LAND AGENTS' COMMISSION

Gisborne Times, Volume XXVII, Issue 2534, 22 June 1909, Page 3

LAND AGENTS' COMMISSION

DISCUSSED BY SHE CHAMBER U ' OF COMMERCE.

The subject of arranging a scale of commissions to be charged by land agents came up for discussion at the meeting'' of the Gisborne Chamber of Coriimerce last night, when a letter from the Auckland Chamber of Commerce was - read,’ stating that the commissions sanctioned by that body were: On- the first £IOO, 5 per' cent. ; on the balance, 24 per cent In leasing or letting weekly one week’s rent; term of one year, 34 per cent.; term of one to five years, 5 per cent. A scale of charges was received from the Canterbury Chamber of Commerce, from which it appeared that the commissions .on. sales of property (town and subiirbvn) there-in force jire: Up to £SOO, 5 per cent.; over £SOO up to £IOOO for additional £SOO, 24 pm' ■cent.; additional amounts over £IOOO, 1 per cent.; commission on all sales brought about through the buyer first being introduced: as lessee, with a purchasing clause, and afterwards becoming the purchaser (though nothing was contained m the lease, whereby it was implied) to be on the above basis, less the. amount charged for leasing. -The scale of commission charges observed by land agents in Gisborne is: On) pales to'u- value of £2OO, 5 per cent; over £2OO and up to £2OOO, 24 per cent.; over £2OOO, commission by arrangement. Mr. I. Sr Siroson thought the present rate'of commission charged by the .land agents a very fair one.. Mr. W. Lissant Clayton agreed with what Mr. Simson had said" as regards the Gisbofne land ageiits’ charge. He thought that something might be done .to protect ffind agents and the public from clients who put tlieir nroperty into an agent’s- hands and then sold it privately, but indirectly through the medium of the land agent. 'There was also the secret commission, and the troubli of the man who came along to introduce a customer, and wanted to “stand in.” He (Mr. Clayton) said he had brought the matter forward not because he. thought the Chamber could do much to break down the practice, but becauso the practice was deplorable. { There was also a good deal of cutting under'''the scale rates in the business. :He thought perhaps the Chamber might bring a rule into practice to regulate the commission charges so that all the agents and the public alike, would be satisfied.

. Mr Lawless thought that land agents should be licensed, so that bogus agents and secret; commissions \tould bo done away with. Mr. Burton moved that a comnr.iteo consisting’of Messrs J. B. Kells, J. Sheridan, T. G.. Lawless, W. (msant Clayton, and A. S. Wachsmann lie appointed to report on a scale of commissions. - - • .

Air. Clayt-on.: seconded the motion, and said he.would like the question to be debated for the benefit of. the pub.-? lie,' because many people had the “unjust opinion tliat land agents were sharks. The 'trouble was that many subterfuges; were resorted to in order to rob' the" agent of his . commission. He agreed that land agents should bo licensed, so as to prevent - people entering into the business and bringing it into He would moA r e that the Chamber .represent to the Government that the land agency business.bo, considered by ; Parliament at the- caili-' est opportunity. ; • Mr- Simson..seconded the motion. He •agreed that land.' 'agents.,,should be licensed, and, the fee not Joss than x,2( a 'Mr! r Kirk said the question Lad been before.. Parliament,. Avliich had refused to v legislateitorglicourago t}ie formation of a close borporatiou.'' *'■ , • Air Clayton, said he thought no harm woulfjfresult If.a recommendation went to tlie Goveniment from the Chambei, so that if could be seen there was ay desire.'.amoilgj husiness peo.ple to protect the public, and to put the, Jand agency, business on a better basis. tors and Air. Clayton’s motion yvere referred.' to the /committee: -to 1 , cofisidei iandr report,-to the ,G,)iunibpr.. j.