No Sale No Fee Estate Agents

Buying and selling is an expensive business. Survey costs, solicitors fees, the list goes on and on, and the potential bill at the end can be intimidating. But what happens if your home doesn't even sell? Do you still have to pay the Estate agents? That's where the 'no sale no fee' model was designed. But what does it entail? Keep reading to find out more.

What is a No Sale No Fee Estate agent?

The name does exactly what it says on the tin, no sale no fee Estate agents are Estate agents that offer the following sales agreement:

• if your property doesn't sell, you don't pay any fees.
• if your house does sell, you'll pay the Estate agent a percentage of the final sale price on completion of the transaction, which is commonly referred to as the commission fee.

What's the catch with no sale no fee agreements?

The good news is that, on the whole, isn’t a catch with no sale no fee agreements. High street Estate agents have used ‘no sale no fee’ as part of their contracts for years and years. They’re a standard part of the industry. The only thing you need to look out in your contract is the tie-in period - the time you agree for the agent to solely market your property. If you’re unhappy with your agent, you may have to wait a while longer if the tie-in period is incomplete.

With online agents on the other hand, no sale no fee agreements are fairly new. In 2022, many have now adopted money back guarantees or some variation of them. Consequently, you should read their terms and conditions carefully.

Do I need to pay an Estate agent upfront?

No, high street Estate agents take a small cut from the final sale price - that is after your sale has completed. Online agents, on the other hand, charge an upfront fee.

Which Estate agents offer 'No Sale No Fee'?

Both online and traditional high street Estate agents offer no sale no fee terms. The four main online Estate agents offering no sale no fee are:

• Purplebricks
• Yopa
• Strike
• eSale

And this is how their fee structures work,

*Some data from hoa.org.uk

Purplebricks

Purplebricks often highlight that their fees are less than brick-and-mortar Estate agents. However, they don't actually offer a 'no sale, no fee' option. Instead, they have a 'buy now, pay later' style scheme. They do have a money back guarantee although there are limits and conditions on this. Though this might sound similar, it's a different kind of contract. You'll either need to pay the total cost up-front or pay after the property is either sold or ten months have passed, whichever comes first.

You can read our Purplebricks review, and our review of their money back guarantee here

Yopa

Yopa offers a complete service, just like what a local Estate agent would cover. They will visit your property to give you a valuation, take pictures, draw up a floorplan, and list the property on the appropriate sales portals (such as Rightmove, ESPC etc.).

With Yopa, you can choose either a buy now, pay later scheme or the no sale no fee option. However, you're tied into a minimum of ten months of advertising with them, and you will still be forced to pay the fees if you back out of the sale. They'll also charge extra if you want a Yopa agent to manage and attend the viewings with potential buyers.

You can read our Yopa review here

Strike

Strike offers a free service option that covers an in-person valuation, photos, floorplans, a 'for sale’ sign, adverts on Rightmove and Zoopla, and support on negotiation through to completion.

Whilst this completely free service looks like a good deal, there is a catch. You will have to host viewings yourself, which could take up a lot of your time, or you can pay extra for an agent to attend. You will also need to pay additional charges if you'd like to add videos to the portal ads.

Strike also don't currently cover all areas of England, so you'll need to check if they operate in your area.

You can read our Strike review here

eSale

eSale offers a very customisable service for selling your property. You can add features and services to your basket to customise the process you'll go through.

The standard price covers the valuations, photos, floorplans and property description. However, if you want extras such as accompanied viewings, an EPC, videos on Rightmove or virtual tours, you will need to pay extra charges like you would with other providers.

eSale also doesn't offer a strictly no sale no fee service — they do ask for a small fee upfront (£99) and then a larger sum on completion of the purchase, which could work out less than other agents if you do your research.

Do traditional high street Estate agents offer No Sale No Fee?

Yes, many traditional high street agents offer a no sale no fee contract. Always compare agents by their performance in your local area so you know that you're getting the best deal possible with the fee you pay on completion.

You can compare Estate agent fees and performance here

How much are typical Estate agent fees?

Most typical high street agents charge a standard fee of 1.5%, but this can range as low as 0.75% to as high as 3%.

Online agents on the other hand, usually charge a flat fee rather than a percentage, ranging from ‘Free’ to around £1500. However, you may end up paying more once you bundle in other services, like assisted house viewings. These services are included within the price of a high street agent, but are optional extras with most online or hybrid agents.

Should I use a no sale no fee Estate agent?

As most high street agents offer no sale no fee contracts, you’d be hard-pressed not to use one - that is, unless you used an online agent, as they still offer upfront fees. Even then, most are now moving towards ‘no sale no fee’ deals due to consumer demand.

Ultimately, if you’re happy with the agent’s performance, then yes you should use a No Sale No Fee Estate agent. You should get the best deal possible for selling your home, and if a no sale no fee option has the best possible agent, then go for it!

Which is the best no sale no fee Estate agent?

Choosing the right agent depends on the property you’re selling and the performance of local agents. Compare their metrics before checking if they offer a no sale no fee structure. Picking an agent who knows how to sell houses limits the risk that your house won’t sell, as you’ll have verified their performance before instructing them.

Is there a way to sell without paying Estate agent fees?

Selling your home will never be completely free, as you'll likely need to pay for surveys or legal support at some point in the process. That said, you could get out of paying agent fees if you find a buyer yourself. However, this is a long and tedious process, especially if you have a full time job and little sales experience. There’s a reason why we use Estate agents to market and sell our properties for us - their value is unprecedented! You can see the pros and cons of selling without an Estate agent in our guide.

Do I have to pay to leave a No Sale No Fee contract?

Yes you may have to pay the Estate agent if you leave your no sale no fee contract. If you choose to walk away from the sale for any reason, you may have to pay the Estate agent back for the costs they have incurred so far. For example, you might pay for:

• The marketing
• Photography
• Surveys

Depending on how far the sale has gone. These are costs the agent will not be able to recoup now that you are choosing not to sell the property.

You may be charged some or all of the Estate agent's commission fee depending on whether or not your contract contained a 'ready, willing and able purchaser' clause. This would mean that you'd still owe the Estate agent their fee for finding a buyer, even though you are withdrawing from the sale.