Have ever had an estate agent come to value your property with a contract in hand, are they there to help you sell your house or are they there to sell you into a contract?
Long-term contracts, often lasting 12-16 weeks or even sometimes an eye watering 21 weeks, can leave you stuck with an underperforming estate agent. If your property isn’t marketed effectively or you’re unhappy with the level of service, you may have no option but to wait out the contract—or face financial penalties for terminating early.
The key to avoiding these pitfalls is understanding the terms before you sign and knowing your options and knowing that there are agents out there that practice a client first approach.
Tips to Avoid Signing Long-Term Contracts
- Read the Small Print Always read the terms and conditions of the agency agreement carefully. Look for phrases like “sole agency agreement” or “minimum contract period.” Ask questions about what these terms mean and how they apply to your situation.
- Negotiate the Terms Many agents are willing to negotiate. Request a rolling contract or a shorter commitment period, such as 4 weeks, instead of the standard 12-16 weeks. This gives you flexibility to change agents if needed.
- Opt for No-Tie-In Periods Some estate agents offer no-tie-in contracts, meaning you can leave at any time without penalties. While this isn’t always advertised, it’s worth asking whether it’s an option.
- Beware of Hidden Fees If you decide to switch agents during or after the contract period, some agreements may include clauses requiring you to pay fees if the new agent sells to a buyer introduced by the original agent. Clarify these terms upfront.
- Seek Independent Legal Advice If you’re unsure about the contract terms, consider seeking advice from a property solicitor or another trusted professional. They can help you spot any unfavourable clauses.
What it is like working with a client focused agent?
When I conduct any valuation appointment, I am there to collect information, understand my potential clients’ needs and goals, take reference photos and measure up finally to have a cup of tea and get to know them. I then take all this information away to enable me to provide a true market valuation combined with a marketing strategy personalised to achieving those needs and goals.
No need to negotiate contract terms as I sign all my clients on a 0-week agreement. They are working with the business owner who has provided them with a structured marketing plan, open communication and making myself fully accountable in the process whist my client maintains full control of their most valuable asset.
Who would you rather work with?
Paul Childs - A New Style of Estate Agency