I Have Exercised Otp, Now Seller Agent Wants Money From Me!

[chronograph 0]

i got it. yes, i sign excl with my agent and he sold my flat within 3 days with high COV. i signed his 2% comm agreement after the sale (at first i thought 1% or i may be hear from him wrongly).

the same agent also help me to source for my new flat and his is charging me 0.5% comm. after we got the flat we want (within a month) , he submitted all paper and got us the 1st appointment together with buyer (of my flat) and the seller (the flat i am buying from). all three pairs will be at the 1st appointment.

No headache, $$ well spent.

[foldme 0]

Hi all,

Just a quick update on my resale status and hope it can be of use of to anyone else who may be experiencing this during their house hunting.

As stated in my first post, seller agent requested for commish after I exercised OTP (this was before 1st appt).

Since at no point in time did we agree to use the SELLER agent's services, and plus the fact we found the flat on our own, I wasn't prepared to pay. So I flat out told the agent no, and he relented and said he hoped to discuss with me further down the road. From that time on till the 1st appt, he SMSed me once to enquire about the commish. I ignored the SMS and there was no contact until the 1st appt.

Come 1st appt, everyone shows up (sellers, agent, us) and we go thru the process hassle free. After the 1st appt concluded however, agent pulled me to one side to ask about the commish again. I told him no again, and he said to let him know what we are comfortable with paying. I said I'll think about it. He added that its in my best interest to settle this matter with him, otherwise he will have to let his company (ERA) handle it. I believe he was implying a legal case against us. Again, at no point did we agree, verbally or otherwise, to hire him as our agent, so we felt even if it had to come to a legal issue, we wouldn't lose.

So we didn't hear from the agent until the 2nd appt when he reminded us to turn up for it. At the 2nd appt though, he sent her colleague and he wasn't present. Again, the 2nd appt went thru smoothly with no hiccups.

So now here we are, with the keys to our new flat and no agent fees paid.

Long story short (too late), you don't have to pay the SELLER AGENT's commission if you did not agree to their services. Regardless of what they may claim, and in my case he said it's the norm to pay the commish as a BUYER, as long as you didn't sign on the dotted line hiring their services, you are in the free and clear.

Happy house hunting.

Edited July 22, 2010 by foldme

[Spikey 0]

Hi all,

Just a quick update on my resale status and hope it can be of use of to anyone else who may be experiencing this during their house hunting.

As stated in my first post, seller agent requested for commish after I exercised OTP (this was before 1st appt).

Since at no point in time did we agree to use the SELLER agent's services, and plus the fact we found the flat on our own, I wasn't prepared to pay. So I flat out told the agent no, and he relented and said he hoped to discuss with me further down the road. From that time on till the 1st appt, he SMSed me once to enquire about the commish. I ignored the SMS and there was no contact until the 1st appt.

Come 1st appt, everyone shows up (sellers, agent, us) and we go thru the process hassle free. After the 1st appt concluded however, agent pulled me to one side to ask about the commish again. I told him no again, and he said to let him know what we are comfortable with paying. I said I'll think about it. He added that its in my best interest to settle this matter with him, otherwise he will have to let his company (ERA) handle it. I believe he was implying a legal case against us. Again, at no point did we agree, verbally or otherwise, to hire him as our agent, so we felt even if it had to come to a legal issue, we wouldn't lose.

So we didn't hear from the agent until the 2nd appt when he reminded us to turn up for it. At the 2nd appt though, he sent her colleague and he wasn't present. Again, the 2nd appt went thru smoothly with no hiccups.

So now here we are, with the keys to our new flat and no agent fees paid.

Long story short (too late), you don't have to pay the SELLER AGENT's commission if you did not agree to their services. Regardless of what they may claim, and in my case he said it's the norm to pay the commish as a BUYER, as long as you didn't sign on the dotted line hiring their services, you are in the free and clear.

*CLAP CLAP*

Happy house hunting.

[BabySan 0]

Hi all,

Is that to say, when we buy, we need to pay 1% commission and when we sell, it will be 2% commission?

If we are using the same agent for buying and selling, then we can neg for lower com?

Currently selling my flat and the agent is asking us for 2% com and higher if he can get COV above $60k. Is this the market practice?

Thank you for the advice.

[bepgof 20]

Hi all,

Is that to say, when we buy, we need to pay 1% commission and when we sell, it will be 2% commission?

If we are using the same agent for buying and selling, then we can neg for lower com?

Currently selling my flat and the agent is asking us for 2% com and higher if he can get COV above $60k. Is this the market practice?

Thank you for the advice.

Early bird got worm to eat, therat, correct?

Don't be conned by agent, unless u have signed exclusive agreement which demend for 2% comm. Otherwise, just pay agent 1% comm for his service for selling for you. Same agent is easier for comm neg, true.

1st "lock in" yr own targetted price (val + cov), if agent can sell "anything above this" just give to them - sound logical?

