The Big Estate Agency Con
Sole agency periods are one of a couple of tricks used to capture a homeowner, often hidden away in the small print and by the time you have found out it is too late! This is something all homeowners should be aware off BEFORE they sign with an estate agent!
If you're a UK homeowner looking to sell your property, you may have been approached by estate agents offering a "sole agency" contract with a tie-in period of 3 months or even more.
This is a type of agreement where you agree to use one specific estate agent to sell your property and while sole agency contracts can be a good option for some home sellers and are typically cheaper, a long sole agency period can be bad news for UK home sellers in a number of ways.
Firstly, a long sole agency period can limit your options. If you sign a sole agency contract with an agent for a long period of time, you will be tied into using that agent for the entire period. This means that you won't be able to use any other agents during that time, which can severely limit your options when it comes to finding the right buyer for your property.
Secondly, a long sole agency period can give the estate agent too much power. As they are the only agent you are allowed to use, they may not feel the need to work as hard to find you the best deal. After all, they know that you have no other options and will be forced to stick with them until the contract expires. This can lead to the agent not putting as much effort into marketing your property, or not negotiating as hard to get you the best price.
Finally, a long sole agency period can be frustrating if you're not happy with the service you're receiving from the estate agent. If you sign a contract for a long period of time, you may find that you're stuck with an agent who is not communicating with you or not putting in the effort to sell your property. This can be extremely frustrating, and can make the whole process of selling your property much more stressful than it needs to be.
At Love Homes we do not believe in sole agency periods, our clients stay with us because they love what we do and not because they are force to stay.
If an agents asks, hides or insists on a lengthy sole agency period a homeowner should consider why that agent feels the need to ask for a lengthy exclusivity period. All we ask is a 21 day notice period to allow us to wrap up your marketing and this can be served at any time (although we know you won't want to).
In conclusion, while a sole agency contract can be a good option for some UK home sellers, a long sole agency period is bad news. By limiting your options, giving too much power to the estate agent, and potentially being stuck with poor service, a long sole agency period is not the best way to sell your property. If you're considering using an estate agent to sell your property, it's important to do your research and find an agent who offers an agency contract with a short term or even no term, which allows you greater flexibility and control over the sale process.