Commission is calculated on a gross basis at the following rates on transaction types unless otherwise agreed:
Leases – less than 1 year
Leases – more than 1 year each
one (1) month’s rent for the first year and ½ month’s rent for each following year or part thereof.
Referral fees (sales) not earned
20% of gross commission if Treasure Real Estate is the only firm. If not but instead in a Co-Broke arrangement, 20% of half of the commission earned and paid to Treasure Real Estate.
Separately agreed but normally will not exceed 20% of gross commission or other transaction fees eg. appraisals
OTHER FEES AND TAXES OF NOTE
- Legal fees – unless otherwise negotiated, legal fees are usually 2.5% or the gross proceeds. Consult your attorney.
- Value Added Tax (VAT) – 10% of gross proceeds, and unless otherwise agreed, equally split 5% between buyer and seller.
- VAT – 12% payable on real estate commission and legal fees.