Cancelling Estate Agent Contract

mlp123

Looking for some advice on where we stand after cancelling a contract less then 24 hours after signing.

We are currently in contract with an estate agent which expires on the 1st November.

Spoke to 2 different estate agents to market the house as a sole agent from the 1st November...

We signed a contract with another agent on their premises to commence on the 1st of November. But changed our minds that night and cancelled the following morning. Which they agreed to cancel.

We would now like to proceed with a different agent but the agent we cancelled with has stated that if we sell through another agent within the period their contract stated then they would be owed their fee. I know they say if you sign on their premises you don't get the cooling off period.

So 2 things i need to find out.

1. The agreement was to start on the 1st November... So am i right in saying the contract hasn't even started?
2. On the contract their is a tick box stating "By ticking this box you confirm that you have read the notice of the right to cancel in this agreement".... THE ESTATE AGENT PRE-TICKED THIS BOX.

Any Advice would be greatly appreciated

Slithery

How are we supposed to know?

I can't read the contract you signed from where I'm sitting

eddddy

mlp123 wrote: »

We are currently in contract with an estate agent which expires on the 1st November.

Have you terminated that contract - by giving the written notice required in the contract?

It won't come to an end automatically after the minimum contract period.

mlp123 wrote: »

We signed a contract with another agent on their premises to commence on the 1st of November. But changed our minds that night and cancelled the following morning. Which they agreed to cancel.

From your post, it doesn't sounds like they agreed to cancel the contract - they just agreed not to send anyone to view. Presumably because you said you had changed your mind about selling.

But if you change your mind again and decide to sell, the terms of the contract will apply.

mlp123 wrote: »

So 2 things i need to find out.

1. The agreement was to start on the 1st November... So am i right in saying the contract hasn't even started?
2. On the contract their is a tick box stating "By ticking this box you confirm that you have read the notice of the right to cancel in this agreement".... THE ESTATE AGENT PRE-TICKED THIS BOX.

If you are asking if those things make the contract unenforceable - no, I can't see why they would.


If you still want to sell your property, your best bet might be to stick with the EA whose contract you've just signed.

Out of interest - what made you change your mind about the EA, after signing the contract?

G_M

1) As edddy says, your original contract will not end automatically on 1st November - you have to cancel it as per the terms. Have you?

2) If you signed a new contract, then yes, there is a contract!. Under the terms of that contract, the marketing may be scheduled to start on 1st Nov, but that does not alter the fact that you signed up.

3) presumably you read the contract before signing, so knew about the tick box. Signing a contract without reading it,
a) does not invalidate it and
b) is foolhardy

Advice? If you still wish to sell
a) make sure your original contract really is ending on 1st Nov
b) find a buyer via the agent you have now signed with.

mlp123

Hi,

Thanks for advice

Yes original contract has been cancelled as per the terms of the agreement and ends on 1st November... 16 week contract and had 4 viewings.

Decided to cancel the new contract after speaking to a few people who had terrible experiences with this EA... We had a chat and decided to cancel this contract as EA agent HAD said we had a cooling off period. Go away and weigh up our options and see how we wanted to proceed.

Looks like we've learnt some valuable lessons.
14 day cooling off period if you sign in your house
Nothing if you sign in their office

EA was still mentioning the cooling off period when we were in the office with him........
Although kindly pre-ticking the box on the contract for us which states the opposite of what he was telling us.
Yes... will read contracts more thoroughly in the future after being stung.

I think Luckily it's only a relatively short contract of 10 weeks so will probably just come off the market for that period then go back on in January.....

eddddy

mlp123 wrote: »

I think Luckily it's only a relatively short contract of 10 weeks so will probably just come off the market for that period then go back on in January.....

Don't forget to give this EA written notice of termination as well (on whatever terms their contract requires), so that the contract doesn't roll-on beyond January as well.

G_M

and next time insist on a shorter minimum contract period. Start by asking for 4 weeks and agree to 6 or (max) 8.

[Deleted User]

If you have had only 4 viewings, you might need to consider your property is over priced as well.

mlp123

Thanks deannatrois,

Marketed at the price estate agents suggested, during the period of the contract price dropped £15k.
Ended up being the cheapest 3 bed on the market in our area.

We have since had numerous people telling us we've under valued it

mlp123

Thanks for all the responces, we have been advised that if we went on the market with someone else and sold but didnt exchange contracts until the day after the agreement end date then this would avoid breaking any agreement terms and we wouldnt owe them the fee, can anyoneconfirm if this is correct? If yes then this seems the best option as it was only a 10 week contract so delaying exchange wouldnt be too difficult.

eddddy

mlp123 wrote: »

Thanks for all the responces, we have been advised that if we went on the market with someone else and sold but didnt exchange contracts until the day after the agreement end date then this would avoid breaking any agreement terms and we wouldnt owe them the fee, can anyoneconfirm if this is correct?

No - that's almost certainly wrong. Who told you that?

It's the date of introduction of the buyer (e.g. the date they first view the house) that's important, not the date of exchange of contract.

If another agent introduces a buyer during the first agent's sole agency period, a fee is payable to the first agent.


You really need to read the contract that you signed. That is what would count if you are sued - not what anyone else tells you.