Facts regard the buying and selling of property in Spain with regards to estate agents. This blog contains the facts on what a (proper) estate agent does for a client.
Do buyers pay agents?
No never, the seller of a resale property and the promotion for a new build pay the agents after completion.
Are viewing tours free?
Yes, as far as we are aware there are no companies who clients need to pay to see property
Do Sellers Pay the Agents?
Yes, the seller has had their property marketed through the agent usually on the agent’s website, Kyero, A place in Sun, Think Spain, Zoopla, Right Move. social media, email campaigns and many more. Agents fees are usually 5% of the selling price but can be more dependent on the agent involved. These portals and marketing channels cost a lot of money to advertise agency properties on, as does marketing the property through Google and associated searches.
Why use an agent to buy?
Decent agents who do their job properly can be a huge advantage to a buyer. They know where the bargains are, the recently reduced properties, the best properties in budget, you can see many properties in one day and have the agent drive you to all and show areas on the way, a vast knowledge of the areas, how to beat the banks for money transfers, get you a very good mortgage, make sure the property is legal, ensure you do not lose your deposit, translate for you, make sure you get everything correct at the notary, change over your utilities seamlessly (this is a big deal), provide a very good and honest lawyer (in our case with no commission to us) get access to the minutes of the community, advice on community fees, know whether the development is in debt. Imagine you give an agent your top budget, they will almost definitely know which are the very best properties available for that budget. If you buy direct from the owner you pay exactly the same as you would as viewing through an agent, however, that agent will have shown you many other examples of properties within your budget that they feel are the best. Example, a client gives our company a location of Calahonda and a budget of 180k today, we would instantly know the 3 properties we would show you. We would show more but I know these 3 are the best it will get for that budget, and we also know one was reduced two days ago by 15k for a quick sale. Where is the downside in that for a client?
Why use an agent to sell?
Clients on books looking to buy in certain areas, an email list of (in our case 1500) clients who have made an enquiry regards property for sale. Sharing of your property with other agents maximising the exposure of your property. Sellers do not have deal directly with the public. Agents arrange the tours, agents arrange finance for clients. Agents will securely hold your keys and show when you are not there. Much more…
What is the process for an estate agent when an enquiry is made?
An agent may receive enquiries from anywhere in the world, the agent then gets in contact to the potential buyer, establishes their budget, wish-list, and chosen area. The agent then sends suitable properties for sale in Spain to the client for consideration. The client may be coming to view property soon, be already in Spain (not common) be itching to live in Spain or it might just be a nice thought and the clients are asking a few questions for later in life.
When the properties have been sent and a client has established they trust your estate agency in Spain and want you to be the estate agent to show you property, you put together a viewing list. This is a very hard task, lasing with other agents, your own clients for keys etc. The client arrives and the agent takes the client to see the properties in the criteria they have chosen. Good agents are very knowledgeable regards the correct properties and areas.
Do estate agents in Spain show you properties they want to sell or properties you want to see?
It’s true some estate agents may show you properties they wish to “get off their books” and they are under pressure to sell. However, you are never going to convince a client to buy a property they do not like. Good agents show properties that they know fit the client’s criteria and budget, whether this another agents property for sale or not.
Are there bad agents?
Absolutely, we always urge clients to use a regulated agent or an established agent with a good reputation.
Are agents regulated?
You need no regulation at all to be a real estate agent in Spain. It is optional, and good agents usually ensure they have that regulation in place. In our case the AIPP!
Closing summary for now.
We will add to this blog as we go along or please feel free to ask any questions below and we will answer you (spammers and nasty keyboard warriors will be deleted)
This blog was written by Equitas Property Spain – We help with Property for sale in Spain and Spanish Mortgages
We are regulated by the GDPR, the ICO data protection act. And we are proudly a member of the Association of International Property Professionals (The AIPP)
Is there really a downside to using an agent?