Updated: Feb 25, 2021
Using more than one Estate Agent to sell or lease your home is a preference of many landlords/sellers. Many people believe that this is the route to leasing or selling your home in the fastest possible manner. If this is you, heres what information your missing:
Your property might be on the market longer than what it should be. Estate agents working on an open mandate devote as little resources to the property as they can. Open mandates have lower chances of concluding successful sale/rental, and therefore does not warrant a full dedication of resources from an agents perspective. Without having a sole mandate, there is no brand to protect or client to impress.
Buyers may think something is wrong with the property. Estate agents mostly use the same methods of marketing (same internet portals, newspapers, property magazines), so open mandates appear multiple times to the buyer/lessee. Isn’t this what we want? Our research has indicated that up to 70% of potential buyers/ tenants, feel that the property has “bad apples” when seen being marketed by more than one agency. A few buyers mentioned, “There must be something wrong with the property if the owner is using so many agents”.
Home owners may miss out on the opportunity to negotiate commission discounts. Open mandates usually go for nothing less than 6% commission, with no room for negotiation, as the listing agent wants to set the commission as high as possible, knowing that they will only receive a small portion of the commission If the property is sold. When signing a sole mandate, owners should shop around Estate Agencies to see what commission is being offered, what the service level is like, and also negotiate on commission.
Its a waste of time. How would you feel dealing with so many agents on the property? Let us guess - exhausted. As mentioned before- many estate agents use the exact same marketing portals, and sometimes a buyer/tenant may book a viewing on a property with more than one agent. With 20 agencies working on an open mandate, one one or two of those agencies are actually involved with closing a deal.
Let these bits of information guide you when seeking to sell/lease your home in the future. Maslow Realty is proud to give sellers/landlords 5% commission for sole mandates.
The Maslow Team.