Unscrupulous brokers may
cheat you
| Their aim is to strike the deal at any cost. And they play an
unconscionable game. |
Middlemen, or brokers as they are called, are found in almost all major
business deals today. They advertise the sale, educate the client and broker the
deal by functioning as a go-between.
It is in the property business that they are thriving.
However, many believe that honesty does not always pay in brokering. That is,
perhaps, why some real-estate middlemen become rich overnight. Their wealth
often makes the buyer and the seller grow suspicious. But their capabilities in
brokering and striking deals find little parallel.
They usually come as glib talkers. Their payment is fixed,
often as a percentage of the sale value. In most property deals, brokers get two
to four per cent of the total value as commission. Some go strictly by this
unwritten code. They can be called honest brokers.
But there are others who do not care for the commission.
Their aim is to strike the deal at any cost. And, often, they play an
unconscionable game in achieving that end.
Their victims are usually desperate sellers. If you want to
sell your property somehow, better beware. You may not enjoy the complete
benefit from the deal if you fully trust the broker. Better make sure that you
interact with the buyer.
Unscrupulous brokers often create situations where the buyer
and the seller never see face to face. Their modus operandi is simple.
They may approach you, saying that your property is not worth the price you ask.
After waiting for some time, you may be prompted to reduce
the price.
Then, they may approach again and make a negotiation.
For example, if you expect to get Rs. 10 lakh for your
property, the broker offers Rs. 8 lakh or so. You may be somehow prompted to
accept the offer.
The broker will tell you that if this opportunity is not
grabbed, you will never get a better price.
The broker at the same time approaches a potential buyer
offering him your property for Rs. 10 lakh or above. He may be ready for a
bargain. Yet, the price of sale fixed for the buyer will be more than the price
of sale set for the seller. The difference may be lakhs of rupees. But neither
the seller nor the buyer gets the benefit. Only the broker makes money.
Here, the broker succeeds in keeping both the buyer and the
seller at a distance. He plays the perfect go-between. The buyer does not know
how much the seller gets. He is made to believe that whatever he pays goes to
the seller.
After pocketing a few lakhs, the broker asks for his
commission. Here, he may be willing to give both the buyer and the seller some
"concessions."
Such cut-throat brokers are thriving in several parts of
Malabar. Recently, a group came out at Kondotty against dishonest brokering. The
results are yet to be reaped.
ABDUL LATHEEF NAHA
Courtesy: Property Plus, The Hindu
http://www.hindu.com/pp/2007/03/17/stories/2007031700750300.htm
