When it comes to selling a property, whether it’s a house, apartment, or commercial space, there are different types of agreements that can be used. One of these is the sole selling agreement, which is a legally binding contract between the seller and estate agent. This article will explain what a sole selling agreement is and its format.

What is a sole selling agreement?

A sole selling agreement is a type of contract that gives an estate agent exclusive rights to sell a property. This means that the seller cannot appoint any other estate agent to sell the property. The agent is responsible for marketing the property, finding potential buyers, and negotiating the sale. In return, the agent receives a commission on the sale.

The advantage of a sole selling agreement is that it gives the estate agent the incentive to work hard in order to sell the property. They will have a vested interest in getting the best possible price for the seller.

Format of a sole selling agreement

A sole selling agreement should be in writing and signed by both the seller and estate agent. It should include the following:

1. Description of property – The agreement should include a detailed description of the property, including its location, size, and any other relevant details.

2. Duration of agreement – The agreement should specify how long it will be in effect. Typically, a sole selling agreement will last for a period of 12 to 26 weeks.

3. Commission – The agreement should state the commission that the estate agent will receive on the sale of the property. This is usually a percentage of the final sale price.

4. Exclusivity – The agreement should state that the estate agent has exclusive rights to sell the property and that the seller cannot appoint any other estate agent to sell the property during the agreed period.

5. Marketing – The agreement should specify the marketing strategies that the estate agent will use to promote the property. This may include online listings, print advertisements, and open houses.

6. Termination – The agreement should include provisions for terminating the agreement early if either party is not fulfilling their obligations.

Conclusion

A sole selling agreement is a legally binding contract between a seller and an estate agent. It gives the agent exclusive rights to sell the property and is typically for a period of 12 to 26 weeks. The agreement should be in writing and include a detailed description of the property, commission, exclusivity, marketing, and termination clauses. As a seller, it’s important to carefully review the agreement before signing to ensure that it meets your needs and protects your interests.