The General terms and conditions for real estate brokerage regulate the business relationship between the Aladdin Estates Agency as a broker and the ordering client in order to achieve a common interest.
The General terms and conditions are published in a visible and accessible place in the business premises of the Aladdin Estates Agency as well as on its official website.
They are an integral part of every real estate brokerage contract as well as any other contract concluded by the broker with a natural or legal person as the ordering client.
By concluding a brokerage contract, the ordering client confirms that he is familiar with and agrees with the provisions of the General terms and conditions of the Aladdin Estates Agency.
Definitions of basic concepts
Real estate is a plot of land, together with everything that is permanently connected to the land on or below the surface, in accordance with the provisions of the general regulation on ownership and other real rights.
Real estate brokerage is the actions of real estate brokers concerning the connecting of the ordering client and a third party, and negotiations and preparations for concluding legal transactions with a particular real estate as their subject, especially when buying, selling, exchanging, renting or leasing.
The real estate broker is Aladdin Estates Agency, a company registered to perform real estate brokerage activities and entered in the Register of Real Estate Brokers kept by the Croatian Chamber of Commerce (hereinafter: Aladdin Estates Agency or Agency or Broker).
The ordering client is a natural or legal person who enters into a written brokerage contract with the Agency, seller, buyer, lessor, lessee and other possible participants in real estate transactions (hereinafter: Ordering Client).
A third party is a natural or legal person that the Agency seeks to connect with the Ordering Client for the purpose of negotiating the conclusion of legal transactions over a particular real estate as their subject (hereinafter: Third Party).
Brokerage fee is the amount that the Ordering Client is obliged to pay to the broker for brokerage services.
The Code of Ethics for Real Estate Brokers is an ethical code that sets out the basic guidelines for ethical conduct of real estate brokers adopted by the Council of the Croatian Real Estate Association and approved by the Assembly of the Croatian Chamber of Commerce.
Real estate brokerage contract
Through the real estate brokerage contract, the Agency undertakes to try to find and connect with the Ordering Client a Third Party for the purpose of negotiating and concluding a legal transaction involving a transfer or establishment of a certain real estate right, and the Ordering Client undertakes to pay the Agency a certain brokerage fee if the legal transaction gets concluded.
The contract is concluded in writing and for a certain period of time.
If the contracting parties do not agree on the term for which they conclude the contract, the contract is concluded for a period of 12 months from the date of concluding the contract and may be extended several times through agreement of the parties.
The brokerage contract must contain information on the Broker, the Ordering Client, the type and content of the assignment for which the Broker mediates, the brokerage fee and possible additional costs incurred when the Broker, as agreed upon with the Ordering Client, performs for him other services related to the assignment which is the subject of mediation.
The brokerage contract may also contain other information related to the assignment for which the brokerage is done.
The brokerage contract is also binding on the contracting parties in the case when it is signed by the Ordering Client and the Broker and sent by e-mail or other means of communication.
Through the contract, the Ordering Client may undertake not to hire any other broker (exclusive brokerage) for the brokered legal transaction, and such an obligation must be explicitly contracted.
If during the term of the exclusive brokerage contract the Ordering Client concluded a legal transaction outside the Agency through another broker, for which the Agency was given the brokerage order, the Ordering Client is obliged to pay the Agency the agreed upon brokerage fee as well as additional costs incurred during mediation (if such costs are explicitly contracted).
If by means of the exclusive brokerage contract it is contracted, the Ordering Client is likewise obliged to pay the Agency the brokerage fee and the actual costs incurred during the mediation if he independently enters into a legal transaction with the Third Party during the contract term.
When concluding the exclusive brokerage contract, the Agency is obliged to warn the Ordering Client of the meaning and legal consequences of this clause.
The Ordering Client is obliged to reimburse the Agency for the costs incurred for which it was explicitly contracted that the Ordering Client pays them separately.
If within 12 months after the termination of the brokerage contract the Ordering Client concludes a legal transaction which is mainly the result of the activities of the Agency before the termination of the contract, the Ordering Client is obliged to pay the Agency full brokerage fee, unless otherwise contracted.
Termination of contract
The brokerage contract shall terminate upon the expiration of the term for which it was concluded, if the contract which was brokered has not been concluded within that period, or by cancellation of either of the contracting parties.
The Ordering Client is obliged to reimburse the Agency for the costs incurred for which it was explicitly contracted that the Ordering Client pays them separately.
If within 12 months after the termination of the brokerage contract the Ordering Client concludes a legal transaction resulting from the Agency’s actions before the termination of the contract, he is obliged to pay the Agency full brokerage fee, unless otherwise contracted.
Aladdin Estates Agency’s offer is based on data received in writing and/or orally from property owner that is offered for sale, purchase, exchange, lease or rental, as well as on data contained in written or oral orders of the Ordering Client. The Agency is not responsible in case of an error in the description or price of the property, and is not responsible in case of the withdrawal of the property owner from the mediated legal transaction.
