How Should Deposits Be Split When Clients Back Out? Rules for Rentals vs Sales

There’s a question I often get from property owners:
When a client places a deposit… then backs out,
how much percentage of the deposit should the agent receive?
#Here’s my personal guideline
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#In rental cases
The agent should receive 50% of the deposit.
For example, if the rent is 50,000 THB
and the client places a 50,000 THB deposit,
if the client cancels, the owner and the agent
should each receive 25,000 THB.
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#In sales cases
The agent also gets 50% of the deposit,
but this 50% must not exceed 3% of the commission they’re entitled to.
.
For example, if the property sells for 100 million THB,
the agent is entitled to 3% commission = 3 million THB.
.
Let’s say the client deposits 10% = 10 million THB.
If split in half, that’s 5 million THB for the owner and 5 million THB for the agent.
But the agent should not receive more than 3 million THB.
So the agent gets 3 million,
and the owner gets 7 million.
#That’s how it should be.
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But many people misunderstand
and apply the sales rule to rental cases,
saying:
"You get 3% of the deposit."
Hold on!!! Hello!!!
.
If it’s a 10,000 THB rental,
and the client deposits 10,000 THB and then cancels,
and the agent gets 3% of that,
they end up with only 300 THB.
.
WTF!!! That doesn’t mean "Wow, that’s fantastic."
300 THB doesn’t even cover the travel cost.
WTF!!! That’s not "Wow, that’s fair."
.
Please understand this properly,
and communicate it accurately too.
🤣🤣🤣🤣🤣

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