Marketing companies vs Trustworthy agents

[Janoulaki]

Hi all,

I believe that these needs to be point out. The difference between the big agent who advertises everywhere and sells overpriced properties (marketing company) and the estate agent which is honest and reputable.

Marketing companies look, act and feel like estate agents. However, they are not licensed to actually sell properties in Cyprus. There are several issues concerning these types of companies in Cyprus.

The issue with many marketing companies is that they spend a huge amount of money to get bums on seats…or people on planes to view property. With spending all that money, who ultimately pays for it? From what I’ve been told by loads of developers, some marketing companies charge commissions on the sale of the property vastly in excess of the Estate Agents commission – sometimes up to 15%.

It’s quite strange because many of the developers depend on the marketing companies for sales HOWEVER every time I visit the developer they complain about the increasing commissions and high demands many of them make.

NO MATTER what avenue you use to buy through, you MUST take it upon yourself to get testimonials, research the market, understand the economy, get an INDEPENDENT solicitor
And, overall, educate yourself on what to do and what not to do.

By law, people that sell property need to be licensed and I think it takes somewhere around 7 years to qualify (I’m not 100% sure on this, so if I’m wrong on the amount of years, let me know). In order to find out if you are dealing with a licensed agent, you can simply ask the representative or call the Cyprus Real Estate Agents Association. Note that it is a person who is licensed and not a company, and from what I’ve been told…as long as there is one person at the company that is registered, the whole agency is thus covered.

I hope this helps to answer your question. If you are currently researching property market or perhaps looking to buy I have a few contacts there that I’ve met personally. Let me know if you needed any help.

Good luck!

J

 

[grumpy001]

Good information, well spoken.

 

[HARRY ROBERTS]

[
yes good sound advice

heres a little more information

Cyprus has passed the real estate Law 273 (1) 2004, which legally guarantees all the rights of the buyer, obliging the Real Estate Agent to supply all legitimate safeguards before proceeding to conclude any property deal.
The law obliges the Registered Real Estate Agent to take out a professional liability insurance for the minimum sum of CY£ 100,000.00 before being issued with a professional license by the Council.
When visiting a Real Estate Agency, make sure that the Real Estate Agent's registration certificate is prominently displayed, showing the registration number and the annual occupational license.
A Real Estates Agent's license is issued only to individuals and never to companies.
If case of default by the Real Estate Agent, the law provides for disciplinary penalties that may be enforced by the council, such as reprimand, suspension of the Real Estate Agent's license for a period of up to five years or/and being struck off the Real Estate Agents' register.
The Licensed Estate Agent by law has the DUTY himself to carry out the LEGAL SEARCHES of the properties he is selling and to make sure that they have a CLEAN TITTLE with NO hidden LEGAL or PHYSICAL defects or faults.The Agent himself has to find out whether there are any encumbrances,memos or any other Legal Charges or obstacles of the selling property.
DISCLOSURE of CORRECT information to the BUYER by the Real Estate Agent.
It is also the Real Estate Agent’s legal duty to CORRECTLY inform and DISCLOSE to the BUYER all the LEGAL and all the PHYSICAL characteristics of the property he is buying.In this way the Buyer will KNOW IN ADVANCE if there are any HIDDEN LEGAL or PHYSICAL defects or faults of the property he is buying.
Only if you have paid commission as a seller to a Registered and Licensed Real Estate Agent can you offset that payment against any Capital Gains Tax liability you might have.