What type of agreement do I need when selling my property?
When you’re selling your property there are three different types of agreement that are generally used in the real estate industry. The first one is an exclusive agency agreement. That means you have appointed an exclusive agent to sell your property, and whether you sell the property yourself, or another agent sells it, you still have to pay that agent.
You could also have a sole agency agreement. Not very commonly used, because it creates confusion in the market place, but a sole agency allows you to appoint one agent, but also allows you to sell the property yourself still. But now, with digital marketing, it’s not really commonly used.
An open agency allows you to use multiple agents. And you’ll see quite often on real estate websites a house advertised by multiple agencies, again creating confusion in the market place. Who’s actually selling it? Who’s actually offering it for the lowest price, and which buyers should go through which agents? But open agents allow you to use a number of agents, and whoever sells the property gets paid.