Non-Exclusive Sale Contract for Real Estate

Cacao on 27/04/2023 - 11:47
Last edited 27/04/2023 - 12:26 by 1 other user

Hi everyone, just wondering if you could please share your experience/thoughts on this.

We are trying to sell our investment property. Our agent has been shockingly lazy. Apparently he’s having personal issues. Anywho. Ideally we would like to go to a different agency altogether but wanting to explore options in terms of having multiple sales agents. Note we have checked our contract exclusive sale contract period has now expired with the current agent. We do have to give them 30 day’s notice before going to someone else.

What are the cons is what I am after. I read somewhere say one agent sells the property and the other agent claims that they introduced the property to a buyer say via a promotional email, they could claim commission. Meaning we would pay double commission.

Thanks in advance.

• 

  87percent on 27/04/2023 - 11:55

  +9

  Issue them the 30 days notice, tell them to cease all work on your property

  • 

    Bargainitis on 27/04/2023 - 12:49

    +1

    This.

    If possible, no overlap in engagment between the two agencies.

    Separately, if you look through the engagement letter / contract, there may be this provision around suvivorship post termination. I haven't seen it in RE contracts to date (I have had limited experience in this) but I do see it in my line of work from time to time. It effectively prevents you, the vendor from talking to a potential buyer, terminating the engagement with the RE and then subsequently doing a deal with the buyer cutting the RE out of their commission.

    Alternatively, you have also engaged with a conveyancer / lawyer for this sale, if so, they represent you so you could just check with them if a similar clause exists in your paperwork.

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  JimmyF on 27/04/2023 - 12:05

  Note we have checked our contract exclusive sale contract period has now expired with the current agent. We do have to give them 30 day’s notice before going to someone else.

  Issue them 30 days then

  What are the cons is what I am after. I read somewhere say one agent sells the property and the other agent claims that they introduced the property to a buyer say via a promotional email, they could claim commission. Meaning we would pay double commission.

  What does your contract say? Based on the fact that the exclusive sale contract period has expired, you giving them 30 days notice to 'wind up'. They would be hard pressed to claim this.

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  payless69 on 27/04/2023 - 12:27

  -3

  Ask productreview if Whingepool would throw money at you?

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  DashCam AKA Rolts on 27/04/2023 - 12:57

  Years ago, I was preparing to sell an IP that I had shifted into, whist in the process of buying an off the plan PPR.
  The REA who had looked after the IP had a verbal agreement with me to sell the IP, but before we were about to market the property, the REA selling us the new place claimed he had found a buyer for our IP.
  Hadn't signed contracts with either, but had been transparent with both.
  End result, one did the sale contract and the other the conveyancing. (This is in SA). Amicably split the fee, no double fee. Easy sale, no advertising, couple of private viewings, so very reasonable commission.

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  Gunnar on 27/04/2023 - 13:13

  +1

  Some years ago I was on the buying end of a property which didn’t have one of these

  I signed the contract and the guy didn’t sign because another agent found someone who was paying a bit more. The seller was a bit of a pain and would crib for like $500. Out of principle I said no to the extra amount (it was $2000 more); I was also tired of dealing with such a pest of a seller. That sale ended up falling through so he came back to me, I told him to get f’ed. he ended up selling it for less than he was getting from me

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    Donaldhump on 27/04/2023 - 14:49

    suck shit to them

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  dcep on 27/04/2023 - 16:59

  There usually a clause whereby even after the exclusivity period ended and you gave your notice , the REA still entitles for commission if the eventual sale is from leads originate by them (aka buyer was approached or introduced to the property during their exclusivity period).

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  miwahni on 27/04/2023 - 21:45

  +1

  One issue that can arise with multiple sales agents is you can find none of them work too hard at selling your house - why put in a lot of effort if there's a chance another agent could sell it? This wouldn't be such an issue when the market is absolutely booming, but could drag out the selling period in the current market conditions.