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Brokerage Rates

I. SALE / PURCHASE

Where any immovable property is transferred or agreed to be transferred by way of sale or exchange or whether by way of admitting as a member or by way of transfer of shares in a Co-operative Society or Company or any other Association of Persons or by way of any agreement or arrangement in any other manner whatsoever, including Transfer of Development Rights (TDR) or FSI or Long Term Transfer of Development Rights, commission at the following rates on the total consideration amount (inclusive of loan amount) and /or deferred payments, if any, shall be paid as under:

  • Where a member acts for both the buyer and the seller, commission @ 2% each shall be paid by both the buyer and the seller.
  • Where a member acts only for the buyer or the seller, commission @ 2% shall be paid by the party for whom the member acts.

Any transaction of immovable property includes all transactions covered under the definition given in Section 269 U, Chapter XX-C of the Income Tax-Act, 1961, and also under Transfer of Property Act, 1882.

Note : In the event, a company is taken over, with the express or implied intention of acquiring the immovable property of the company, then 2% of the market value of the property will have to be paid by the Vendor and the Purchaser to the agent, as his commission / brokerage.

  • 25% of the commission shall be paid forthwith to the member at the time of payment of earnest money or token amount whether simultaneously accompanied by execution of an Agreement or Deed of Transfer or not, by way of non-refundable service charges and out of pocket expenses.
  • 75% of the commission, to be paid on receipt of allotment letter or on signing of agreement or on possession or on receipt of full payment whichever is earlier.

II. GOODWILL

Commission @ 5% on the total consideration of the property, shall be due and payable to the member by both the Purchaser and the Seller on the Purchaser price / sale price of any premises, where goodwill and/or consideration is payable.

III. (A) LEASE / LEAVE & LICENSE / BUSINESS CENTRE

In case of Lease / Leave and License / Business Centre Agreement, commission @ 2 months rent and 2% of the deposit amount, becomes due & payable, both by the Lessor / Licensor / Business Centre owner AND by the Lessee / Licensee / Occupier of the Business Centre; to the broker concerned. The above commission is payable irrespective of the period of Lease / Leave and Licensee / Business Centre agreement.

On renewal of Lease / Leave and License / Business Centre, 1 month’s rent and 1% of the deposit amount becomes due and payable both by Lessor / Licensor / Business Centre owner and Lessee / Licensee / Occupier of Business Centre, to the broker concerned on the escalated deposit and rent etc.

(B) DEPOSIT

The Lessor / Licensor / Business Centre owner and the Lessee / Licensee / Business Occupier shall individually pay to the broker concerned, 2% of the total deposit amount or advance rent, irrespective of the period of Lease / Leave and License / Business Centre. ON RENEWAL of Lease / Leave and License / Business Centre, irrespective of the renewal perios, one percent of the deposit amount becomes due and payable BOTH, by the Lessor / Licensor / Business Centre owner and the Lessee / Licensee /Business Centre occupier, as brokerage, to the broker / brokers concerned.

(C) PAYING GUEST

Commission equivalent to two months compensation shall be payable by Paying Guest to the member and 1 month's rent from the Owner.

V. MANAGEMENT OF PROPERTIES

Commission @ 10% shall become due and payable to the member of the total amount collected as rent / compensation in respect of properties managed by the members. For additional service rendered extra fees shall be due and payable to the member as may be mutually agreed upon.

VI. (A) FRANCHISING

Commission at twice the minimum monthly income / guarantee or 2 months rent, whichever is higher is payable to the Agent.

In the event of anything mentioned in VI a) (i) is not applicable, 2% of market value of property shall be payable as commission by both Franchiser / and Franchisee.

(B) TIME SHARING

In the case of Time Sharing minimum of 10% or higher amount as mutually agreed upon, shall be payable as commission, by the Seller / Developer / Time Share Marketing / Management Company / Resort etc.

NOTE : Commission / Brokerage / Agency Fee / Services Charges / Any Other charges, under any name whatsoever paid to the member for services rendered SHALL NOT BE REFUNDABLE UNDER ANY CIRCUMSTANCES.

SERVICE TAX

Section 116 of the Finance (No. 2) Act 1998 provides for levy of Services Tax on the Services rendered by Real Estate Agents & Real Estate Consultants. Vide notification No. 53/98-ST to 58/98-ST dated 7th October 1998 this has come into effect from the 16th October 1998. The current rate of Service Tax on realty services is 10% + 3% education cess.