Sacking Estate Agent - Understanding the contract

kay_1

Thank you Windsorcastle that's much appreciated. House Network is the agent I had in mind so I would be extremely grateful for your 5% code. I work in a solicitors so I emailed my contract over to one of them today to double check we would be ok as long as we don't exchange with any buyer before our 12 week period is up. I'm hoping she gives me the go ahead and we can get things moving with HN.

john_white

Windsorcastle wrote: »

I have to disagree Cycloneuk. Online agents are the way forward. I just sold my house through House Network, after researching all the online agents and deciding they looked the best (not the cheapest). The high street agents all wanted 2% (4K) on my 200k property. I chose a package with HN that cost around £700 and it was the best money I ever spent. Even though I had paid upfront, they worked their ar**s off on my sale, dealing with impossible solicitors and keeping everything moving. My property manager even kept in touch on her day off to chase my exchange.

I would strongly suggest to the OP that she gives notice to the EA now and sets the ball rolling with HN. There's nothing to stop you starting viewings, just make sure you don't exchange contracts till after 31st December and the original agent can't touch you.

If you PM me, I can give you an honest account of my experience with HN, and also an affiliate code that will get you 5% off any package if you choose to go with them. DO NOT pay a greedy high street agent when you can save yourself thousands of quid!!

Can I ask how you arrived at your 200k valuation?

Most agencies round my way charge 1-1.5% (plus VAT of course). Properties are moving very quickly I'd want to know what a realistic price is but this would mean another up front fee on top of the online agency fee so potentially about 1k in fees. A traditional agent would be approx. 3k, but of course no up front fee, but I could simply add 2k to the asking price

Windsorcastle

kay_1 wrote: »

Thank you Windsorcastle that's much appreciated. House Network is the agent I had in mind so I would be extremely grateful for your 5% code. I work in a solicitors so I emailed my contract over to one of them today to double check we would be ok as long as we don't exchange with any buyer before our 12 week period is up. I'm hoping she gives me the go ahead and we can get things moving with HN.

Have PMd you the code.

Windsorcastle

john_white wrote: »

Can I ask how you arrived at your 200k valuation?

Most agencies round my way charge 1-1.5% (plus VAT of course). Properties are moving very quickly I'd want to know what a realistic price is but this would mean another up front fee on top of the online agency fee so potentially about 1k in fees. A traditional agent would be approx. 3k, but of course no up front fee, but I could simply add 2k to the asking price

I had 3 high street agents value my property and their valuations ranged from £189k to £220k from a total spiv, who when pushed on whether his valuation was realistic, said, "OK, well we could get 200k anyway"!! So I put it on with HN at 210k to see if I got any bites. No one who viewed felt it was overpriced; and from 6 viewings, I got 2 offers of 203 and 205k. I don't believe a high street agent would have got me any more, and of course I would have paid a lot more in commission. Especially since one was keen to tell me I would shift it at 189 but would struggle above 195.

House Network allow you to set your own price, so you just need to get some local EAs to value it first to give you an idea.

G_M

kay_1 wrote: »

It says 14 days notice so does that mean 14 days after the expiry period? I guess it's sounding like I won't be able to market the property with anyone else until after the New Year.

The 'agency period' of 12weeks is probobly defined elsewhere. It is almost certainly a minimum period. If nothing is done, it will continue (and you will continue to be bound by the contract.

You'll need to give notice to end the contract, in writing. If you wish to end at the 12 week point(the earliest possible) you should serve the notice (note, not send, but serve) at the 10 week point.

If you serve notice after 12 weeks, the contract will continue for a further 14 days(ie till the 14 week point).

Hoof_Hearted

G_M, is there any reason why notice could not be served now? I don't see any reason to wait -- just write to say that the contract will end at twelve weeks.

With reference to EA fees, £4,000 commission becomes £4,800 with VAT. HN -- £495 plus VAT.

googler

Hoof_Hearted wrote: »

With reference to EA fees, £4,000 commission becomes £4,800 with VAT. HN -- £495 plus VAT.

But isn't it also the case that the higher fee is only payable on a successful sale, therefore easily paid from the proceeds, and folks like the OP can leave without paying their EA at all, whereas HN, and other online agents, charge this upfront and keep it regardless of the outcome? So the seller who wants to leave HN having not sold ends up out of pocket?

Hoof_Hearted

googler wrote: »

But isn't it also the case that the higher fee is only payable on a successful sale, therefore easily paid from the proceeds, and folks like the OP can leave without paying their EA at all, whereas HN, and other online agents, charge this upfront and keep it regardless of the outcome? So the seller who wants to leave HN having not sold ends up out of pocket?

This argument would have some credibility if the fees were similar. But who wouldn't want to risk £500 in the expectation of saving £4,800, especially people on a money-saving site. Many people on here have been very satisfied with online agents, but it may not be right for everybody

Dan-Dan

good luck arguing that with a real life estate agent (googler)

Acc72

kay_1 wrote: »

The fee is the issue as well as their appalling service.

Seeing as they got us a buyer before we even signed their contract we felt pressured into signing without really thinking about their fees.

They found a buyer for your property before you signed with them ? - the service doesn't sound that "appalling" to me !

It is also not the agents fault that you "didn't really think about their fees" before signing the contract.