Fee structure is a fair question to ask before engaging anyone, and the detail worth understanding is when payment actually falls due.
A common arrangement separates the engagement from the outcome. An activation fee covers the work of starting a search, setting the brief and beginning to source properties. A success fee is then payable only once a property has been secured and has settled. If no purchase completes, that second component is not charged.
What this achieves is alignment. When the larger part of the fee depends on settlement, the agent's interest in reaching a completed purchase matches the client's. It also means a buyer is not funding an open-ended search with no result at the end of it.
Worth clarifying separately is whether the success fee is fixed or calculated as a percentage of the purchase price. A percentage rises as the price rises, which sits awkwardly against a brief to negotiate the price down. A fixed fee removes that tension.
Transcript
What happens if we don't buy property? Simple, there's no success fee. Our clients pay an activation fee to engage our services, but our success fee is only payable when we successfully secure and settle a property. We're motivated by the same outcome you are. If you're curious about how it all works, let's have a chat.
