Percentage Real Estate Agency or Real Estate Agency Commission: how much is the sum we have to pay to the real estate agency, Skymarketing?
You have struggled so much to put together the money to buy your house, perhaps even by getting into debt with the bank and commissions are popping up to be paid from everywhere: notary, experts, agencies.
If, however, there are fees for the former and the latter either established by law or in any case regulated by the order they belong to, the issue of agency commissions for the purchase and sale of a property becomes particularly complicated.
What is the right commission percentage of the real estate agency and who does this job? Above what level can we think they are cheating us? How fair is it to recognize in the event that the exclusivity has been granted?
Read on, because we will tell you in detail everything you need to know about one of the thorniest aspects of real estate, that of the expensive commission of those who (wrongly), we think maybe just made a few phone calls.
Navigate through the article:
A (partial) defense of real estate agencies and agents
We begin our examination by trying to give, as far as possible, to Caesar what belongs to Caesar.
If it is true that we have prepared a guide to identify the right remuneration for those who helped you buy a house, it is equally true that the right cannot be zero.
In fact, a real estate agent must worry about various aspects inherent to the sale, and despite the fact that the sector (like all or almost all) is also frequented by amateurs in disarray and by first-rate pimps, the agent who has completed the sale must be recognized adequate compensation.
The agent and the agency are concerned with:
- advertise the property in mivida city
- manage visits
- identify buyers who are not problematic
- propose to those who buy only “regular” properties
- sometimes negotiate on the price
- prepare preliminary and documentation
- practically take you to the notary in your hand
- If you do not believe that the agency and the agent do the work necessary for the success of the sale, you can certainly go elsewhere or buya house directly from a private individual.
- How much is it fair to pay? What are the prerequisites? What are the percentages circulating in Italy? What does the law say?
A second premise: what the law says
- However, another premise is necessary before proceeding. We have to look at what the law says, especially regarding a market that unfortunately sees more and more improvised people, professional grabbers and people who shouldn’t have anything to do with a noble sector like real estate.
- The realestate agents are virtually everywhere and it is easy to see why, even by the legislature, or is a regulated activity.
- In Italy, law 30 of 1989 is valid, which concerns the entire category of brokers and which therefore also sets limits for realestate agents.
- In the first place, real estate agents must necessarily passan exam and subsequently they must enroll in the Register, which is held in the Chamber of Commerce.
- The agent who is not regularly registered is not entitled to the commission.
When does the commission have to be paid?
It must be said that many of the agencies, however, require a commission based not on the work performed, but rather on the exclusivity you have granted them.
The exclusivity contract will in fact provide for a commission not only in the event that the agency sells for its own through the house, but in any case there is a sale during the entire period of exclusivity.
The real estate agency fee or the real estate agent commission is realized only if the property is sold.
On the other hand, as regards the moment that must be considered useful for payment, it is customary once the parties have agreed and a confirmatory deposit of the agreement between the parties has been paid.
The case of conditions precedent and termination conditions
Although it is customary to consider the signing of the proposal or the payment of the deposit as the moment in which the payment is due, it should be noted that there may be two types of cases in which one must instead wait for a later time:
- the suspensive condition: it is a condition that can be affixed to the purchase proposal and which provides that the contract becomes valid only in the event that somethingoccurs. It may be the case of accepting the loan, or the sale of one’s property, with which money would buy the new home, or any other type of clause that operates in the sense of making the contract valid if and only if the condition occurs; another typical case is that of checking mortgages and cadastral surveys, as well as floor plans as reported in the land registry, etc.; In this case, the contract can only become valid if the property does not present previous mortgages or any other problems;
- the termination condition: it is a condition that is capable of making the contract null and void. It works practically the opposite of the suspensive one – the contract is already valid from the signature, but the occurrence of this condition can make it null and void. It is a much rarer case, as it is more difficult to handle legally.
But how much commission do you have to pay to the agency?
Real estate agency commission percentage how much is it?
Real estate agencies or real estate agency commissions do not have precise rules.
We explain better.
There are no precise rules regarding the commissions of real estate agencies that the agency can ask you in exchange for the service provided.
The values that can be considered “normal” (although we will have to make a series of important distinctions later), typically range from 1% to 4% of the sum to which the property was sold.
However, we want to take the opportunity of this guide to chat with you about some fundamental aspects of the “commissions” issue, which often, in the excitement of the sale of a property, end up ignoring.
- Not all houses have the same market: this means that there are properties that are moredifficult to place, and for which the agency could ask for a little more;
- Agencies that are very strong in a territory will tend to ask for more, because they know that by turning to others you would have less chance of selling;
- It also depends on the value of the property: generally, for very low value properties, the agency requires higher percentages to accept the assignment;
- In reality, there are data, collected by the Chambers of Commerce, which collect commercial uses for the sale of real estate, which are not the tables of the law of Moses, but can still give you a picture of what happens, more or less, region for region.
The data of the Chamber of Commerce: how much commissions you pay for the real estate agency, region by region
Real estate agency costs: here they are! Region by region!
- Lombardi2-4%, which is applied to both the buyer and the seller;
- Piedmont2-4%, also applied here to both parties
- Valle D’Aosta About1% on the price of the accepted proposal for those who buy and 2% for those who sell
- Liguria2-3% on the price of the accepted proposal, both for the buyer and for the seller, in most of the Region
- Trentino Alto Adige2% on the price of the accepted proposal, for both the buyer and the seller
- Friuli Venetia Giulia2% on the price of the accepted proposal, for both the buyer and the seller
- Veneto2% on the price of the accepted proposal, for both the buyer and the seller, in most of the Region
- Emilia Romagna2% on the price of the accepted proposal, for both the buyer and the seller, in most of the Region; reduced percentage for the buyer in the provinces of Modena and Piacenza;
- Tuscany2% on the price of the accepted proposal, for both the buyer and the seller, in most of the Region
- Marche2% on the price of the accepted proposal, for both the buyer and the seller, in most of the Region
- Lazio2% on the price of the accepted proposal, for both the buyer and the seller, in most of the Region;
- Abruzzo2.5-3% on the price of the accepted proposal, both for the buyer and for the seller
1% on the price of the accepted proposal, for both the buyer and the seller
- Basilicata1-2% on the price of the accepted proposal, both for the buyer and for the seller
- Campania1.5-2% on the price of the accepted proposal, both for the buyer and for the seller, in most of the Region
- Puglia2-3% on the price of the accepted proposal, both for the buyer and for the seller, in most of the Region
- Calabriapercentage differentiated according to the selling price in most of the Region
- Sicily2-3% on the price of the accepted proposal, both for the buyer and for the seller, in most of the Region
- Sardinia 2-3% on the price of the accepted proposal, both for the buyer and for the seller.