Ordering party principle: new regulations on brokerage fees

Orderer principle – With 01 June 2015 the legislator has made a new regulation of the brokerage fee with letting. Since this date, the buyer pays the commission and the tenant no longer has to expect additional costs in the form of a brokerage fee. For prospective tenants this regulation contains a clear advantage. Owners, on the other hand, are now thinking longer about whether to commission an estate agent with the letting of their apartments or to take on all the tasks themselves.

New regulations: Purchaser principle in the sale of a house?

If you want to sell your real estate or condominiums, the buyer principle has no influence on the billing. Even though there have been discussions about a new regulation for real estate sales for several years, the current rule is still that the agent’s commission appears in the ancillary purchase costs and is paid by the buyer. There are some proposals that could lead to a permanent relief in real estate purchases and provide the potential owner with a financial advantage.

In addition to the introduction of the purchaser principle, there is also talk of a reduction in land transfer tax. At this stage there is no evidence to suggest a change in billing. If you decide to let your property, you can instruct the agent at no cost to you and benefit from a professional, fast letting process carried out according to your criteria. If you are buying a property and not focusing on a private offer, you will pay the estate agent’s fee as an item in your incidental purchase costs.

Ordering principle changes the market

Should the buyer principle also be introduced for real estate sales, changes on the market are pre-programmed. In this case, you would pay less additional costs for your purchase, as the percentage surcharge of the brokerage fee and the additional sales tax would be omitted.

For owners, the buyer principle in the sale of real estate would be accompanied by an additional financial expense, since the bill would have to be paid by you after the service has been rendered. Nevertheless, we advocate placing the sale of real estate in experienced hands and receiving benefits through the comprehensive brokerage service. You are opting for a comprehensive service with estate agency, which takes the pressure off you and gives you the opportunity to get the best price for your home and save yourself a lot of time in the selling process.

More information about selling a house:

Broker contract: tips and help

You want to sell a house or an apartment, have no experience in the real estate market and want to avoid mistakes at all costs? Then you are well advised to use the comprehensive services of an estate agent and simplify the time-consuming and complex sale of your residential property. When you hire an agent, you don’t have to factor the sale of your property into your schedule, as all tasks are handled directly by your real estate agent and carried out in your best interest.

Sell

There are various reasons that make you think about selling a property. Many of our clients already own their own house or condo when they inherit their parents’ home and don’t know what to do with the inheritance now. Are you facing this question or have another reason for selling your house? Our professional online real estate agents can assist you and help you get the best price for the property and not put a long wait on the agenda in the course of the sale. While you can sell privately if you are the sole owner, a house or apartment owned by a community of heirs presents greater challenges.

Tasks of a broker

Basically, a real estate agent fulfils all tasks that are important before and during the sales and rental phase. He creates an exposé, determines the market value of your property, advertises your property and is then the interface between you and interested parties. While the creation and publication of an advertisement is a time-consuming but unique task, answering customer enquiries is part of the daily business of an estate agent.

• Here you can find more information about the tasks of a broker.

Commission for the broker – The most important regulations

More than 80 percent of all properties for sale or rent are brokered. This means that the owner commissions a real estate agent to advertise the offer and to carry out all tasks up to the conclusion of the contract on his behalf. Professional brokerage is a service that is agreed between the client and the real estate agent. After the service has been rendered, a commission, the so-called brokerage fee, is due. Who pays the commission depends on the type of commission and the reason for the commission. If you sell your property through an estate agent, the buyer usually pays. In the case of lettings, the buyer principle has applied since 2015, so that the invoice recipient and commission payer is identical to the person who has commissioned a brokerage service.

• Here you can find more information about the broker commission.