How much should you pay a broker?

[sreekbda]

Hello,

How much should one be paying a realty broker? I am looking to purchase a 30x40 plot and would like to know what is the reasonable amount that can be paid.

Thanks.

[jackalbda]

I paid 1.25 percentage...it depends on how costly ur deal is going to be ...generally if the deal is a big one, the percentage to broker reduces...but its always better to settle the percentage well in advance with the broker to avoid later clashes with him/her.

[sreekbda]

Okay. I too will try for around the same. Hopefully the broker will be happy with that as i am looking for a small plot (30x40)

[kumar_kumar06]

If the deal size is less than 50 lakh than it is 2% if its crosses 50lakh than 1% this is the rate prveling.
However if you can negotiate it can work out better than this

[Apte]

I was asked to pay just 1% of brokerage by good brokers for 30x40 site (within 30-lacs) in btm-4th stage. 2% is out of question.

[Bangalorian]

I bought a site (30*40) in BSK 6th stage in 2007 & paid 2% for the broker that was the only site he showed me & as per my friend told me I paid 2% for him & also I wasn't aware that we need to negotiate. But later when I enquired everyone I talk to said that avg & normal price for the broker is 1% or max would be 1.5% .

So be careful while negotiating. Try if u can keep it in 1% so u won't repent later. Few people were laughing saying we should leave software field & start real estate since the brokers r making money from buyer & seller (in my case 2% from both seller & buyer for just showing one site).

[cubbie]

How much would it cost to advertise and seek sites..
will save money if directly dealt with sellers... if some agent reverts you can negotiate the brokerage.. may be someone can try this...

[vinaykiran28]

How much would it cost to advertise and seek sites..
will save money if directly dealt with sellers... if some agent reverts you can negotiate the brokerage.. may be someone can try this...

Thats what for we are here in this forum. We can get free advertisement here. Anybody interested can correspond to the person who has posted a topic. Regarding the brokerage, I guess 1 to 1.5% is acceptable, provoided the broker takes care of all the paperworks during the deal.

[msn1270]

firstly we must think, should we go for broker to search a plot or house? don't we have any alternate ways to fulfil our needs.

All that a broker does is, once you meet him(Like many of us at various intervals), he puts the advertisements in the free medias like Free Ads, Admags or online like sulekha, 99 acres, magic brickks & others and gets few responses from the original owners/re-sellers from whom he collects the asset information and shows you the same.

Thats why if we look any of the free media world, majority of the ads are given by the Real Estate Agents in the name of Individuals. Maximum they give paid ads in the Deccan Classified by shelling out a small amount from their pocket.

[chandra]

There are very few professional brokerages available in any cities and most of them work on big deals.
If you consider BSK 6th stage/Anjanapura for EX. most of the brokers are not even educated and they just show the plots and arrange meetings. They are neither registered nor reliable. It all depends what we (buyer/seller)are looking for from a broker and what value he can add to the deal and hence the rate of brokerage. The broker who just arrange meetings can be offered max 1% and the broker who does the paper work and closes the deal without any hassles can be pad 1-2% depending on the deal size, location, demand etc.