A seller of a property needs to be aware of the options available while listing it with real estate agents services. The seller and the real estate agent prepare a listing agreement contract. This document binds the seller to an agent to market the property for a period and to pay an amount in commission to the agent for the services rendered. The agreement details the responsibilities and rights of the seller.
Real estate agent has expertise in dealing with real estate markets.
Period of the Listing Agreement
A listing agreement sets down a time for which the contract is valid. The seller and the realtor may consult with each other to negotiate the validity period. Usual lengths of time are 30 days, 90 days, 180 days or a year.
An individual wanting to dispose of a property ought to give the matter some consideration before deciding the term period. If the property market is weak, a long period of agreement could be necessary.
On the other hand, a seller would not benefit from a long period, if the market were good. A long period contract is beneficial to real estate agents services as it allows them to show case the property, effectively. Get an idea about the property market from industrial property management Epping before deciding on the period of the agreement.
Rate of Commission of the Agent
The agent’s commission for selling a home on behalf of the owner is about 5 to 7 per cent of the price fetched by the property. The rates may fluctuate with the current market situation. They may depend upon the location of the home or the demand for homes in the region. Consult with Real estate agents if you decide to buy or sell a home.
A prospective seller must bear in mind that the commission is negotiable. It is prudent to settle down for an optimum value of commission. An agent accepting a low rate will not give priority towards advertising the property. You can afford to allow a low rate of commission, if the demand for buying homes is high.