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Afternoon Nick,

As per your statement, your unit might be worth $300k in 1980. Now it would be worth $2mil. You have got capital gain of more than 6 times but you are unhappy with $20k commission payable. Like what Zhiwei have said, you can either choose to fix your commission at certain rate which may result in having your salesperson working for you half-heartedly or market the unit on your own and make your $20k for better investment.

Or let's put it this way, you settle with a salesperson with $5k commission and he markets your unit at $1.8mil. Are you really at the winning end?

All the best.

Regards
Mike Lim
 96929209 
ERA Read More

Hi Nick,

As you have mentioned, previously in 1980s, sales commission is 1% and forward it to 2010s now, we are still charging at 1%, which means effectively our wages are not improving, while your property value is $300k back then but has appreciated to $2m now. Mathematically, you are earning $1.7m difference for your property and for you to pay $20k out of this $1.7m, I believe you are looking at a very healthy profit margin.

Moreover, if the sales of a property is such an easy taskm I believe that most owners would not have engaged our services. Think of it, all of salesperson are now required to pass the sitted exams and regulated by a government formed council of estates agents, just like doctors and lawyers, who are making much better money as a job, when all of us are considered professionals, I sincerely hope that you can relook into the professionalism of this service profession.

Regards,
Geryl LIM
Real Estate Consultant
CEA Reg R014783H
Mobile: +65-81577565 
Email: lim.geryl@yahoo.com.sg Read More