Contract for house sale advised needed please

sm99_3

Hi All, Would anyone please be able to advise?

I've had my house on the market for about 3 months now. My estate agent introduced a buyer but contracts weren't exchanged. The buyer has now contacted me privately stating that they'd still like to go ahead with the sale.

Now, at the time I signed the contract with the estate agent I was told that if they introduce a buyer but the sale doesn't go through then they won't charge, if I arrange a private sale they won't charge, if I arrange a private sale with someone they've introduced to the property they won't charge.

I've re-read my contract and have found this in it:

“When the agent acts on the client's behalf as sole agent/joint sole agent the client will be liable to pay remuneration to the agent/joint sole agent in addition to any other costs or services agreed if at any time unconditional contracts for sale of the property are exchanged:
(i) With A Purchaser introduced by that agent during the period of their agency sole/joint sole agency or with whom the agent and negotiations about the property during that period or,

(ii)with a purchaser introduced by another agent during that period

(iii)If A purchaser first introduced by the agent during this agreement goes on finding that he within six months of the day of this agreement ended”

If I were to arrange the sale of the house privately with the interested party, would I have to pay the estate agent if I don't end the agreement with them? Is there anyway around paying them? Basically they've lied to me several times, my purchasers sale fell through because of their incompetence and I've just had enough of them.

Scully38

Yes you'd still have to pay them as they introduced you to them. They in terms of the contract filled their obligation to you. The payment of fees to the EA still applies within I think 6 months of you signing the contract. Ajd there is absolutely no way around of paying them.

The only way you can get round it is if you get a completely new buyer now that has no association with the EA/was never introduced by the EA/Saw the for sale sign etc... Also if the sale of the property is past the period of enforcement (it'll be i the contract), there the only times you won't have to pay.

sm99_3

What if I sell it privately to the buyer, EA would they be likely to find out?

G_M

sm99 wrote: »

...My estate agent introduced a buyer but contracts weren't exchanged. The buyer has now contacted me privately stating that they'd still like to go ahead with the sale.
This seems pretty clear so far!
Now, at the time I signed the contract with the estate agent I was told that if they introduce a buyer but the sale doesn't go through then they won't charge, if I arrange a private sale they won't charge, if I arrange a private sale with someone they've introduced to the property they won't charge. Very strange. And meaningless. What is 'a private sale'? Usually it means one where the buyer was not introduced by an agent, so this statement seems to contradict itself. Are you sure you understood this correctly?

I've re-read my contract and have found this in it:

“When the agent acts on the client's behalf as sole agent/joint sole agent the client will be liable to pay remuneration to the agent/joint sole agent in addition to any other costs or services agreed if at any time unconditional contracts for sale of the property are exchanged:
(i) With A Purchaser introduced by that agent during the period of their agency sole/joint sole agency or with whom the agent and negotiations about the property during that period or,

(ii)with a purchaser introduced by another agent during that period

(iii)If A purchaser first introduced by the agent during this agreement goes on finding that he within six months of the day of this agreement ended”

If I were to arrange the sale of the house privately with the interested party, would I have to pay the estate agent if I don't end the agreement with them? Is there anyway around paying them? Basically they've lied to me several times, my purchasers sale fell through because of their incompetence and I've just had enough of them.

Agent did their job. Found you a buyer. Why would they not deserve paying (legally OR morally)?

Scully38

They'll find out, trust me word will get back to them. Plus that's defrauding someone out of their money. You want to get caught? That's your mess. But don't ask for people's advice on a public forum about breaking the law.

sm99_3

I'm not trying to break any law, just wanted advise as to where I stand

sonastin

estate agents monitor property transactions taking place in their area - thats part of how they come up with a valuation for your house. If you sell, they wil know. They will be able to look up the new owner on the land registry. They will know you sold to a buyer that they introduced. And they will come after you for their fees. Plus interest.

Your alternative... terminate the contract. Wait six months. Sell to this buyer. If they buyer is still waiting around after that length of time. Even then you're on shaky ground as clauses like this haven't been fully tested in the courts yet.

Scully38

You have no choice but to pay the EA as they fulfilled their contractual obligations, irrespective of whether you cancelled them as they found a buyer. Sorry.

sm99_3

If I wait the 6 months then sell, how could they claim their fees after the 6 month period? I'll have waited the time specified

hazyjo

Is the buyer willing to wait another six months after you terminate your contract with the EA?

Not something I, or most of us, would do. Why don't you think the EA should be paid? Why didn't you just try selling privately? I don't get why you'd agree to pay them a certain percentage (or fixed fee), let them find you a buyer, then do anything to avoid paying.

How much are we talking?

If they want a private purchase without buying through EAs, are you sure they're not going to drop the price now or at the last minute? After all, that's what usually happens when you don't have an EA fee to pay.

If anyone suggested doing that to an EA I was selling through, personally I wouldn't feel I could trust them.

Really not sure why the buyer has suggested this. It's usually the seller's idea. What can they possibly gain from it? It's not like they pay the EA anything.

Jx

MissMotivation

Just pay them! They introduced the Buyer and are therefore entitled to their fee......if you didn't agree with the contract then you should never have signed it and tried to sell privately in the first place.

Estate Agents WILL monitor properties that have been withdrawn to see if they sell at a later date.

Trust me....they will find out about it!