• Welcome to the LegalBeagles Consumer and Legal Forum.
    Please Register to get the most out of the forum. Registration is free and only needs a username and email address.
    REGISTER
    Please do not post your full name, reference numbers or any identifiable details on the forum.

Is Estate Agent owed a fee?

Collapse
Loading...
X
  • Filter
  • Time
  • Show
Clear All
new posts

  • Is Estate Agent owed a fee?

    Good evening


    I'm new here and just seeking some advice. I sold my property to my tenant and now the estate agent believe they are due a fee. I am feeling extremely stressed by this and just want to pay them the fee, however it does seem to me like they aren't deserving of a commission. Details as follows -


    The Flat was on the market for sale with the agent with no success. Agent suggested to rent it out. I decided to look into extending leasehold at this point to make the sale more attractive and agreed to put it up for lease - short term. Two offers for lease and zero offers for sale, disappointingly. Once I had agreed to lease it I informed agent verbally that I wished to remove the property from sale.

    The Agent has told me that the tenant was shown around as a buyer initially and not as a tenant. I challenge this. I was never informed of his interest as a buyer as this would have been my preference. I was also told that he was currently going through a divorce and was selling a property he owned with his wife. He was currently living with his mother and looking for a place to rent. My preference would have been to sell and I was not comfortable with renting and having a random person in my property. So much so that the estate agent had to ring me to put my mind at rest when I told them I had changed my mind and didn't intend to rent any longer. That conversation changed my mind and the rent went ahead. Therefore I don't believe he was introduced to the property as a buyer but as a tenant for a lease. The agent has been paid for this as per our agreement at 10% per month.

    A few months later, the tenant approached me around whether I'd be interested in selling. I said I would be once the lease has been extended. But our expectations of price were too far apart. A month or two later he approached me again and we agreed a price. I checked the terms of business for the lease and no mention of commission for the agent was specified. The agent played no part in the negotiations or the sale. I therefore don't believe the agent is due any commission. Their view is different and believe they are covered with the initial sales agreement because they introduced the tenant to the property as a buyer.

    I'm interested in views here and whether I should pay the commission. I'm a fair man and if it's due, I would pay


    Thank you








    edit - I have just looked at the information they sent me post sale. Apparently he viewed the property twice but didn't make an offer, according to the database they use. I was unaware of this when negotiating the price
    Last edited by DavidF; 6th January 2020, 17:51:PM.
    Tags: None

  • #2
    The problem is that you terminated the sale agreement once the person had been shown around and it is basically the agents word that they showed them around as a buyer.

    Have you sold the property for less than the asking price at the time it was listed with the agent?

    If so, what was the asking price then? What have you sold for? And what is their commission demand?
    COMPLETING AN N180 DIRECTIONS QUESTIONNAIRE (SMALL CLAIMS TRACK) GUIDE

    My posts here are based on my experience of a variety of life events. I have no formal legal training & if in doubt take professional legal advice or contact CAB. If you follow anything I write here you do so at your own risk & I accept no liability for any loss, costs or other outcomes.

    Private messages are disabled as help is only offered publicly. I do not come on here in the evening, at weekends or on public holidays.

    Comment


    • #3
      Originally posted by jaguarsuk View Post
      The problem is that you terminated the sale agreement once the person had been shown around and it is basically the agents word that they showed them around as a buyer.

      Have you sold the property for less than the asking price at the time it was listed with the agent?

      If so, what was the asking price then? What have you sold for? And what is their commission demand?

      Yes. I have sold it for less than asking price with the agent and the lease has been extended since then with an additional 70 years. They want 1% + vat





      edit - I have just looked at the information they sent me post sale. Apparently he viewed the property twice but didn't make an offer, according to the database they use. I was unaware of this when negotiating the price
      Last edited by DavidF; 6th January 2020, 23:30:PM.

      Comment


      • #4
        So... I'm thinking that the stress I'm experiencing over this isn't worth the 5k. And I'm probably going to settle with the estate agent this week

        Comment


        • #5
          Originally posted by DavidF View Post
          So... I'm thinking that the stress I'm experiencing over this isn't worth the 5k. And I'm probably going to settle with the estate agent this week
          My view was that had they made you aware of this you might not have rented the property and negotiated with him to buy at that stage, plus the advised you to rent to him instead of continuing marketing the property.

          I'd need to see the terms of the sale agreement to see what their obligations to you are in respect of him viewing the property and expressing an interest, but not at the asking price?

          Or if you do wish to settle with them I would make complaint that they didn't tell you about him viewing it twice and his issue being price, that you would have negotiated to sell at that time, so they have cost you money by not doing so. Given that and as you really can't be bothered with a legal battle over the fee and you loss, you feel they should discount their fee to £2,500 and we'll all get on with our lives.
          COMPLETING AN N180 DIRECTIONS QUESTIONNAIRE (SMALL CLAIMS TRACK) GUIDE

          My posts here are based on my experience of a variety of life events. I have no formal legal training & if in doubt take professional legal advice or contact CAB. If you follow anything I write here you do so at your own risk & I accept no liability for any loss, costs or other outcomes.

          Private messages are disabled as help is only offered publicly. I do not come on here in the evening, at weekends or on public holidays.

          Comment


          • #6
            The estate agent declined my offer and has issued a notice before court action through their solicitor. I have the terms and conditions of the contract. They believe they are entitled to a fee from anybody they introduce to the property up to a time of two years.*

            *They have added 8% interest and £250 for the issue of the letter. And want it paid within 7 days


            should I fight it? Should I get legal representation for court?

            Comment

            View our Terms and Conditions

            LegalBeagles Group uses cookies to enhance your browsing experience and to create a secure and effective website. By using this website, you are consenting to such use.To find out more and learn how to manage cookies please read our Cookie and Privacy Policy.

            If you would like to opt in, or out, of receiving news and marketing from LegalBeagles Group Ltd you can amend your settings at any time here.


            If you would like to cancel your registration please Contact Us. We will delete your user details on request, however, any previously posted user content will remain on the site with your username removed and 'Guest' inserted.
            Working...
            X