Introduction to Purple Bricks’ Payment Structure
How Do Purple Bricks Get Paid has revolutionized the real estate industry by offering a unique and affordable alternative to traditional estate agents. Unlike conventional high street agencies that charge a percentage-based commission, Purple Bricks operates on a fixed-fee model. This pricing structure has intrigued many home sellers, prompting the question: How do Purple Bricks get paid? In this article, we’ll dive deep into their payment structure, how it compares to traditional agents, and what sellers need to consider before using their services.
The Fixed-Fee Model: A Breakdown
One of the standout features of How Do Purple Bricks Get Paid is its fixed-fee payment model. Unlike traditional estate agents, who take a commission from the final sale price, Purple Bricks charges a set fee for their services regardless of whether the home sells or not.
1. What Is the Fixed Fee?
The fixed fee varies depending on location and the level of service chosen. In the UK, for example, the standard Purple Bricks fee ranges from £999 to £1,499, depending on whether the property is in London or outside the capital. This amount covers the listing, marketing, and basic estate agent services.
2. When Do Sellers Pay?
Unlike traditional agents who How Do Purple Bricks Get Paid only when the property is sold, Purple Bricks requires payment upfront or within 10 months, regardless of whether the property sells. This means sellers take on the financial risk of not being able to offload their home, as the fee is non-refundable.
3. Optional Add-Ons and Extra Fees
While the basic package covers listing and marketing, sellers can pay extra for premium services such as:
- Professional Photography
- Floor Plans
- Accompanied Viewings (if the seller doesn’t want to handle showings themselves)
- Featured Listings on property portals like Rightmove and Zoopla
These add-ons increase the overall cost, How Do Purple Bricks Get Paid but they can help improve the chances of selling quickly.
How Does Purple Bricks Compare to Traditional Estate Agents?
The biggest difference between Purple Bricks and traditional estate agents lies in how they structure their fees. Here’s a comparison:
1. Commission-Based Agents
Traditional estate agents work on a commission model, which means they take a percentage of the sale price, usually between 1% and 3% plus VAT. For How Do Purple Bricks Get Paid example, if a property sells for £300,000, an agent charging 1.5% would earn £4,500 + VAT. This means that sellers only pay when their property is successfully sold.
2. Purple Bricks’ Model
Purple Bricks, on the other hand, charges a fixed upfront fee, meaning they get paid regardless of whether the house sells. While this could save How Do Purple Bricks Get Paid sellers money in some cases, it also carries risks if the property doesn’t sell.
3. Motivation to Sell
One of the criticisms of Purple Bricks is that because their agents receive payment upfront, they may not have the same level of motivation to sell the How Do Purple Bricks Get Paid property compared to commission-based agents, who only get paid upon completion of a sale.
Do Purple Bricks Agents Earn Commission?
Purple Bricks employs a network of Local Property Experts (LPEs) who are responsible for valuations, listings, and assisting sellers throughout the How Do Purple Bricks Get Paid process. However, their earnings differ from traditional estate agents.
1. Fixed Earnings vs. Commission
LPEs don’t earn a percentage of each home sale like traditional estate agents. Instead, they receive a portion of the fixed fee that Purple Bricks How Do Purple Bricks Get Paid charges sellers. The more properties an agent lists, the more they earn.
2. Performance-Based Incentives
Some LPEs have additional earning opportunities through performance-based bonuses, but these are not directly tied to a home’s final sale price, which How Do Purple Bricks Get Paid means their primary focus is on acquiring new listings rather than closing sales.
3. Independence and Work Structure
Unlike full-time employees at traditional agencies, many Purple Bricks agents work on a self-employed basis, giving them flexibility but also meaning their income relies on how many clients they secure.
The Pros and Cons of Purple Bricks’ Payment Model
Before deciding to use Purple Bricks, sellers should weigh the advantages and disadvantages of their fixed-fee approach.
Pros:
- Cost Savings for Some Sellers – If a home sells quickly, the fixed fee can be lower than commission-based agent fees.
- Transparency in Pricing – Sellers know exactly how much they will pay upfront, with no surprises or hidden commission charges.
- National Exposure – Listings appear on major platforms like Rightmove and Zoopla, giving properties good visibility.
Cons:
- No Refund if the Property Doesn’t Sell – Sellers pay the fee whether their home sells or not, which can be a significant drawback.
- Potential Lack of Motivation from Agents – Since LPEs don’t earn a commission on sales, they may not be as driven to negotiate higher prices or push for quicker sales.
- Additional Fees for Services – Essential services like accompanied viewings and premium marketing cost extra, which can add up.
Is Purple Bricks the Right Choice for You?
Whether Purple Bricks is the right option depends on your circumstances and priorities.
1. Ideal for Confident Sellers
If you are comfortable managing aspects of the sale, such as viewings and negotiations, Purple Bricks can be a cost-effective solution.
2. Risky for Those Who Need Guaranteed Sales Support
If you prefer a more hands-on approach from an agent who is financially motivated to sell your home, a traditional estate agent might be a better option.
3. Best for Properties in High-Demand Areas
If your property is in a sought-after location with high demand, you may have an easier time selling, making the upfront fee worthwhile.
Conclusion
Purple Bricks’ payment model is designed to offer a more affordable and transparent alternative to traditional estate agents. However, their fixed-fee structure means they get paid whether your property sells or not, which presents both benefits and risks for home sellers.
If you’re looking to save money and are confident in handling parts of the selling process yourself, Purple Bricks could be a great option. However, if you want the assurance that your agent is motivated by commission and will only get paid upon a successful sale, then a traditional agent might be the better choice.
Ultimately, understanding how Purple Bricks gets paid allows you to make an informed decision about whether their model aligns with your selling strategy. Weigh the pros and cons carefully before committing to ensure you get the best outcome for your property sale.
