NET sale proceeds!
400k - 1k selling cost is 399k
405k - agents 2% (plus VAT) is: 395k
with estate agents. It needs to sell for higher than 408k to breakeven.
However, the more expensive the house, the is more the value of an agent 'selling', putting pressure by inventing counter offers, drumming up excitement etc. Also, some buyers feel uncomfortable talking money with an owner
I am sure that happened to me when i bought our previous house. I made an offer below the asking price, then throughout the day the agent kept phoning back saying there was another higher offer so I increased my offer.
By the end of the day I had reached the full asking price and could go no higher, so I went straight from work, round to the house to see the vendor without making an appointment. The vendor knew nothing about another buyer or other offers on the table. By the time I got back home a message from the agent was waiting who were very angry that i went to see the vendor without an appointment but saying my offer was accepted.
The whole process stinks.
Edited by ProDave, 01 March 2016 - 11:11 AM.