Dubai: Things are changing in Dubai’s property market – and this is the case even with broker commissions.
A new brokerage firm has launched in Dubai, where brokers can hold on to 80 per cent of the commission value they generate instead of the usual 50:50 split in most agencies. That’s not all.
Phoenix Homes will offer brokers workspaces if they want one, and it will be up to the individual broker to make up their mind whether he or she has to contribute to the marketing of the property portfolio.
“A friend said to me the other day, ‘All the other real estate companies are like schools, where you are told what to wear, when to turn up, what to say and what to do…’,” said Myles Bush, who launched the entity in tandem with Martin Hyre and Padraic Hickey.
“As individuals, we all broker transactions, we've all got our own network, and we sat down around a table and decided what we wanted from an agency. The higher commission model is known in America, but no one is doing it here.
“The market has shifted, the world has changed, and we want to create a new sort of company that respects and acknowledges that.”
Consolidation and creation
After years of tight market conditions, signs are emerging that Dubai’s property market is showing enough positive signs. Sales of super-premium homes – those in the Dh50 million to Dh100 million and over – have been on a steady rise these past months.
It is also leading to shifts within Dubai’s property brokerage space. Some consolidations have happened, while new ventures too have been launched. Agency commission structures too have undergone changes.
What Phoenix Homes is offering is very much part of that transition. The firm operates out of a 3,000 square feet office in Barsha Heights.
Track-record is all that matters
One thing the agency won’t do is take on brand new entrants into the market. “If you’re a new broker who wants training, and to be told what time to start and end your day, what to wear and say, then we are not the agency for you,” said Bush.
“We won’t offer training or expect them to be in the office 9-5 – although, of course, the office and the admin staff are there for when they’re needed. I’d go as far as saying we are looking more to recruit dynamic, entrepreneurial businessmen and businesswomen rather than just brokers.”