Want to pay the lowest property prices for real estate in Mallorca? Estate agent´s secrets and advice about selecting your agents carefully.

Since 1995, the real estate market in Mallorca has experienced many changes. Through the "good times" property prices on the island soared beyond belief, and at one stage, during these golden years, property values were increasing by anything from 5% to 20% per annum. These fruitful years produced some extremely large and very successful estate agents and property companies with a chain of offices and a massive presence island wide.

During the real estate boom, these large estate agents began to demand high commissions from their property vendors, and many agents in Mallorca insisted that their vendors sign exclusivity contracts, giving them sole agency rights to handle the sale of the property. This meant that you (the potential purchaser) could only view certain real estate items through specific agents.

In today´s real estate market, things are very different. Although many of these large companies still attempt to gain "sole exclusivity" of a property, it is extremely rare that a vendor will commit to this binding and restrictive type of sale contract. This means that most well connected estate agents in Mallorca can gain access to any property that you see advertised for sale, on any web site or in any written publication. This gives you the freedom to purchase your desired property through an estate agent or company of your preference.

The great thing about this newly found freedom of choice is that you can carefully select your preferred estate agents based upon the standard and level of service that they provide and, more importantly, the agency fees that they charge.

We all know that buyers do not pay estate agent´s fees - the seller pays the fees- right ?

Wrong! An estate agent´s fees are always built into the advertised sale price of the property. This means that although the vendor is the person who physically pays the fee, it is ultimately you, the purchaser, who pays the actual price. Large real estate companies in Mallorca can charge as much as a non-negotiable 5-6% for handling a property sale.

Finding agencies that charge lower sale commissions or any real estate companies who are willing to be flexible with their commissions, ultimately allows vendors to lower the property sale prices even further, especially during the negotiation process. This can represent a considerable saving to you, the purchaser.

Agencies that are flexible with their fees also tend to be happy to network with each other, as they will readily share their commissions. This non- greed policy means that they can scour the real estate market on your behalf and with their professional, experienced and trained eyes, they can often save you a lot of time, preselecting property that matches your desired criteria and finding any item on the market that they believe may be of interest.

How do you select "good estate agents" in Mallorca?

1. Ask if your agent networks with other property companies - this will tell you if they have access to a wide range of real estate in Mallorca and also if they are flexible enough to share or lower their commissions.
2. Find out what sale commission they charge. They may not like you asking and some may not tell you, but it is important to know this information before you get to any negotiation process.
3. Consider other property services that they offer. What level of support can they give you, through the purchase process? Can they answer all your questions and offer advice about banking, surveyors, mortgages and architectural services? What post sales services do they provide? Do they offer property management , with after sales care long after you have signed for your new home? Will they handle bill change over, running cost efficiency, furniture and interior design services or reform project management and home remodeling?
4. Real estate services need to be highly personal. It should not be necessary to waste a lot of time by viewing every single property on the market and a "good" agent will be listening to your requirements and helping you to work out exactly what you are looking for, from the very beginning. This may mean asking you many questions and getting to know you and your family on a more personal basis. In order to truly find the home of your dreams, a good agent should have a thorough understanding of you and your needs.

The most important factor to remember is that visiting property in Mallorca should be relaxed and pleasurable. It is vital that you have confidence in your chosen real estate company and you must feel comfortable to ask any questions or voice any concerns that you may have. You need to rely on the fact that they are looking after your needs and first and foremost -taking care of you and your interests the entire way throughout the purchase and selection process.

1. « Newer
2. Older »