No hidden costs
3% Com Properties® is a real estate franchise group of practising attorneys, property brokers and conveyancers who trade under their professional practice names and employ the corporate insignia of "3%. Com Properties®"
The Real Estate Group has the following unique features:
Furthermore, when using 3%. Com Properties®, you have the peace of mind that you are dealing with a carefully selected and practising attorney who complies with the strict ethical code of 3%. Com Properties®.
The question often arises, how is it possible that attorneys can trade as estate agents and only charge 3% sales commission? And it is a fair question.
The efficacy of the attorney broker is ultimately what makes the low cost feasible. By using technology as well as consolidating the key role players in a traditional real estate transaction, 3%.Com Properties® is able to efficiently and effectively sell property at a fair cost by acting as both agent and attorney. It really does make sense for the seller and buyer alike.
Additional costs that a seller must pay, whether they use a 3%. Com Properties® attorney or another agent, are the bond cancellation costs (if there is a bond).
The purchaser, whether or not a 3%. Com Properties attorney transfers the property, must still pay the transfer costs, including transfer duty (if applicable) and bond registration costs (if there is a bond to be registered).
The conveyancing fee required to transfer a property (as recommended by the Legal Practice Council) is approximately 1% of the purchase price. Thus, even if the conveyancing fee is added to the sales commission the total charge of a 3%.Com Properties® attorney to sell and transfer the property is only approximately 4% of the sale price. This cost is allocated between the seller (3%) and the purchaser (1%).
It is considerably less than the 5% to 7.5% sales commission that is typically charged by conventional estate agents.
It is widely accepted that there is still a role to play for estate agents. But to be competitive, the commission structure in the industry will have to change. Worldwide the standard is already between and 3% and 4%.
The sales commission of 3% (plus VAT) charged by attorneys of the 3% Com Properties® Group is, therefore, realistic and competitive.
*Sellers are not obliged to use the selling attorney and may appoint a conveyancer of their choice. (In practice this happens rarely, as a relationship of trust has already been established between the attorney/estate agent and the seller and purchaser. It therefore makes sense to entrust the attorney/estate agent to attend to the conveyancing as well.)
Maartens Heynike
CEO - 3%. Com Properties
Practising Attorney, Johannesburg
This article is a general information sheet and should not be used or relied on as legal or other professional advice. No liability can be accepted for any errors or omissions nor for any loss or damage arising from reliance upon any information herein. Always contact your legal adviser for specific and detailed advice. Errors and omissions excepted (E&OE)
The Real Estate Group has the following unique features:
- Only practising attorneys/conveyancers are members.
- The sales commission is truly only 3% plus VAT.
- The service is comprehensive and comprises everything, from the valuation, marketing, selling, and closing the sale, to finally transferring the property.
Furthermore, when using 3%. Com Properties®, you have the peace of mind that you are dealing with a carefully selected and practising attorney who complies with the strict ethical code of 3%. Com Properties®.
The question often arises, how is it possible that attorneys can trade as estate agents and only charge 3% sales commission? And it is a fair question.
The efficacy of the attorney broker is ultimately what makes the low cost feasible. By using technology as well as consolidating the key role players in a traditional real estate transaction, 3%.Com Properties® is able to efficiently and effectively sell property at a fair cost by acting as both agent and attorney. It really does make sense for the seller and buyer alike.
Additional costs that a seller must pay, whether they use a 3%. Com Properties® attorney or another agent, are the bond cancellation costs (if there is a bond).
The purchaser, whether or not a 3%. Com Properties attorney transfers the property, must still pay the transfer costs, including transfer duty (if applicable) and bond registration costs (if there is a bond to be registered).
The conveyancing fee required to transfer a property (as recommended by the Legal Practice Council) is approximately 1% of the purchase price. Thus, even if the conveyancing fee is added to the sales commission the total charge of a 3%.Com Properties® attorney to sell and transfer the property is only approximately 4% of the sale price. This cost is allocated between the seller (3%) and the purchaser (1%).
It is considerably less than the 5% to 7.5% sales commission that is typically charged by conventional estate agents.
It is widely accepted that there is still a role to play for estate agents. But to be competitive, the commission structure in the industry will have to change. Worldwide the standard is already between and 3% and 4%.
The sales commission of 3% (plus VAT) charged by attorneys of the 3% Com Properties® Group is, therefore, realistic and competitive.
*Sellers are not obliged to use the selling attorney and may appoint a conveyancer of their choice. (In practice this happens rarely, as a relationship of trust has already been established between the attorney/estate agent and the seller and purchaser. It therefore makes sense to entrust the attorney/estate agent to attend to the conveyancing as well.)
Maartens Heynike
CEO - 3%. Com Properties
Practising Attorney, Johannesburg
This article is a general information sheet and should not be used or relied on as legal or other professional advice. No liability can be accepted for any errors or omissions nor for any loss or damage arising from reliance upon any information herein. Always contact your legal adviser for specific and detailed advice. Errors and omissions excepted (E&OE)
08 Jul 2021
Author 3%.Com Properties