EA fees London - too good to be true?

[Babybrain15]

Going to put flat on the market soon (west London) and wondering about who to sell through. The market is slow/sluggish around us and it seems there's not much stock and not many buyers either. Most agents have offered us 1.5% fees but one (who I think is just as reputable as the others) has said 1.25% unless they get over asking price, in which case 1.5%.

The asking price they've suggested is exactly on par with what others have said, and what we would've put the flat on at anyway.

This is surely a no-brainer? Am I being naive? I know I'm not supposed to trust estate agents but I can't see the trap here?

Could someone more experienced and cynical please explain!

Read the contract carefully.

I think because there is so little around they are desperate to have a fresh property on their books, so no catch really!

Thanks RandomMess. I just wonder why none of the others are doing the same. Perhaps in this instance I have to just trust them!

Perhaps they don't know what their competitor is offering!!

You can go back and negotiate you know, I certainly did - they will certainly likely match is

I don't think that's unusual at all. If you're in an area where there aren't many properties coming up and the EAs are fighting over signing you, I would try and negociate lower. We were in a similar position and got ours down to 1% for sale and 1.25% if they achieved asking price. This was in an area where there were lots of buyers though and the place sold in one weekend. We suggested the strategy to them (after advice on here) and they went for it. Do check how long they want to tie you in with them as sole agent, but if you price realistically, the place will sell.

I think EA fees (other than F***s) are lower than they have been in years. We managed to put our flat on the market at 1% for asking price or below and 10% for any figure above asking price they got. It does incentivise them more.

OK, thanks all! Perhaps this is the silver lining when you are trying to sell at a time when prices have been totally stale for months...

Estate agencies are a business too - no more different from Tesco vs Sainsbury's vs Asda etc. They all try to outdo each other.

If the prices have been stale is it worth considering a slightly lower asking price to attract buyers to at least come and view?

Do you think the market is about to fall etc.?

First time I've heard someone say the housing market in London is stale!

Ha yes I know stale is a relative term! What I mean is that when we bought in 2013 things were often going to sealed bids and being bought practically before they hit the website - I suppose now it's that the market is normal, buyers are more cautious and lots of flats around us are being overpriced by agents and then sit on the websites for months. The price we're going in at is (I hope) realistic - every agent has been within about £25k of eachother and it's about average - and it's also within zoopla's predicted range. So, fingers crossed... Not going to start until the new year anyway, need to make it spic and span!

Seems normal to me. We're selling our place in London and had it listed with 2 agents. One was 1.25 and the other 1.25 and then 1.5 on the bit which went over the asking price which certainly gave them an incentive.

It is normal. We got 3 estate agents to value our place. Two of them started out at 1.5% then one of them offered to do me a deal at 1% and the others caved in very easily and agreed to do it for 1% too... One did offer the scaled version you talked about - 0.75% if they got £10k under the asking price, 1% up to the asking and 1.25% over asking. I insisted they do a flat rate of 1% which was lucky because it went for £15k over the asking price....
There is definitely always room to negotiate with them!! Get them as low as you can :)

I sold in London with 1% last year. I wouldn't want to pay anything more than that. Next time I will try out an online agent.