Should I ask for a Discount in Agent Fees?

Everyone wants to know they are getting a good deal – it’s human nature. If you want to ask for a discount, there is no harm in trying!
It is quite common for agents to discount their management fee by 0.5% – 1% if you have multiple properties to hand over to them. This shows good business sense as it encourages client loyalty.

However, many agents will discount their fees just because you ask them – some even before you ask them! You have to question why they do this. Did they inflate their original fee structure so that they can give you a ‘discount’ to get your business? Are they so desperate to win your business and can’t compete with other agents’ service level so instead they cut their fees? Or are they just lousy negotiators and don’t value the service they are offering?

Be extremely wary of agents that offer cheap or discounted fees. They run a business and if income is reduced, they have to cut corners on important items like wages for experienced Property Managers, on-going staff training, software, and marketing. Their staff will be underpaid and overworked, resulting in costly mistakes, high staff turnover, and substandard service.