Sell it yourself

‘Hmm,’ we hear you saying. ‘That’s a lot of commission. Why don’t I sell it myself and save the money?’

After all, how hard could it be…this is an especially entertaining thought if you happen to be in some other field of selling. It is often said though that “selling without the assistance of an experienced real estate professional is like representing yourself in court…”

The only good motivation to sell privately is that you do genuinely know an ideal buyer who is ready to pay an above-market price. The question remains however, were you able to negotiate the best price? If you do have a genuine buyer, you can still use RE/MAX to sell your property and nominate & exclude that person in advance or negotiate a specific commission should they buy. “For Sale by Owner” signs and ads also often attract lowball offers from bargain-hunters expecting you to give them the commission in the form of a price reduction. You end up losing the commission savings anyway and you don’t get the benefit of the services we provide.

As licensed real estate agents, we provide the following services:

  • represent you and protect your interests
  • provide up-to-date market information of recent sales and competing listings
  • arrange professional photography
  • put up a “For Sale” sign at your property
  • write & book the advertising for your home
  • create & organise postbox drop flyers to be distributed
  • place your home on various websites
  • market to other agents by word-of-mouth
  • email qualified buyers on database
  • screen prospects to protect you from “unwelcome sightseers”
  • hold inspections & Open Homes
  • show your home whether you’re home or not
  • respond to telephone enquiries about your home
  • respond to email enquiries about your home
  • pre-qualify prospects
  • match prospects
  • answer questions which prospects are reluctant to ask homeowners
  • type up contracts and other necessary documentation
  • complete a Title Search
  • analyse offers
  • write and present offers
  • negotiate
  • consult with solicitors
  • act as a buffer to keep the deal from getting too personal
  • arrange compliance certificates & attend building inspections and valuations
  • resolve disputes
  • acquire estimates for repairs
  • take the final walk-thru (Pre-registration Inspection) with the buyers

Types of agency agreements

Sole mandate: A sole mandate is an exclusive contract that stipulates an allotted time frame during which you may not appoint another agent to market your property. You can appoint another agent only once the sole mandate has elapsed. You will still be entitled to market and sell the property yourself, but only if this is confirmed in writing and you may still be required to pay a fee to the sole mandated agent (depending on the wording of the contract you signed). Giving an agent an exclusive sole mandate, on the other hand, means that you will not be allowed to sell the property privately.

Sole mandates inspire maximum effort: A written contract will also ensure that the agent puts maximum effort into fulfilling the goals that have been set. If an agent is working on an open mandate, they may be less inclined to spend as much time marketing the property, which will reduce your home’s chances of selling.

Sole mandates guarantee efficiency:The reason for a sole mandate is to ensure that the transaction is handled in the most efficient way possible and that all parties are protected. This is why most financial institutions and estate agencies recommend it, as having a sole mandate will ensure more effective marketing of the property and an orderly conclusion to the sale, without anything getting lost in translation between the various parties involved in selling your home.

Open Mandate: If you opt for an open mandate, you’re taking exclusivity out of the deal. This means that there will be multiple agents, from a variety of agencies, who will be marketing and trying to sell your property. Although this may sound like the option that will better your chances of finding a buyer, it can bring about complications and increase the chance of a possible double commission claim. An open mandate allows for a wider net to be cast, however, doing so also opens the potential for confusion as to which agent was the effective cause of the successful sale. Where a sole mandate is a written agreement, open mandates are often verbal agreements. With no written agreement in place, certain aspects could be misinterpreted, which could cause conflict. A clear, written contract protects both you and the agent, reducing the risk of any misunderstandings.

Final advice: While you might be inclined to think that signing a sole mandate is restricting, it is an opportunity to make the process of selling your home simpler. Before signing any mandate, take time to find an experienced real estate agent who will work according to what is in your best interest, giving sound professional advice and assisting you to make the right decisions.

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