Potential problem changing agents

Stoodles

We have grown disenchanted with our estate agency, mainly because they were unresponsive and did not make the alterations we requested to marketing materials, but also because we think they advised us to market at too high a price. We plan a substantial reduction, of £40k on the asking price. On the advice of agency 2 we gave notice to agency 1 and asked them to take our house off Rightmove straight away. Instead they finally made the presentation changes we asked for, and informed us they would un-list it on the final day of the contract.

Now agency 1 have told us they have a potential purchaser who can only view in the last hour of the the final day of the contract. I foresee all sorts of problems. Agency 1 will urge us not to launch with agency 2, as it will confuse negotiations. Going to market at a new price will weaken our position. We could end up delaying the relaunch for weeks.
Would you allow this viewing to take place, hoping to sell at the higher price , or cut your losses and focus on the new agency?

Alter_ego

What does your contract say? Looks like they will enforce it.

eddddy

Alter_ego said:

What does your contract say? Looks like they will enforce it.

The EA can't force the OP to have a viewing - if that's what you mean. There won't be a term in the contract requiring the OP to accept viewings.

Alter_ego

Nope, I meant they will likely enforce it to the letter.

greatcrested

Stoodles said:

We have grown disenchanted with our estate agency, mainly because they were unresponsive and did not make the alterations we requested to marketing materials, but also because we think they advised us to market at too high a price. We plan a substantial reduction, of £40k on the asking price. On the advice of agency 2 we gave notice to agency 1 and asked them to take our house off Rightmove straight away. Instead they finally made the presentation changes we asked for, and informed us they would un-list it on the final day of the contract.

Now agency 1 have told us they have a potential purchaser who can only view in the last hour of the the final day of the contract. I foresee all sorts of problems. Agency 1 will urge us not to launch with agency 2, as it will confuse negotiations. Going to market at a new price will weaken our position. We could end up delaying the relaunch for weeks.
Would you allow this viewing to take place, hoping to sell at the higher price , or cut your losses and focus on the new agency?

I would read my contract with EA and see whether I'm locked in, and if so for how long, and how/whe I can serve notice to end the contract.

Then I'd consider EA's offer.

princeofpounds

Last hour of last day eh?

This is easy to resolve. Take the viewing. Terminate your contract as planned.

Move to Agent 2 - ensuring you are on a sole agency contract and not sole selling rights, plus you do not have steep marketing fees or similar exit penalties. Bring along with a list of buyers that agent 1 introduced so there is no confusion. BUT - Ask agent 2 to list at the same price until further instruction, but perhaps they can indicate flexibility informally in the meantime to people who attend viewings. 

I've changed agents mid-negotiation in the past. Buyers don't care that much - perhaps it may suggest you are frustrated with a lack of interest, but in my experience people don't overthink it and realise there could be other reasons. You are thinking of some price flexibility anyway. But if the price changes when you move, then they will know how far you will slide.

So give Agent 1 some space to negotiate with their buyer if they need to, maybe it will work out and they will be happy. What's the chance you get an offer - 1 in 15 maybe? But don't let them string you along if service has been that bad - they could just do the same at the end of any extension.

Stoodles

We are several weeks beyond the Sole Agency period, and we have already given written notice as required by the contract. My concern is that timing of this viewing could drag out the effective period with agency 1. Agency 1 was sole selling rights, Agency 2 is sole agency only

steve866

Now agency 1 have told us they have a potential purchaser who can only view in the last hour of the the final day of the contract. 

Funny that!

steampowered

Agent 1's T&Cs will almost certainly say they are due a fee if a buyer they introduced buys the property.

Regardless of when agent 1's contract runs out, and regardless of when the first viewing happens.

I think you should let this person view through agent 1. Agree in writing (email) with agent 2 that they would not be due a fee if this particular buyer ends up buying through agent 1. You can say all future enquiries will be referred to agent 2 but you don't want to confuse things. 

princeofpounds

Stoodles said:

We are several weeks beyond the Sole Agency period, and we have already given written notice as required by the contract. My concern is that timing of this viewing could drag out the effective period with agency 1.

I meant with Agent 2 as well as Agent 1. 

How would this viewing drag out your period with agent 1? A genuine buyer doesn't disappear when you cease the contract, and you can still interact with Agent 1 on buyers they have historically introduced even if they are not actively marketing for you. The contract will undoubtedly have provisions that explain how Agent 1 will receive their fee even if the buyer they introduced even if you are no longer under contract with them.

kormacurry

I'm in a similar position to the OP.  After a very long time with my EA with no offers at all,  I gave notice. I'm coming towards the end of the notice period and suddenly, with 3 days to spare, the agent says that a buyer is apparently keen to make an offer but won't know if they themselves are under offer until the last day of my notice period! My current EA is acting as 'sole agent'. Can anyone advise me, if a buyer that they have introduced makes an offer after I have moved to another agent, does a multi agent fee then  apply?  (I have read my contract and it simly states that " the above fee applies" - trouble is it mentions 2 sets of fees - one at 1% (sole agency) and 2% (multi agency). Does anyone else have experience of this situation?