The Ordering Client must keep the offers and notifications of the Agency as a business secret and may only relay them to other persons upon the written approval of the Agency.
If the recipient of the offer is already acquainted with the real estate offered by the Agency, he is obliged to inform the Agency of that without delay.
Obligations of the Agency
The Agency, through the brokerage contract, undertakes in particular to perform the following:
Strive to find and bring in contact with the Ordering Client a person for the purpose of concluding the brokered deal.
Familiarize the Ordering Client with the average market price of a similar property.
Obtain and inspect documents proving ownership or other real right concerning the property.
Check the condition of the property.
Perform the necessary actions to present the property on the market, advertise the property in an appropriate manner and perform all other actions contracted in the brokerage contract that exceed the usual presentation, for which he is entitled to special, pre-stated costs.
Enable tours of the property.
Mediate in negotiations and attempt to get an agreement reached, if it has specifically committed to that.
To safeguard personal data of the Ordering Client and, based on the written order of the Ordering Client, to keep as a business secret data on the real estate for which it is mediating or data in connection with that real estate or with the assignment for which it is mediating.
If the subject of the contract is land, check the purpose of the land in question in accordance with the regulations on spatial planning relating to that land plot.
Inform the Ordering Client of all circumstances relevant to the intended assignment that are known or should be known to it.
Operate with increased care, according to the rules and customs of the profession (attention of a competent expert).
If the Ordering Client authorizes the Agency, the Agency will perform the following for the Ordering Client:
- After reaching an agreement, draw up a pre-sale contract and a contract for the sale/exchange/lease/rental of the property,
- Organize notarization of signatures of contracting parties,
- In case of a bank loan being used, perform all actions necessary for the completion of the legal transaction,
- File a tax return and perform the necessary actions concerning the tax office,
- Submit valid documentation for the transfer of utilities from the seller to the buyer with Electric, Gas, Housing and Communal Utilities and the Heating plant,
- Put together a proposal for the registration of property ownership of the purchased property and carry out the transfer of ownership rights in the name of the buyer with the Land Registry Department of the area Municipal Court.
Obligations of the Ordering Client
Through the brokerage contract, the Ordering Client is in particular obliged to perform the following:
Inform the Agency of all circumstances that are important for the brokerage and provide accurate information about the property and, if in possession of, give the Agency the Location permit, Building permit and/or Certificate of Occupancy for the property that is the subject of the contract and provide the Agency with evidence of compliance to obligations towards the Third Party.
Provide the Agency with documents proving their ownership of the property, or other real right over the property that is the subject of the contract, and warn the Agency of all registered and unregistered encumbrances that exist on the property.
Enable the Agency and the Third Party interested in concluding the brokered deal a tour of the property.
Inform the Agency of all relevant information about the property concerned, which includes in particular the description of the property and the price.
After concluding the brokered legal transaction, and in accordance with the brokerage contract and the General terms and conditions, pay the Agency the brokerage fee.
If it is explicitly contracted, to reimburse the Agency for costs incurred during the mediation that exceed the usual brokerage costs.
Inform the Agency in writing of all changes related to the assignment for which he has authorized the Agency, and in particular of changes related to the property ownership.
The Ordering Client is not obliged to enter into negotiations for concluding the brokered deal with the Third Party introduced by the Agency, nor to conclude the legal transaction.
The Ordering Client will be liable to the Agency for damages, if he did not act in good faith and is obliged to reimburse all costs incurred during the mediation, which may not be less than 1/3 or more than the contracted brokerage fee for the brokerage assignment.
In case of concluding a brokered deal, it is considered that the Agency has performed its brokerage service if it has connected the Ordering Client with the Third Party for the purpose of negotiating the conclusion of the brokered deal, especially if the Agency:
- Directly took or sent the Ordering Client or a Third Party to tour the property in question,
- Organized a meeting between the Ordering Client and the Third Party in order to negotiate the legal transaction,
- Communicated to the Ordering Client the name, telephone number, fax number, e-mail of another person authorized to conclude the legal transaction or informed the Ordering Client of the exact location of the property concerned,
- Made it possible for the Ordering Client to contact the Third Party in any other way that leaves no doubt about the identity of the person authorized to negotiate and/or conclude the legal transaction.
Earning the right to compensation
The Agency acquires the right to compensation in full at the time of concluding the mediated transaction, ie by signing a contract or pre-contract by which the Client undertook to conclude the mediated legal transaction.
The amount of the brokerage fee for the mediation performed during the purchase, exchange, lease and rental of real estate is charged in accordance with the brokerage agreement.
The Principal is obliged to pay the Agency a brokerage fee in case of withdrawal of the Principal or a Third Party with whom the Principal has entered into a pre-contract or contract related to real estate, regardless of whose side is to blame for withdrawing from the legal transaction mediated by the Agency.
