THE TYPE OF MANDATE GIVEN TO AN AGENT COULD IMPACT THE MARKETABILITY OF A HOME
Category Advice
When deciding to sell one’s property, it is very important to consider carefully the type of mandate given to the agent as well as the agent himself. Apart from selling a home quickly and efficiently at the best possible price, a seller should be assured that he will get the proper service and care in ensuring the correct price is achieved as well as the best type of deal, says Nelio Mendes, estate agency SAProperty.com’s marketing manager.
Mendes says sellers are often reluctant to sign a mandate with an agent, let alone give a sole mandate, but this needs reconsidering, as this can affect how the property is marketed and handled, he says.
If there is no mandate signed, there is no binding agreement between the agent and the seller, as everything is agreed on verbally. This leaves room for miscommunication or misunderstandings between the two and agents are very reluctant to take on the responsibility of marketing a home with just a verbal agreement in place.
A written sole mandate is first prize for any agent, says Mendes. This ensures he is the only agent working on selling that property for a specified time frame (usually three months), and he can put his full energy and financial resources available into making sure the property is advertised and marketed to the best of his ability to those on his database. The agent involved will see this as a contract that must be fulfilled and do everything in his power to do so.
In this mandate, he will also list how he plans on marketing the home, whether he will advertise it and how many show days he commits to.
If there is a slim chance of earning a commission, because there are many other agents involved in the marketing of the home, the chances are high that the agent will not spend as much time on the particular property and expend his energy where there is a possibility of earning commission.
Second to a sole mandate would be a dual mandate, which is where two agents share the marketing of the property. Limiting the number of people marketing a home is always best as there are often complications with regards to viewing times, show days, etc., if there are too many people involved.
Furthermore, it may appear desperate to the market if there are too many agents marketing the property. Dealing with one agent will make the selling process (which can already be a stressful time) much easier to deal with, said Mendes.
The key is to choose an agent who is professional and has a good reputation, not just for selling properties, but for handling their client’s properties and needs with due care. The agent will not risk overpricing the property in order to please the seller to get the mandate, nor will he undervalue it to get a quick sale.
Any professional agent, when compiling has valuation, will give a comparative market analysis of a few similar properties in the same area, as well as references from other sellers who have been happy with his services, said Mendes.
“Ultimately the goal is to get the property sold at the best possible price in the shortest amount of time,” said Mendes, “and having one person concentrating on the job at hand completely seems the logical choice.”
Author: SAPROPERTY
