Real estate body notes complaints on commissions
19 October, 2018, 5:20 am
THE Real Estate Agents Licensing Board (REALB) has to date received several complaints with regards to the percentage of commission charged by real estate companies that operate in Fiji.
REALB acting chief executive Virisila Tuimanu said the industry needed relevant practice guidelines with the main objective to protect customer interests.
“Real estate commissions charged by real estate agents is a certain per cent of the sale price of a house paid to the real estate agents involved in the transaction. In traditional home sales, the commission can be anywhere between 1-8 per cent and sometimes split between the buying and selling agents,” Ms Tuimanu said.
She said complainants only realised when they had been overcharged once they had endorsed agency agreements.
“The commission is paid out of the proceeds of the sale. Excessive commission, advance commission and early deposits for commission are core problems in the real estate industry in Fiji.”