Real estate crisis increased brokerage fees

Nowadays, in order to sell the clients properties, a real estate broker must do a lot more than they used to a couple of years a go. Tõnu Toompark said today in an online interview that this often equals in expenditure, postimees.ee writes.

For years, under the brokerage fee in the real estate bureaus price list there have been the number 3-5 pct. If 2-3 years ago this was the real estate brokers so called dream then the actual brokerage fees were lower and the 3-5 pct fee seems more and more reasonable now. Therefore the brokerage fees have actually increased.

“This is almost contradictory to the laws of economy, where the fees should decrease on the count of the real estate brokers’ numbers being stationary and the demand for real estate brokers’ services decreasing. The laws of economics will not be disagreed with though because many real estate brokers are giving up the so called unprofitable work. Real estate brokers don’t have important investments they would have made for the sake of the job, therefore, it will be easy and cheap for them to simply quit,” Toompark pointed out.

Artikli autor on Sirely Salk, artikkel ilmus 08/05/2009 väljaandes Balticbusinessnews.com.

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