It may come as a surprise to many, however Thailand’s Property Agency Sector is completely unregulated. It is important to note, that local property agents are not regulated by any industry specific legislation and are not required to hold a license!
As a result, agencies, freelancers and even part-time agents are popping-up all over Bangkok. Unfortunately, this means property searchers and landlords are subject to varying levels of standards and service.
However, despite this chaotic state of affairs, at least one reassuring aspect of the Capital’s Property market is that Commission Rates for secondhand residential property have standardized as follows:
Some General Bangkok Property Agency Standards:
– Sales and Rental Commission is paid by the Landlord/Seller and in Bangkok property searchers do not need to pay their Property Agents a finder’s fee.
– Local Bangkok Agents do not charge for Inventory, Lease Agreement or Sales and Purchase Agreement drafting and preparation.
– Bangkok Agents usually do not charge extra Marketing Fees for services such as photography of the property, online campaigns, open houses, etc.
Calculating Commission Examples:
1. Sales Commission
3% of Agreed Sales Price
Agreed Sales Price= 10 MB Condo
– 3/100 x 10,000,000= 300,000 THB Commission Due to Agent
2. Rental Commission
6 Months Contract= ½ Month Rent Commission
1 Year Contract= 1 Month Rent Commission
2 Years Contract= 1.5 Month Rent Commission
3 Years Contract= 2 Month Rent Commission
Rental= 10,000 THB Per/Month
– 6 Months Contract= 5,000 THB
– 1 Year Contract= 10,000 THB
– 2 Years Contract= 15,000 THB
– 3 Years Contract= 20,000 THB
Some Extra Commission Info to Note:
– Developers may offer Bangkok Property Agents non-standard commission rates for the sale of off-plan projects.
– Commission rates and standards charged by Agencies outside Bangkok (I.e. Pattaya and Phuket) may vary.