EghtesadOnline: The real-estate agents’ commission in Tehran has been reduced from 1% to 0.5%.
As per the decision of Industries, Mining and Trade Organization of Tehran Province, realtors are allowed to charge 0.5% of the sale price of properties, i.e. 0.25% from each party of the home deal.
For rental deals where landlords receive full-year upfront deposit, real-estate agents are allowed to charge 0.5% of the deposit amount and for regular rental deals, their commission should not exceed one-fourth of the monthly rent from both landlord and tenant.
The commission rate of re-rentals (for renewing the rental deals) has been set at 0.1%, and the commission rate charged for partnership-in-construction contracts is 0.4% of the total value of the deals (0.2% from each party), Mehr News Agency reported.
Reacting to the decision, Mostafa Qoli-Khosravi, the head of Tehran Realtors Association, said the new rates have not been set in light of services rendered and the economic realities of today’s circumstances and it would lead to a surge in unofficial contracts.
“Tehran Realtors Association has filed complaints with the Court of Administrative Justice in this regard,” he was quoted as saying by Fars News Agency.