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Dáil

Ceisteanna—Questions. Oral Answers. - Solicitors and Estate Agents.

asked the Minister for Justice whether he is satisfied with the present method whereby solicitors' and estate agents' fees are charged to house purchasers, and with the level of fees so charged.

5.

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asked the Minister for Justice whether he will consider the establishment of a State authority to undertake the functions at present performed by solicitors and estate agents in relation to the purchase and sale of houses.

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With the permission of the Ceann Comhairle, I propose to take Questions Nos. 4 and 5 together. The Deputy appears to be under a misapprehension about the fees of estate agents or auctioneers. The practice that was traditional up to a few years ago whereby auctioneers' fees for public auctions were charged to the purchaser was prohibited by the Auctioneers and House Agents Act, 1973, and the fees must now be paid by the seller, who of course can advertise and sell his house himself if he so wishes without the assistance of an auctioneer. That point apart, having regard to recent inquiries into the remuneration of both solicitors and house agents which have been conducted by the National Prices Commission, I think it is fair to say that both the method of charging fees and the level of these charges are being kept under expert review and, at this stage at all events, I have no proposals for the setting up of a State authority to take over work in this area.

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Would the Minister say if as a result of this inquiry it is possible, if one takes the buyer's and the seller's solicitors, possibly the building society's solicitor—that would be three solicitors—and auctioneers' fees that a person buying say a house for £15,000 could have about £1,500 added to that?

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I cannot honestly tell the Deputy what the total in fees would be from the different bodies mentioned, but from my ordinary knowledge of what happens in this area I believe the fees are substantial.

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Would that report of the Prices Advisory Board be available in the Library?

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As far as I know it is. I will make inquiries about that. I would not want to mislead the Deputy.

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Jim O'Keeffe Mr. O'Keeffe Fine Gael

Could I ask whether the Minister would consider a change in the law by putting on mortgagees, building societies and so on the onus of discharging their own legal fees and thus relieving the purchaser, who presently has to pay them, from that obligation?

Comment on this

I would be prepared to look into that.

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Would the Minister also agree to look at the situation in relation to estates of houses where the fees charged are blanket fees in respect of each house and where the work done does not reflect the remuneration?

Comment on this

That would be an aspect that I would look into.

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