Compliance with the Consumer Protection from Unfair Trading Regulations 2008
The latest guidance specifically addresses the issue of transparency of fees, including referral fees, within the Estate Agency sector.
An Estate Agent should disclose in plain terms
- The price for its services, including any ‘’compulsory’’ extras; and
- Where a referral arrangement exists, that it exists and with whom; and
- Where a transaction specific referral fee is to be paid, its amount; and
- Where a referral retainer exists, an estimate of the annual value of that retainer to the Estate Agent or its value per transaction; and
- Where the referral is rewarded other than by payment, an assessment of the annual value of the reward or the value of the reward per
Webbers Property Services Ltd (WPS Ltd) refer business to internal departments (however no referral fee is paid) and external companies, and to this end a full disclosure is set out below.
WPS Ltd refer clients to the services of Together Financial Solutions (North Devon offices) and the Mortgage Advice Bureau (Somerset & Cornwall offices) and receive, on average, a referral fee of £265.00 and £175.00 respectively on legal completion.
WPS Ltd may provide a conveyancing quotation via Law Firm Services in conjunction with a selected local law firm. Where a client instructs the Lawyer to proceed with the process WPS Ltd will receive a referral fee of £175.00 on legal completion. This fee is included in the law firm’s quotation prior to instruction and the fee taken is to cover the on-line transaction management service provided by Law Firm Services.
Relocation Agent Network/Guild of Property Professionals
WPS Ltd are part of the Relocation Agent Network and the Guild of Property Professionals which have associated offices throughout the UK. As members WPS Ltd receive a referral fee, amounting to 20% of the recommended Agents’ selling fee, should WPS Ltd refer a client who subsequently sells through that agent. The referral fee is paid from the commission agreed between the Agent and the introduced seller. If WPS Ltd introduce a buyer/applicant to a member agent WPS Ltd receive 5% of the sales fee. This is a national agreement between all members.
*All clients have the option to deal with any of the above companies or seek alternative providers of these services.
*Clients are defined as people who have instructed WPSLtd to sell their property or people who are buying a property through a WPSLtd office.