In Colombia real estate fees and commission for a real estate transactions is as follows:
3% for housing ( apartments, houses, urban lots, lofts) upon final value of the deal.
5% for commercial property ( Warehouses, commercial stores, farms, plots of land, rural land) upon final value of the deal.
This is basically the commercial bussines custom. From there, and according with the level of assistance this goes up or down
According to Colombian business custom, unless otherwise
differently, real estate fees should be paid by the partie who wants to SELL, so to speak, the Property Owner.
Bear in mind that the value of commission rates are almost half compared with those in the United States or Europe.
When a buyer doesn’t want to pay for real estate fees to a third partie, simply makes the deal by his own, as you might know as FSBO ( For Sale By Owner). However, if you as a seller or buyer want to deal directly, keep in mind all the risks involved.
Just to mention an example. A lady came to me after realizing that the house she has bought 10 years back, was registered in someone else’s name. This happened because when making the record, She did not verified the certificate issued by the registry office, and some register official had typed a wrong number in the identification document. She only realized by the time wanting to transfer ownership to one of his sons. Fortunately, the mistake could settle, but it took almost 8 months, paying extra register fees, an attorney to deal with it. And that was extra money . In other cases it may take years of legal battles.
Unfortunately, in Colombia there is no strict regulation on the real estate profession . Anyone can create a real estate agency by selling his/her own house. That’s why I’ve found really bad comments at some forums from foreign people who had deal with no professional persons who give a completely bad image to the business and in the worst case scenario turn out to be scammers.
When searching for advice on buying and selling real estate, always consider using experienced professionals and/or companies to avoid headaches and costly mistakes $$$ in the future.
Then if you decide to work with me, you can trust you have chosen wisely. My work ethic is always the same, regardless of the party I'm representing. My job as a consultant goes beyond the payment of some commissions. That’s why I consider my remuneration as professional fees more than a commission rate.
Our grand parents used to make deals just with a shake of hands. They used to respect and believe in every word they committed to when making a deal, and that was worth more than any legal document.
For me the "value of the word" is also important. Sounds like ingenuous and old fashion these days, but that’s the way I was raised.
Not only Colombians try to find the way to scam other people. Non-ethical people can be found all over the world.
That’s why It could happen that for any reason a Buyer and Seller that have been introduced by BuyColombiaRealty.com site, agree to make a deal between themselves in order to avoid paying our legally entitled commission.
Even though there are several legal procedures to block the sale, or delay the signing of the deed in order to comply with agreed (and it’s our choice to opt for them), our penalty is more simple as effective.
Internet is becoming less an anonymous source. Social networks like facebook, Instagram, LinkedIn, and a lot of other important sites gives opportunity for people to be known.
So it's easy for people, to make sure letting every one know through the net and in all related business forums, the dishonest way this kind of people use to make businesses.
And obviously and it's our choice to decide not to do businesses with them never again. They are the ones who lose in the long run. It’s not nice to talk about these things, but we’re living in a REAL world and not in a VIRTUAL world.