Bulgarian Property Investment: Commissions

[Monkey2funky]

Hi everyone,

I have bought 2 properties in bansko in bulgaria through a large overseas property real estate agency that has been mentioned several times on this site for all the wrong reasons.

My problem is that they have slapped on a commission rate of 5% or there abouts onto the purchase price. They did not inform me of this charge and I only became aware of it after doing some research on the net and finding that the very two properties that I have bought where listed as being sold for E3200 less than I paid.

I feel I have been misled as to the actually price of the properties and I'm wondering if anyone knows whether I can fight them over this.

Any thoughts or advice would be appreciated.

M2f

 

[thetravelbug]

Think we know the one! If they never clearly stated their commission then you may have some recourse but many of these larger companies just include commission in the purchase price.

I think you will find you have likely overpaid for the apartments anyway and the best way to go about these things is to approach the developer directly and save the commission altogether.

The company you talk about does not have a good reputation anyway, very hard sales tactics.

Have you been to Bansko? Have you got an independent lawyer to check out your contract? What are your plans for the apartments?

Suggest you visit my site below and read my experience and then hopefully you will avoid a few of the pitfalls I fell into.

GOOD LUCK!!!!

Rachel

 

[doberden]

That's a bit rich of them adding 5% on to the commission when they are probably getting at least 15% commission included in the price. If I were you I would tell them that you have been asked to contribute to an article in the paper about bulgaria and you are going to let them know how unfairly treated you were. This should get them going.

 

[icecool]

Hi everyone,

I have bought 2 properties in bansko in bulgaria through a large overseas property real estate agency that has been mentioned several times on this site for all the wrong reasons.

My problem is that they have slapped on a commission rate of 5% or there abouts onto the purchase price. They did not inform me of this charge and I only became aware of it after doing some research on the net and finding that the very two properties that I have bought where listed as being sold for E3200 less than I paid.

I feel I have been misled as to the actually price of the properties and I'm wondering if anyone knows whether I can fight them over this.

Any thoughts or advice would be appreciated.

M2f

(not aloud put up the name of the company in question as I have had a rap across the knuckles from a couple of moderaters already but I can say it starts with a Mac)

You wont be able to do anything about this.

 

[Monkey2funky]

Rachel

Have you been to Bansko? Have you got an independent lawyer to check out your contract? What are your plans for the apartments?

I have been to visit bansko rachel. I went on a viewing trip and unfortunately being a novice investor I fell for the hardsells tatics of this comapny.

Im currently in the process of having my purchase looked over by an independent solicitor. The original plan was to hold on to the apartments for 3-5 years. Not sure what direction I will take now.

My purchase is at an advanced stage, the developent should be complete by june.

Icecool

you wont be able to do anything about this.

Icecool can you give reasons for your statement?

Doberden

That's a bit rich of them adding 5% on to the commission when they are probably getting at least 15% commission included in the price. If I were you I would tell them that you have been asked to contribute to an article in the paper about bulgaria and you are going to let them know how unfairly treated you were. This should get them going.

Good suggestion, I have been considering this. The last time I seen an article about Mac was in the evening Herald highlighting their hard sales tatics and a few days later the paper printed a retraction of thier story, and then all the threads on this site where locked!!

If any one else out there has had dealings with this company and are unhappy with thier service, send me a p.m. I'm interested to see how many have been caught out or am if Im the only chimp in the room!

 

[thetravelbug]

Would not hold your breath for development being completed when they say it will be - sure they'll want their money then but can be assured development will not be properly completed!

 

[auto320]

That's a bit rich of them adding 5% on to the commission when they are probably getting at least 15% commission included in the price. If I were you I would tell them that you have been asked to contribute to an article in the paper about bulgaria and you are going to let them know how unfairly treated you were. This should get them going.

Doberden is spot on here; the sale price already includes hefty commissions, and it is quite likely that this outfit commands the highest level of commissions since they don't have to pay intermediaries. So in total you have paid up to 20% on top of a price that is probably at least double the market rate. You were screwed, and now they are screwing you again.

Best chance might be to get your lawyer to get you out of the contract because of non-dosclosure of this commission layer (unless it was in the small print and you overlooked it). Even if you lose a few quid, its better to exit this disaster area -- it has no investment value and will be a constant drain as regards fixed costs. Get out if you can.