When you’re going through the process of selling residential property to an Agent you’ll usually find yourself taking on an agreement, that’ll ultimately help the Agent collect his commission.
We’ve a brief explanation for three of the most common commission agreements, to help you better understand what you’ll be signing up for.
- Firstly you have “Sole agent agreements” these will be for a fixed period of time. Including a termination date or a notice provision at an agreed fee.
- Secondly there are “Multi agent’s agreements” also for a fixed period which will appoint more than one agent at an agreed fee.
- The third is “Sole selling right agreements” these will be for a fixed period of time.
This will give the Agent the sole right to commission, whether they sell the property or not during the period of the commission agreement until terminated.
Whichever commission agreement is chosen, this will give the agent the right to receive payment if they introduced a buyer or if a buyer is found by a third party during the agency period.
If multiple Agents are chosen the seller must be certain which agent introduced the buyer and that there is no chance of two commissions having to be paid as agents are very aggressive at collecting commissions.
It is also important to understand that if you’ve sold your property on a website such as Zoopla or Rightmove you’ll still need to make sure your respective Agent receives his agreed commission.