeks time Do you think I should only give my agent the comms cheque only after the final inspection of the flat just before 2nd appt?

Edited December 19, 2009 by davidbslee

[forgotten 1]

My agent is also seller agent because I call to view the flat as I got no agent. I was told to pay 1% as agent fee to my agent. I always thought is a rule to follow. Something like seller 2% and buyer 1% if same using agent. Recently I just finish my 1st appt and seller told me they only pay 1% to our agent. I told my wife about it but my wife said never mind as agent also need to eat, I confuse. Since my wife ok with it, I also never go talk about it and look forwards to our 2nd appt in 5weeks time Do you think I should only give my agent the comms cheque only after the final inspection of the flat just before 2nd appt?

All the seller agents told me the same thing as your agent when I called them up. In the end, I decide to engage an agent to represent me.

I realise that there's no way to siam the 1% commission unless the seller is selling his unit directly without an agent or we find an agent friend who is willing to represent us for free lol. Similar to your wife's thinking, I think my agent friends need to eat too.

I'm quite happy that the govt is thinking of implementing the rule whereby an agent can only represent either seller or buyer, and not both. If represent both parties, there will be conflict of interests.

My agent told me to pass her the commission at the 2nd appt. You can be firm and inform your agent that he will be getting the commission at the 2nd appt. I always believe that it's safest to pay in full only after everything is settled nice nice.

Well your seller is perhaps paying 1% commission instead of typical 2% for selling because he is also buying his new unit from the same agent (another 1%) ?? Some agents do give discount in this kind of situation. Hehe I don't know how much my seller is paying his agent and don't bother to find out . That's between him and his agent, I respect that.

Congrats to your new home in 5 weeks time!! I still need to wait 4 months.

Edited December 19, 2009 by forgotten

[born_again 0]

go for a win-win situation and try to nego for lesser than the 1% comms especially if u like the unit very much. Some sellers' agents would 'ignore' you totally and 'sell' the unit to you if you make it clear to them that u're not going to pay a single cent of comms to them.

always pay the comms after the entire completion.

Edited December 20, 2009 by born_again

[samdolmat 0]

my agent even best. i told him will engage his services to sell my house last time only if he give discount on commission on selling and buying.

he agreed and both parties happy....

[jeda 0]

alternative is go and find your agent friend to do the paper work for you.

before i found this agent, my friend had offered to do at 1% commission with freebies (plasma tv), and another friend offer to just charge 40% of 1% commission.

[seashell 0]

HI

I also sell my own house... did advert n etc myself... (even go to neighbouring flats to drop flyers...)

end up, i also sold my house via property agent, it was an open listing. she was asking for 2% but i didn't agree as i told her i did advertising myself

in the end, i told her if she could sell for me at a certain agreed price, i will give her 1% comm..

she did and i paid her 1% comm...