It’s important to go to an established estate agent with a good reputation, and choose an agent you’re comfortable working with. But arguably the most important aspect of your choice of estate agent comes down to numbers. What price is your house valued at? What will your estate agent charge you for selling it?
Low estate agents’ fees – what do they really mean?
Some agents promise low fees, e.g. 0.5% of the selling price. But Harry Singh, estate agent at Henry Wiltshire Hayes, puts this figure in context: “The average house price in UB3 is, according to Zoopla, roughly £364,000. 0.5% of £364k is £1820. In other words, a seller would pay just £1820 to sell their house. While that sounds like a bargain, it’s important to remember that you get what you pay for. A 0.5% estate agent cannot afford to do a thorough job – to make a living, he would have to split his time across numerous sales, giving the minimum attention to each. Sellers are usually better off paying a slightly higher rate – they usually get a better standard of service and end up with more money in their pockets.”
How do London estate agents decide what percentage to charge as a fee?
The higher the price of the house, the more responsibility attached to the sale. More work will have to be put into marketing it and connecting with the right buyer. This is why an agent’s percentage often increases with the price of the property.
In the same way, the easiest way for an agent to keep fees low is to value the house at the lowest possible price and market it accordingly. A low-rate estate agent needs the house to sell quickly for their business plan to work, and may undervalue the house to achieve this. Everyone wants a quick sale, but no seller wants to lose out financially.
How much will I make if I sell my house in West London for a 1% fee?
With the 1% fee charged by Henry Wiltshire and other reputable estate agents, the seller of an average UB3 property would still gain £360,360 from the sale of their house. If a cheaper estate agent had offered to sell it for a flat rate or a low percentage, they would have to market the property at considerably less than £360,360 to be able to deliver the sale of the house for the promised fee.
“You get what you pay for,” says Harry. “Henry Wiltshire offers free valuations and so do most estate agents, so you can have your house valued by several property professionals before you decide who to do business with”.
Sell property in Hayes
The Henry Wiltshire team do their research well to offer sellers realistic valuations – you can read more about Henry Wiltshire’s services for sellers here. To sell your house or apartment in Hayes, contact Harry and the team on 020 3696 5626.