Comparing agent fees and actual service scope for a Johannesburg new-build flat

[sketchesAndCanvas]

I have several proposals to sell a new-build flat in Johannesburg, expected at around ZAR 4,823,000, and the people I’ve asked offline are split. The cheapest proposal leaves several transaction tasks out; the highest includes photography, buyer qualification, negotiation and closing coordination.

How would you compare them beyond the headline fee? I’m considering recent comparable sales, response time, offer handling, fall-through support, who actually manages the file after listing, and any conflicts they disclose. Price per square metre has also been mentioned, but I’m not sure how useful it is for a new build. What measurable questions am I missing?

 

[AishaSlate]

First put every proposal onto the same basis: the amount or percentage charged, what sale figure it is calculated from, any applicable tax, when it becomes payable, and every separately billed item. Then ask each agent to describe the exact path from enquiry to completed sale. A broad promise of “closing coordination” means little unless they say who does what and when.

 

[AishaSlate]

Also ask whether the named person pitching for the instruction remains your contact. Photography and response-time promises can look excellent on paper, but the experience changes if enquiries and offers are passed to someone you have never met. I’d request one named contact, a backup contact, expected update frequency, and a written list of what happens when an accepted offer runs into trouble.

 

[KaiNorth]

I would not give price per square metre too much weight without knowing how the area was measured. With flats, balcony space, parking, storage, floor position, outlook and finish can make superficially similar figures misleading. Ask them to show the actual comparable properties and explain every adjustment rather than presenting one average number. Are all the proposed listing prices similar, or is one agent using a higher valuation to justify the fee?

 

[AishaSlate]

That valuation question matters. A higher projected selling price does not automatically make the more expensive proposal better, especially if its comparables are weak. I’d ask for recent comparable sales plus current competing listings, clearly separated. Listings show the competition; completed sales are more relevant to what buyers have actually agreed to pay.

 

[AishaSlate]

I’m less convinced that fall-through rate is useful as a standalone number. A careful agent may handle more difficult buyers or transactions, while someone else may count withdrawals differently. Better questions are how buyers are qualified, what evidence is requested before an offer is treated seriously, how competing offers are recorded and communicated, and what the agent does after finance or another condition becomes uncertain.

 

[mapsAndTimber]

Conflict disclosure deserves its own written question. Ask whether the agent represents or receives compensation from any other party or service involved, and how that would be disclosed to you. I’d also ask who can approve advertising changes, price reductions and responses to offers. You want to know where the agent has discretion and where your written approval is required; the precise position may depend on the agreement and local rules.

 

[zia_slate]

A simple scorecard should make the decision clearer: total fee in rand at ZAR 4,823,000; included photography and marketing; quality of comparables; buyer-qualification process; named contact; promised response and reporting times; offer procedure; fall-through plan; closing coordination; exclusions; and conflicts. Weight the items before the agents answer so a polished presentation does not shift your priorities. Then ask the preferred agent to put any important service promises into the agreement rather than leaving them in an email or conversation.