One of the most crucial steps when selling your home is to be very sure that the property practitioner you engage is professional, has your best interests at heart, and has a marketing plan that will ensure you get the best price for your property, and as quickly as possible.
Sometimes, however, and after signing a sole mandate, it may be that the agent does not perform as you expected, or your relationship with them becomes fraught with difficulties. Denese Zaslansky, CEO of the Firzt Property Group, provides guidance on how to exit the mandate and end the business relationship.
Q1: Why would a seller choose to change from one agent to another?
When there is a sole mandate, this is not an easy thing to do, and we would advise sellers to try to work things out with the agent or the principal of that agency unless the agent has been seriously negligent about executing the marketing plan and trying to meet the expectations they have created.
Q2: How does a seller know whether an agent is performing or not?
Performance as regards creating maximum interest in the property among potential buyers should not only be measured by the number of people the agent has brought to view the property in person, but also by the number of views the property has received online via Private Property, for example, and other such portals.
At Firzt, our marketing department works alongside our agents to amplify these views by sending the hyperlink to the online listing to all our prospective buyers in that area, and by showcasing it further on social media.
It is worth noting that if there has been a lot of online interest in the property (i.e. many views, shares, etc.) but not a lot of prospective buyers have followed up by asking to view in person, the chances are very good that the asking price is too high. Buyers are very astute when it comes to gauging value for money and won’t waste their time viewing homes they believe to be overpriced.
Q3: How does this type of decision impact on any signed sole mandate, if this decision is made before the expiry of that mandate?
If the seller decides they would like to cancel a sole mandate, they can do so by giving the agent 30 days’ written notice. They must, however, have a valid reason. This can also happen because an agent is changing to a different employer and the seller is intent on only working with that agent.
Q4: If the mandate is cancelled, is that agent obliged to hand over any photography to the new agent?
No, Agent A is not at all obliged to hand over any photography to Agent B, unless photographs originally belonged to the seller or the seller paid the photographer directly for the listing photos.
Q5: What if there is an agent change, and the first agent finds a buyer shortly after the fact?
Agent A needs to notify the seller of the prospective buyers with whom they have been working and ask that these buyers are excluded from the new mandate and any sale that may be concluded by Agent B. This is done in order to protect the seller from a possible claim for double commission if Agent B should eventually sell the property to a buyer that was originally introduced to the property by Agent A.
Q6: How should a seller handle this type of situation, and what can that seller expect from the agent in terms of a reaction?
The seller should ensure that Agent A hands over a list of any buyers with whom they have been working, and reach an agreement with Agent B as regards a possible future sale to any of these buyers. The agents may agree to split the commission, but if they do, the seller must ensure that they have a written copy of that agreement. Agents should act in a professional manner towards clients at all times.
Q7: If a seller expresses their dissatisfaction with a particular agent, is it recommended that the agent suggest another agent from the same franchise?
No, although as stated earlier, it may be worthwhile for the seller to contact the principal of the agency to see if matters can be resolved before they cancel a sole mandate.
