Professional Fees & Commission Guidelines

1. SALE AND PURCHASE OF PROPERTIES

  • Private Residential
  • HDB Resale Flats
  • Non-Privatised HUDC Flats
  • Commercial Properties
  • Industrial Properties
  • Vacant Land

Vendor

(i.e. where ERA is the Vendor’s Agent)

Basic Sales Commission (“BSC”):
Minimum TWO percent (2%) or up to a maximum of FIVE percent (5%) of the listed and/or target price as agreed between the Vendor and ERA.

The BSC is subjected to Goods and Service Tax (GST) at the prevailing rate.

Example:

  • Listed/Target Price = $500,000
  • Minimum Sales Commission Payable = 2% x $500,000 x 7% GST = $10,700/-
  • Maximum Sales Commission Payable = 5% x $500,000 x 7% GST = $26,750/-

Incentive Commission:
The difference between the contracted price and the listed and/or target price is deemed as the “bonus sum”. This “bonus sum” shall be divided equally between the Vendor and ERA. ERA’s share of the “bonus sum” is inclusive of GST at the prevailing rate.

Example:

  • Contracted Price = $520,000
  • Listed/Target Price = $500,000
  • Bonus Sum = $20,000/-
  • Vendor’s Share = $10,000/-
  • ERA’s Share = $10,000/- (inclusive of GST)

Share of Option Money or Deposits Forfeited by the Vendor:
Should any Option Money or Deposit paid by the Purchaser be forfeited by the Vendor, then one half (1/2) of the forfeited sum shall be paid to ERA, provided such amount does not exceed the BSC.

Such sum paid to ERA shall in inclusive of GST at the prevailing rate.

Example:

  • Contracted Price = $1 million
  • BSC @ 2% = $20,000/- (before GST)
  • If the Vendor forfeited the 1% Option Fee ($10,000/-) paid by the Purchaser, ERA’s share = $5,000/- (inclusive of GST).
  • If the Vendor forfeited the 5% Deposit ($50,000/-) (Option Fee + Option Exercise Fee) paid by the Purchaser, ERA’s share = $20,000/- (inclusive of GST).

Reimbursement of Marketing Costs on Termination of Exclusive Estate Agency Agreement during the Validity period:
In the event the Vendor terminates the Exclusive Estate Agency Agreement during the Validity period (defined as the period from the Commencement Date to the Expiry Date of the said agreement), the
Vendor shall pay a fixed sum of $3,000/- to ERA as reimbursement of marketing costs.

Purchaser

(where ERA is the Purchaser’s Agent)

Basic Sales Commission (“BSC”):
Minimum ONE percent (1%) or up to a maximum of THREE percent (3%) of the contracted price.

The BSC is subjected to GST at the prevailing rate.

Example:

  • Contracted = $500,000
  • Minimum Sales Commission Payable = 1% x $500,000 x 7% GST = $5,350/-
  • Maximum Sales Commission Payable = 3% x $500,000 x 7% GST = $16,050/-

Reimbursement of Marketing Costs on Termination of Exclusive Estate Agency Agreement during the Validity period:
In the event the Vendor terminates the Exclusive Estate Agency Agreement during the Validity period (defined as the period from the Commencement Date to the Expiry Date of the said agreement), the Vendor shall pay a fixed sum of $3,000/- to ERA as reimbursement of marketing costs.

In accordance with guidelines issued by the Council for Estate Agencies (“CEA”), all Commissions payable to ERA SHALL be made UPON the COMPLETION of the sale and purchase transaction.

2. LEASING OF PROPERTIES

  • Private Residential
  • HDB Flats
  • Non-Privatised HUDC Flats
  • Commercial Properties
  • Industrial Properties
Party Type Duration of Lease Amounts Payable to ERA (subjected to GST at the prevailing rate)
Landlord (where ERA is the Landlord’s Agent) Room >12 months to 24 month $600/- OR ONE (1) month’s gross rent; whichever is HIGHER
Every ADDITIONAL 12 months OR less ADDITIONAL $300/- OR HALF(1/2) month’s gross rent, whichever is HIGHER
12 months OR less $300/- OR HALF (1/2) month’s gross rent, whichever is HIGHER
Renewal of Lease: Every 12 months OR less $300/- OR HALF (1/2) month’s gross rent, whichever is HIGHER
Whole Unit >12 months to 24 months $1,500/- OR ONE (1) month’s gross rent; whichever is HIGHER
Every ADDITIONAL 12 months OR less ADDITIONAL $1,000/- OR HALF (1/2) month’s gross rent, whichever is HIGHER
12 months OR less $1,000/- OR HALF (1/2) month’s gross rent, whichever is HIGHER
Renewal of Lease: Every 12 months OR less $1,000/- OR HALF (1/2) month’s gross rent, whichever is HIGHER
Party Type Duration of Lease Amounts Payable to ERA (subjected to GST at the prevailing rate)
Tenant (where ERA is the Tenant’s Agent) Room >12 months to 24 month $600/- OR ONE (1) month’s gross rent; whichever is HIGHER
Every ADDITIONAL 12 months OR less ADDITIONAL $300/- OR HALF (1/2) month’s gross rent, whichever is HIGHER
12 months OR less $300/- OR HALF (1/2) month’s gross rent, whichever is HIGHER
Renewal of Lease: Every 12 months OR less $300/- OR HALF (1/2) month’s gross rent, whichever is HIGHER
Whole Unit >12 months to 24 months $1,500/- OR ONE (1) month’s gross rent; whichever is HIGHER
Every ADDITIONAL 12 months OR less ADDITIONAL $1,000/- OR HALF (1/2) month’s gross rent, whichever is HIGHER
12 months OR less $1,000/- OR HALF (1/2) month’s gross rent, whichever is HIGHER
Renewal of Lease: Every 12 months OR less $1,000/- OR HALF (1/2) month’s gross rent, whichever is HIGHER
In accordance with guidelines issued by the Council for Estate Agencies (“CEA”), all Commissions payable to ERA SHALL be made UPON the EXECUTION of the TENANCY AGREEMENT by the Landlord and Tenant AND the HANDOVER of PREMISES to the Tenant.