The Agency is also entitled to a brokerage fee in the event that the legal transaction related to the real estate for which he mediated is concluded instead of the Client by his spouse or cohabitant, a relative in the direct line (children, grandchildren, parents), brother or sister and other relatives in the collateral line. company, institution or other legal entity in which the owner, founder, member of the management board, member of the supervisory board or procurator line, as well as in the event that such legal transaction is concluded by any third legal or natural person who can be brought into contact with the Principal.
The Client is also obliged to pay a brokerage fee in the case when he concludes with a Third Party a legal transaction different from the one for which the Agency mediated, which achieves the same purpose as the business for which it was mediated, or if the subject of that other legal transaction is real estate .
If within 12 months after the termination of the brokerage contract the Client concludes a legal transaction which is mainly a consequence of the Agency’s actions before the termination of the brokerage contract, the Client is obliged to pay the Agency full brokerage fee, unless otherwise agreed.
When the contract terminates due to the expiration of time, the Client is obliged to reimburse the Agency for the costs incurred for which it was explicitly agreed that the Client pays them separately.
Personal data protection
The Agency collects and processes personal data in accordance with applicable regulations and the General Data Protection Regulation (GDPR) and takes all organizational and technical measures to ensure security and confidentiality of personal data processing and prevent unauthorized access or unauthorized use of personal data.
An integral part of the General terms and conditions are the appropriate rules, statements and privacy policies that are made available to Ordering Clients for the purpose of familiarizing themselves with their rights.
An offer for mediation can be made through any common means of communication, such as telephone calls, e-mail, SMS, WhatsApp/Viber messages and the like.
Communication between the Ordering Client and the Agency may take place orally or in writing via postal or e-mail address as well as via telephone numbers specified in the brokerage contract. In the event of circumstances relevant to the brokerage, the Ordering Client shall be deemed to have been notified if the Agency has orally informed him or sent him a message through one of the above listed usual means of communication. The date of the oral notification or the date of sending the message will be considered the time of the notification
Business code of ethics
The Agency is a signatory to the Business code of ethics, which sets out the basic guidelines for ethical conduct of real estate agencies, adopted by the Croatian Chamber of Commerce.
By accepting those ethical principles, the Agency undertakes to act in accordance with the principles of responsibility, truthfulness, efficiency, transparency, quality, good faith and respect for good business practices towards Ordering Clients, business environment and towards its own employees and other brokers.
The brokerage fee consists of the following commissions:
The commission for brokerage in a real estate sale (charged from the seller) is 2-3% (not less than € 663,31).
The commission for brokerage in a real estate purchase (charged from the buyer) is 2-3% (not less than € 663,31).
When exchanging real estate properties, the commission is 2-3% and is charged from each party in the exchange, and the percentage is calculated from the value of the property that each party acquired through the exchange.
In case of a rent/lease contract, a percentage of the amount of the monthly rent is charged from the lessor and the lessee as follows:
100% for rent or lease lasting 12 – 59 months
150% for rent or lease lasting 60 months (5 years) or more
BROKERAGE HOURLY RATE
The value of the Agency’s hourly rate with expenses included is € 33,18.
NOTE: Value added tax is added on all brokerage fees.
Other material costs
The contracted and paid brokerage fee does not include the costs of settling court fees for title registration, pre-registration and notation, notary fees for verifying signatures on documents, settling fees for obtaining title deeds, copies of cadastral map, identification, mortgage transfer to change mortgage debtor, certificates and other documents in connection with the concluded legal transaction which accomplishes the interest of the Ordering Client (seller/buyer), those are exclusively his obligation.
Cooperation with other agencies
Aladdin Estates Agency is ready to cooperate with other real estate agencies that respect basic ethical principles (which exclude the disclosure of false business data to obtain business and clients, disparagement of other agencies in any way to obtain business and clients, unrealistic estimates of property values for the purpose of obtaining brokerage assignments, excluding other agencies from the market, appearing in the media with the intention of personal promotion and to the detriment of other agencies). Mutual cooperation between agencies is based on the Business code of ethics for real estate agencies.
Aladdin Estates Agency provides the users of its brokerage services with the right to a written complaint. The complaint can be submitted in person at the Agency’s business premises, via e-mail to firstname.lastname@example.org or by mail to Aladdin Estates d.o.o., VI Rastići 4, 21223 Okrug Gornji, by registered mail with return envelope. The complaint will be answered within 15 days at the latest.
The provisions of the Real Estate Brokerage Act and the Obligatory Relations Act shall apply to relations between the Ordering Client and the Agency arising from brokerage contract that are not regulated by these General terms and conditions or the brokerage contract.
Application of General terms and conditions
The General terms and conditions of the Agency set out herein shall apply from 1 September 2021.