Posted inThe Knowledge

Viewing fees in Abu Dhabi

Is it legal for estate agents to charge you to see properties?

My estate agent has been showing me around lots of properties, and every time we visit somewhere new he charges me a Dhs50 ‘viewing fee’. It seems really unfair, and I think he might be lining up lots of places that won’t suit me and my family just so he can make extra charges. What can I do? Is this practice legal?

First things first – stop visiting every place your agent suggests. It sounds as though you’ve been taken for a ride, if the houses or apartments clearly don’t suit your specifications. But unfortunately, charging a ‘viewing fee’ is legal, provided the agent lets you know in advance, and their company has a valid licence. It is, however, a fairly new practice among agents. Until recently, the norm was that you would be shown a series of properties and when you agreed to take a place they had shown you, they would be awarded a commission. This negotiable amount was roughly 10 per cent of the annual rental fee, or if buying the property 10 per cent of its price. Lots of agents still operate like this, and don’t charge the additional Dhs50 rate for just looking around.

There are lots of ways to make sure you don’t get conned, though. Check with the agent’s head office that this is their standard practice and they are aware their employees are charging clients additional fees. It may be the case that it’s just one or two of their staff going rogue and trying to make a bit of extra cash. If it turns out to be their standard policy, you’re free to find a different company to work with.

If you do feel comfortable paying a viewing fee, the agent should certainly let you know before you make the trip. If they only let you know afterwards, you can refuse to pay. Give the agent detailed specifications about the kind of property you’re looking for – then if the places he finds don’t match your requirements, just don’t go.

Finally, you can expect to pay a lower commission when you decide to take a property. You’ll have to use your best bargaining skills (see our shopping feature on page 10 for our tried and tested haggling tips) but you’re well within your rights to argue that since both costs are for the agent’s help, there’s no reason you should pay for the same service twice.

Good luck with the house hunting, and remember: if you aren’t happy with the service you’re being provided, you have every right to take your business elsewhere.