Although people often use the word real estate commission, the proper terminology should be the realtor’s commission in fact.
So what is the commission of a real estate agency we often encounter during buying and selling properties? How is this commission calculated?
It shortly is the service fee of the professional you work with during this process.
When you buy or sell, you get a service from an expert and he charges you a service fee at a certain percentage of the product you buy.
Let’s elaborate a little more.
Based on the request of the beneficiaries, real estate agents serve within the frame of an indefinite employment contract to arrange purchase, sale, pledge, etc. of an immovable property and mediate all legal and technical transactions, leasing or selling, beginning with the establishment of rights of the vendor and buyer.
The viewing of the property arranged by the real estate agent is free of charge. The real estate agent is entitled to receive a commission if and when a sales or rental agreement is reached between the parties.
And here comes the big “however” moment…
We have emphasized the work of professional real estate consultants above; however, it has been frequently observed that unfortunately a commission is demanded by almost everyone who comes across a prospective buyer. The vendor’s friend, the security guard at the premises, the maintenance man, the taxi driver or the hairdresser who accidently knows someone selling their house…. you name it.
Just for the sake of the opportunity of getting a commission, many people try to get earnings as back street real estate agents.
Most of the time they can get away with it, as there is no real surveillance of the sector, causing a bad reputation and damaging of clients.
Request an Invoice
When you receive a service you have to pay the service fee. It is as simple as that everywhere in the service sector.
Of course, when you pay, you are entitled to have requests too.
For example, you should definitely ask for an invoice from the real estate agent you have commissioned to sell your property.
The documentation of monetary transactions is always important.
Who pays the commission in North Cyprus?
Unless there is a special agreement between parties the rule is that the vendor pays the commission of the real estate agent not the buyer.
For rentals it’s the opposite, the tenant pays the commission of 1 months’ rent to the real estate agent.
NOTE: You can contact the Turkish Cypriot Association of Realtors should you encounter a problem with real estate agents during buying, selling or renting.
+90 392 227 36 73