3. ASSIGNMENT OF PREMISES (ALL TYPES OF PROPERTIES)

Party Amounts Payable to ERA (subjected to GST at the prevailing rate)
Assignor (where ERA is the agent for the party giving up the premises) TEN percent (10%) of the Assignment Fee OR ONE (1) month’s gross rent; whichever is HIGHER
Assignee (where ERA is the agent for the party taking over the premises) TEN percent (10%) of the Assignment Fee OR ONE (1) month’s gross rent; whichever is HIGHER

In accordance with guidelines issued by the Council for Estate Agencies (“CEA”), all Commissions payable to ERA SHALL be made UPON the EXECUTION of the ASSIGNMENT AGREEMENT by the Assignor and Assignee AND the HANDOVER of PREMISES to the Assignee.

4. PROPERTY MANAGEMENT (ALL TYPES OF PROPERTIES)

Based on scope of works to be agreed between the CLIENT and AGENT, the MINIMUM MONTHLY PROPERTY MANAGEMENT FEE shall be at a rate of SIX percent (6%) of the gross monthly rent.

5. NO DUAL REPRESENTATION / CONFLICT OF INTEREST

Under the Estate Agents (Estate Agency Work) Regulations 2010:
  • Salesperson (A) SHALL NOT REPRESENT both the Vendor/Landlord and the Purchaser/Tenant in the SAME transaction.
  • Salesperson (A) SHALL NOT COLLECT commission from both the Vendor/Landlord and the Purchaser/Tenant in the SAME transaction.
  • It is NOT DEEMED to be dual representation where in the SAME transaction, the Vendor/Landlord is represented by ERA Salesperson (A) and the Purchaser/Tenant is represented by ERA Salesperson (B).
  • Salespersons SHALL disclose to their respective 5CLIENTS in writing (e.g. text message) IF the other party to the SAME transaction OR the other party’s Salesperson is from the SAME estate agency.
  • ANY relationships that Salespersons have with ANY other persons or organisations which MAY have an IMPACT on the property transaction SHALL BE DISCLOSED by the respective Salespersons to their respective Clients IN ADVANCE in order to AVOID any CONFLICT of INTEREST.

6. CO-BROKING

ANY co-brokerage fee (internal OR external) SHALL be mutually agreed upfront.
Salespersons SHALL read the contents of ALL co-broke agreements (internal OR external) carefully BEFORE signing.

7. PAYMENT OF COMMISSION

ANY Commissions or Fees collected from Customers by Salespersons SHALL be submitted to the Company within 3 working days.

Commission SHALL be made payable to ERA Realty Network Pte Ltd via cheque or in one of the following modes:

Fund Transfer Corporate PayNow
  • Bank Name: DBS Bank Ltd
  • Beneficiary Name: ERA Realty Network Pte Ltd
  • Bank No.: 7171
  • Bank Branch Code: 065
  • Bank A/c No.: 065-006620-3
  • Bank A/c Type: Current
  • Bank Swift Code: DBSSSGSG
Step 1: Log into your Online/ Mobile Banking (Participating banks: Citibank, DBS Bank/POSB, HSBC, Maybank, OCBC Bank, Standard Chartered Bank, UOB, Bank of China and ICBC)
Step 2: Go to Transfer Funds – PayNow
Step 3: Simply enter:
  • The Unique Entity Number (UEN) for ERA Realty Network Pte Ltd is 198103027M
  • Press Done instead of NEXT Button
  • The Amount to transfer
  • The Invoice number under Remarks (this MUST be stated to enable the company to trace your payment)
Step 4: Submit Payment

*Please email ar@era.com.sg the “proof of payment and property address/invoice no.” once payment is made.

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