Sourcing Fee Check Calculator
Test whether a sourced property is genuinely below market once the sourcing fee, buying costs and refurbishment are added to the price.
💼 Are you a real estate agent or broker? Send this calculator to your buyers on your own branded listing page — every enquiry comes straight to your WhatsApp. Create free agent page →Property sourcers sell access to below-market deals for a fee. Whether the deal is still below market after the fee, the buying costs and the work required is a question the marketing rarely answers, and it is the only question that matters.
Adding everything up against the claimed end value takes a minute and regularly shows that the discount was consumed by the fee and the costs.
The calculation
Total invested = price + sourcing fee + buying costs + the work required. Compare that against the claimed value after the work. The difference is the equity you actually gain. The real discount is measured net of the work needed, not as the raw gap between price and claimed value, which is what the marketing quotes.
Worked example
A property at 180,000 with a 5,000 sourcing fee, 5% buying costs of 9,000 and 15,000 of work totals 209,000. Against a claimed post-work value of 200,000, you are 9,000 down. The deal is marketed on a 20,000 gap between price and value, but 15,000 of that is the work you have to pay for, so the real discount is 5,000 — and the sourcing fee alone is 100% of it.
Verify the end value independently
The claimed value is the sourcer's number and it is the input every other figure depends on. Check it against recent completed sales of comparable properties yourself, and treat a valuation supplied by the person selling you the deal as marketing.
Turn a calculation into an enquiry
Buyers who run these numbers are ready to talk. Give every listing its own page with your photo, phone and WhatsApp on it — leads land straight on your phone.
Create your free property pageFrequently asked questions
Are sourcing fees worth paying?
Sometimes, where the sourcer has genuine off-market access and the discount survives the fee and the costs. The test is the number this calculator produces, not the claimed discount in the brochure.
What should I check before paying a fee?
Whether the sourcer is properly registered and insured where that is required, whether the end value stands up against comparable sales you verified, and whether the fee is refundable if the purchase does not proceed.
Why is the claimed discount so often illusory?
Because it is measured against an optimistic end value and before buying costs, the fee and the work. Any one of those can absorb a modest discount, and together they routinely absorb a large one.