Purchasing Advice – CDS

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This topic contains 14 replies, has 9 voices, and was last updated by Profile photo of Anonymous Anonymous 9 years, 9 months ago.

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  • #52652
    Profile photo of Anonymous
    Anonymous
    Participant

    Well it looks as though our family health problems might not be as bad as first thought (we’ll know more by next week) so my wife and I are again considering the hunt for a property on the CDS.

    We learnt quite a lot on our first recce in November (see the thread about the return of our deposit) and would now like to prevail upon you wise folks for more advice. Basically we have a budget of between 22/250000 euros, we really liked the Cala Hills development in Mijas, and quite honestly would like to take the opportunity in what seems to be a falling market to snap up a bargain.

    Would we be better just touring around and making notes of the private “For Sale” signs, or finding an agent who will deal with us fairly, tell us the truth and give us a good deal? We have a major advantage in that my wife is a fluent Spanish speaker, and we are not in a great hurry – we can either buy now or wait until later in the year when the prices may be even more advantageous to us. 😉

    Any advice would be most gratefully received – thanks
    Mark

  • #69389
    Profile photo of katy
    katy
    Spectator

    I would try to find a private sale as they will be more willing to negotiate a lower offer if they don’t have any agents fees to pay. There are pages full of ads in http://www.surinenglish.com, many of them private (although some are agents in disguise!!).

    Just take it slowly, the markets on your side, waiting 6 months could see more bargains (IMHO)

  • #69396
    Profile photo of Anonymous
    Anonymous
    Participant

    @katy wrote:

    There are pages full of ads in http://www.surinenglish.com, many of them private (although some are agents in disguise!!).

    Thanks Katy
    The link came up unavailable – is that just temporary or a spelling glitch?

    Regards
    Mark

  • #69397
    Profile photo of Anonymous
    Anonymous
    Participant

    Just a stray comma in the link
    http://www.surinenglish.com/index.php

  • #69399
    Profile photo of katy
    katy
    Spectator

    Sorry 😳

  • #69591
    Profile photo of Fuengi (Andrew)
    Fuengi (Andrew)
    Participant
    coatimundi wrote:
    Would we be better just touring around and making notes of the private “For Sale” signs, or finding an agent who will deal with us fairly, tell us the truth and give us a good deal? We have a major advantage in that my wife is a fluent Spanish speaker, and we are not in a great hurry – we can either buy now or wait until later in the year when the prices may be even more advantageous to us. 😉

    if your not in a great hurry. I’d combine a bit of both. Personally i’d go with an agent (but i’m biased).
    Just do this:
    1. go into agency X
    2. Specify your criteria
    3a. If they show you what you want, go on viewing
    3b. If they show you something totally different, tell them to stop wasting your time.
    4. Then repeat till you find what you like.

    Your wife speaking spanish is a benefit as you can use agencies that deal alot more with the spanish market. Which should mean a larger selection of properties for you.

  • #69613
    Profile photo of Inez
    Inez
    Participant

    Fuengi I agree with everything you say except for the Spanish! They have no concept of price and market forces so you end up looking at stuff highly priced – and they will not negotiate!

  • #69627
    Profile photo of Anonymous
    Anonymous
    Participant

    I would only add – that since you already know which particular development you are interested in – FIRST go take down all the private “for Sale” numbers and look at in person.
    THEN talk to agents. That way if an agent takes you to an apartment you have already seen, he cannot claim to be owed a commission for “introducing” you to the property.

    Afterall, one of the benifits of using an agent – and one of the justifications (and rightly so) for paying an agents commission, is the fact that the agent will introduce you to areas and develpments which meet your requirements. You already know at least one potential area and one development. No need to pay for that info which you already posess.

    Just my humble opinion.

    James

  • #69629
    Profile photo of Anonymous
    Anonymous
    Participant

    James

    But this way the estate agent wouldnt make his 10%

  • #69634
    Profile photo of katy
    katy
    Spectator

    Think the USA system is good where you appoint a buyers agent (highly regulated). This person works solely for you and a no cost, she/he splits the commission with the selling agent. They are bound by law to disclose anything they know about the property/area. In the case of new properties they can negotiate a better deal from developers than you would obtain yourself and advise against spending money on a lot of useless extras.

    Not all perfect there though as Trevor Mcdonald show is currently filming there re. scams that have affected Brits. (shown in March).

  • #69649
    Profile photo of Inez
    Inez
    Participant

    The only comment I would make James is that one an seller has appointed an agent – and you may not like any agent at all, then there are costs for the agent in publicizing that property as well as running the buyers around. In this case any agent worth his salt will register the client with the seller – in this case if a private deal is done, the agent will still get paid as he has introduced the parties – which is the actual job of said agent.

    If the buyer had already seen the proeprty, this would or should have been discovered before going to the property, therefore not wasting the agents time.

  • #69653
    Profile photo of Anonymous
    Anonymous
    Participant

    Just how much should you pay in commission.

    I hear 10%, 20% and even 40% being bandied around. However, I think that’s incredible.

    Approx 2% is right in the UK depending on whether it’s a sole agent. I can see a call for up to 5% if the agent is retained on more of a consultancy / professional basis where they are doing a lot of investigation work.

    But surely no more than 5%. That’s 25K on a 500k property. I don’t know what the wages are like in Spain but is that really 3-6 months solid work to close?

    I’ve already started marking likely areas on Google Earth and will be spending a few weekends travelling around, talking to people and looking for Se Vende signs before I worry too much about an agent. If I cannot find a suitable property then I might think about using an agent but what should be the going rate for this?

  • #69656
    Profile photo of katy
    katy
    Spectator

    The average is 5% although for some dodgy agents the skys the limit!! A friend who has a property for sale received a call from an agent saying had he considered dropping the price by about 8% (the house is already priced 50,000 euros under bank valuation!) He said he would think about it but would they consider reducing their commission rate?…er. NO ❗

  • #69661
    Profile photo of Inez
    Inez
    Participant

    Certainly 5% should be the tops and seems to be normal for southern Europe. Some agents do only charge from 2% but this could be a bit of a con and some are genuine.

  • #69680
    Profile photo of Anonymous
    Anonymous
    Participant

    Hi Mark

    Glad to read that the family health problems may turn out not so serious after all.

    Good luck in your search but please take care with private Se Vende signs….

    – Many are agents masquerading as private vendors!

    – When the vendor hears a British accent the price often goes up!

    – Never ever hand over a cash deposit to a private vendor. Until your lawyer has seen ALL the legal paperwork on any private transaction do not hand over a centimo. Local case I heard recently where a couple handed over their money to “Carlos Smith” (for want of a better name) and they gave money to the son when in fact the father (who had the same name) actually owned it…and had no intention of selling! No wonder it seemed like such a deal!

    – Make sure that any private sale does not include B money (see several threads on this subject in the forum). Many local vendors are so conditioned to ask for this that you may not realise you are breaking the law in agreeing to their demand.

    …and the final golden rule…”It if seems too good to be true then it usually is”.

    Good luck in your search.
    Sarah
    x

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