Edited August 9, 2010 by bepgof

[therat 18]

bepgof, u 7 early 8 early, came and post liao.

BabySan,

Read this IEA to remove guidelines on property agents' commissions

If you're shopping for a new home or selling one, you can now negotiate with your property agent on the appropriate commission.

[bepgof 20]

bepgof, u 7 early 8 early, came and post liao.

Bopiah, I'm the 7 early 8 early person, "trained" since a little boy. Sleeping also 7 early 8 early.

Edited August 10, 2010 by bepgof

[leechaorui 2]

Maybe give the agent a red packet to solve it rather than a head on crash which I believe you will win. Anyway, buying flat is a happy thing. A bit of money spent on Red Packet may be a positive thing for you. Cheers!

[johngate2100 0]

Paying commission is mandatory for this purpose.Because if someone is giving you services then you are required to pay him his dues.

[leechaorui 2]

Paying commission is mandatory for this purpose.Because if someone is giving you services then you are required to pay him his dues.

That's provided the buyer has agreed to pay for the service. If a service is rendered without your agreement and you could do on your own, I don't think it is fair for you to pay the agent the commission. Besides, the agent is hired by the seller and not by the buyer.

Having said that, buying a flat is a happy thing. Since some service has been rendered by the agent for the buyer, the buyer could give a red packet to settle it.

Cheers!

[Warrior88 0]

In the past, some seller agent had resort to compromise with seller.

No cobroke, means seller only foot 1% while buyer foot the other 1%

Saving of 1% for the seller. But as for me, I would do that as No cobroke restrict the pool of the buyers.

[davidbslee 1]

Well, if you think that the seller agent serve you well enough and also help you nego on yr side, then I think 1% com should give it to him. When I brought my resale flat, found the flat my own through ST and call up for viewing. I am using seller agent and the agent serve me well enough to make sure nothing goes wrong till the resell complete.

[delirious_jeff 0]

Hi all,

Just a quick update on my resale status and hope it can be of use of to anyone else who may be experiencing this during their house hunting.

As stated in my first post, seller agent requested for commish after I exercised OTP (this was before 1st appt).

Since at no point in time did we agree to use the SELLER agent's services, and plus the fact we found the flat on our own, I wasn't prepared to pay. So I flat out told the agent no, and he relented and said he hoped to discuss with me further down the road. From that time on till the 1st appt, he SMSed me once to enquire about the commish. I ignored the SMS and there was no contact until the 1st appt.

Come 1st appt, everyone shows up (sellers, agent, us) and we go thru the process hassle free. After the 1st appt concluded however, agent pulled me to one side to ask about the commish again. I told him no again, and he said to let him know what we are comfortable with paying. I said I'll think about it. He added that its in my best interest to settle this matter with him, otherwise he will have to let his company (ERA) handle it. I believe he was implying a legal case against us. Again, at no point did we agree, verbally or otherwise, to hire him as our agent, so we felt even if it had to come to a legal issue, we wouldn't lose.

So we didn't hear from the agent until the 2nd appt when he reminded us to turn up for it. At the 2nd appt though, he sent her colleague and he wasn't present. Again, the 2nd appt went thru smoothly with no hiccups.

So now here we are, with the keys to our new flat and no agent fees paid.

Long story short (too late), you don't have to pay the SELLER AGENT's commission if you did not agree to their services. Regardless of what they may claim, and in my case he said it's the norm to pay the commish as a BUYER, as long as you didn't sign on the dotted line hiring their services, you are in the free and clear.

Happy house hunting.

Well done!!! More should learn from your experience!

Valuation requests, HLE applications, resale applications, etc can be done online via MyHDB website. No need to waste money to get others to process such simple tasks (unless you have excess money to give away)!

Even bank housing loans are easy to secure (unless you have bad debts). All you need to do is to visit a bank branch and speak to the banker.

Edited August 15, 2010 by delirious_jeff

[johngate2100 0]

I want to know the percentages for this.for buyer and seller as well.

[bepgof 20]

I want to know the percentages for this.for buyer and seller as well.

Confused? Let me list what's being done in mkt: (HDB resale)

1. Seller engages agent, no exclusive agreement sign, pay 1%. Can pay additional "angpow" to agent if seller likes it.

2. Seller can choose to sign "exclusive agreement" with agent, usually pay 2%. Optional "angpow".

3. Buyer "walk in" without agent, Can choose not to pay seller agent 1 single cent (must do paper work himself) or pay 1% (negotiable), be careful, most agents will "con" you into signing commission agreement without you actually aware of. Or don't pay comm but use "angbow" to settle the agreement between you & the seller's agent.

4. Buyer with agent - throug this way, usually seller's agent is at upper hand & will play tricks and buyer'll be hard (or pay higher price)to get a good unit he/she likes. Why? think! Buyer can pay whatever % or angbow or coffer/tea, massage or ever car...to buyer agent.

I miss out any?

Edited August 17, 2010 by bepgof