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Fair Trading Exclusive Agency Agreement

If you use a real estate agent to sell your home, take care of it to work for you. They sign with them an agency contract which is a legally binding contract and pay them a fee, usually in the form of a commission. Shop for an agent It`s a good idea to talk to at least three real estate agents. Make sure they have a good knowledge of the local environment. Compare their commissions, other expenses, marketing plans and sales balance sheets in your suburb. Since this person works for you, it is important to evaluate them in depth. Make sure they are duly made redundant. Be realistic about the price Don`t just sign up with an agent because they give you the highest estimated selling price. In your environment, pay attention to the sale of similar properties – look at the selling prices to get an idea of the value of your property.

It is against the law when a broker misstates the sale price of a property. This can be a dishonest way to influence you, to sign up with them if you think they will bring you a higher price for your home. The agency contract becomes mandatory when the contracting entity (i.e.: You as the owner/seller of the property or someone who acts legally for you) and the agent have signed it. There is then a one-day cooling-off period during which you can terminate (or “revoke”) the contract. Saturday is included for the purposes of the cooling-off period, but the holidays are not. Brian Cannan: Today I have Greg Jemmeson of Jemmeson Fisher Solicitors and Accountants with me. And we`re going to talk about agency agreements. Greg, how important are agency contracts? The cooling-off period gives you time to read the agreement, consider the conditions you have agreed to, including the agent`s expenses, and get independent advice if you have any doubts. Greg Jemmeson: Thanks to Brian, really the most important thing in an agency contract is a real estate agent is not allowed to pay a commission, unless they have a valid agency agreement in effect. Well, basically, the Property Stock and Business Agency Act sets out requirements that if there is no written agreement, it must be signed by both the licensee and the client, it must abide by all the rules. And if the agent signs, then the agency`s agreement must be served on principle within 48 hours.