Estate Agent Withdrawal Fee.

tyro8888

I put my house on the market with Newton Fallowell on 21/06/2018 and signed their sole selling rights agreement. Having had 14 viewings up to the end of June 2019 and having had one offer well below the asking price and having reduced the price below that which they had recommended I gave them the required 28 days notice to withdraw the property from the market which expired on 01/06/2019.

When I signed the sole selling rights agreement there wasn't any discussion about the small print on the back and I didn't read the 22 listed conditions. There was no mention of a withdrawal fee at the time but it does say "3. We require 28 days notice after the expiry of the minimum term of the sole selling rights agreement, in writing for withdrawal of the property from the market and to cancel our sole selling rights agreement and we reserve the right to withdraw the property from the market upon giving 28 days notice in writing to you. At the date of receipt of such notice of withdrawal we reserve the right to charge you a fee of £300 inc vat towards reasonable marketing expenses incurred by Newton Fallowell".

Although the property was meant to be withdrawn from the market on 01/06/2019 it was still being marketed on Rightmove by Newton Fallowell on 12/06/2019 and I had to request that they removed it.


Whilst I understand they have had costs associated with listing my property I consider the £300 excessive given the fact they had failed to sell the property, hadn't made me aware of the withdrawal fee at the time I signed the agreement and the fact it took them 12 days to remove the property from Rightmove.


Am I legally obliged to pay the £300 invoice?


I'd be grateful for any advice.

danlewi2

You didn't read the T+C's, so now you have to pay as stated in the T+C's.

Lokolo

So you signed the contract without reading it all and are wondering if you don't have to pay some of the fees listed in said contract?

[Deleted User]

They did make you aware of the withdrawal fee. Its right there in black and white in the agreement you signed

Comms69

tyro8888 wrote: »

I put my house on the market with Newton Fallowell on 21/06/2018 and signed their sole selling rights agreement. Having had 14 viewings up to the end of June 2019 and having had one offer well below the asking price and having reduced the price below that which they had recommended I gave them the required 28 days notice to withdraw the property from the market which expired on 01/06/2019.

When I signed the sole selling rights agreement there wasn't any discussion about the small print on the back and I didn't read the 22 listed conditions. There was no mention of a withdrawal fee at the time but it does say "3. We require 28 days notice after the expiry of the minimum term of the sole selling rights agreement, in writing for withdrawal of the property from the market and to cancel our sole selling rights agreement and we reserve the right to withdraw the property from the market upon giving 28 days notice in writing to you. At the date of receipt of such notice of withdrawal we reserve the right to charge you a fee of £300 inc vat towards reasonable marketing expenses incurred by Newton Fallowell".

Although the property was meant to be withdrawn from the market on 01/06/2019 it was still being marketed on Rightmove by Newton Fallowell on 12/06/2019 and I had to request that they removed it.


Whilst I understand they have had costs associated with listing my property I consider the £300 excessive given the fact they had failed to sell the property, hadn't made me aware of the withdrawal fee at the time I signed the agreement and the fact it took them 12 days to remove the property from Rightmove.


Am I legally obliged to pay the £300 invoice?


I'd be grateful for any advice.

Yes. You agreed to it.


Two points:


1. properties don't sell for one reason - price.


2. are you planning on selling with another agent?

G_M

I never read the terms and conditions of any contract I sign.


That way I am not bound by them.

LawAbiding

With this you sell with this agent or another makes no difference these days.

Everyone looks on Rightmove, buyers are not fussed about which Estate Agents are selling it.

You signed the contract, the contract states the fee, you need to pay for it.

In future, read the T&C's in full!

eddddy

As others say, you need to read a contract in full before signing it.

And when you're reading it, consider all the potential scenarios, for example:

• If the EA sells the property
• If the EA doesn't sell the property, and you want to move to another EA
• If you change your mind about selling - before accepting an offer
• If you change your mind out selling - after accepting an offer
• You accept an offer, and the buyer later changes their mind about buying

... and work out what fees you pay in each case. Different EAs can have very different contract terms.

Mutton_Geoff

There have been plenty of warnings on this forum about signing “sole selling rights” agreements. Only the most underhand of agents like to tie up their clients in this way.

tyro8888

It was stupid not to read the small print I know but there were 24 different clauses in small print on the back of an a4 sheet of paper. The agent also just asked for my signature without explaining any of the clauses. It's a lesson learnt!

Thrugelmir

You should have been provided with a copy. This you could have studied once you returned home.