Parasitic Commission System in Qatar
Buyer: Hello, I need an Office in Wakra are, 2 Bedroom's.
Agent1: Ok, Office is available, call me at 3.00 pm, after reaching wakra.
Agent1 (calls agent2): I have a customer, is there a office flat in wakra with two rooms, it's urgent the customer comes at 3.00 pm.
Agent2: Let me check I will get back with you.
Agent2 (calls agent3): I have a party who is interested in the flat you told me about, there are three people so we will have to share the commission.
Agent3: No it is not possible I need my 1/2 month commission from the buyer.
Agent2: Make some adjustment, let the business happen, I have more customers in the waiting.
Agent3: Ok, then give me 7 days commission from the buyer.
Agent2: Fine, I will call you at 2 and come to take the keys.
Agent2 (calls agent!): The Person is saying he requires 15 days commission from the client, and he can't share, in wakra this is a good office.
Agent1: if I give 15 days commission to him then, what profit is there for me, ask him to make some adjustment.
Agent2: I don't think it is possible but I will ask.
Agent2: ((Disconnect's the calls, simply calls one of his friend to talk, so even if agent1 calls back, he thinks bargaining is going on))
Agent2: No, he can't reduce anything more than 10 days commission.
Agent1: Fine Agreed.
Agent1 (Calls Customer): Hi, the flat is there, and the rent is really low (which would be the market standard anyway), but you have to give 15 Days commission and there is a key-money required of 25,000 Riyals, the party paid more money to get this Office, but now they have some problem and has to leave, they have around 10 people waiting. they are not giving the flat without the key-money, if you want it, think about it and call me back.
Customer: ((Thinks about him leaving the property and getting key money too, talks to his friends and ignorantly agrees in his mind))
Customer: is there anything that can be reduced in the key-money?
Agent1: See, just because you are a genuine person let me try, I think I can bargain upto 22,000.00 only if you agree to take it.
Customer: Ok, if it is 22,000 I will take it.
Agent1: This is the flat here, see how beautiful the view is, Look at the excellent parking below the building, and look at this door, its so huge, look at the air conditioning, it is centralized in this building, ((he creates everything up, but talks as if he built that building.))
Customer: Ok, I am not actually interested in this office ((Because, he saw the real-estate mobile no's on top of the building, and now he is getting ideas)), find me another office in wakra and call me.
Agent1: ((Calls agent2)) the customer didn't like the office take your keys.
Customer: Is this xyz real estate, I saw your wakra building, do you have an office there? I need the flat, what are the terms, This is the rent (Same as the agent), and you get 3 months free for one years contract, give your company checks, and that's it, it is ready to occupy.
This is the story in Qatar's real estate market, Lot of commission agent's all greedy, piling up their greed one upon the other, and customers who pull of their own tricks when closing the deal, this is such a cheater's market, dear friends, please be aware of the commission and key-money fraud that is happening in the Qatar market, please check with genuine people, in Qatar, even people you know very well, might take you for a ride.
Did you even notice, how much of unreal money was added into this deal, 22000, by an agent, 15 days rent by another, and 3 months free rent, nobody talked about that, so who takes that (the Agent). Beware.
But, Qatar Rocks :).
Is it in English, please provide in some help on the forum. I am here for three years and i changed three times my house. The main trouble for all that happening is owners are not interested to rent their house, they do not care if the house is vacant but will not give for correct or market price therefore the demand, supply, price equation does not work here in Doha, hence agent come into play. it is hardly to see the owner and even we see, not knowing the language is a trouble. Most of the owners tent to raise the rent for the current customer but reduce for new coming people. This my experience with well known real estate company.
Try to approach the landlord directly,don't rely on agents, there are many local forums where landlords post vacancies.
Makes having to shift a real nightmare *shudders*
Real estate is not the only field where you'll find this annoying system. In Qatar, theres a never ending chain of greedy middlemen in many businesses and all of them are like the 'blind men and an elephant' story. And the funny thing is that almost all deals never realize.
I'm in the transport business and these greedy middlemen are ruining our business. Lazy vermins tryin to make a quick buck without investing/working.
Thanks for posting. This applies for residential, flats or villa so please be very careful from these agents. See to it that you directly deals with the property owner or the company managing the property.
Nice study!
TFS :)