Firstly there is the advertising. Your agent will discuss what is likely to be most effective. Ask for an explanation about the expense and the most cost-effective means of advertising. Make sure the authority clearly states the amount you have agreed to spend and you have sited and approved a comprehensive advertising schedule.
Do not overlook settlement terms. For example, you may require a 60-day cash contract to coincide with a purchase you have made. Make sure your authority is worded so that your requirement is met.
Be quite specific about which items you will be selling and those you will be taking with you. This is important if you want to take potted plants from your garden or remove fittings, like a dishwasher. Make sure the authority records everything accurately.
Then there is the time you will give your agent to make the sale. Most authorities have an exclusive period and, sometimes, a non-exclusive period as well. You cannot cancel an exclusive period unless your agent agrees. You can cancel a non-exclusive period by giving notice to your agent. Whatever time you agree upon, make sure the authority reflects this.
Last but not least, there is the commission you will pay. It is entirely negotiable. To gain a sense of what is a reasonable rate, obtain quotations from a number of agents before finally settling on the agent you will employ.
Authorities also include a price range in which the agent estimates the property may sell. This must be filled in at the time you sign the authority.
If you are uncertain about any of the terms of an authority your agent asks you to sign, obtain independent advice from your solicitor before you sign up.
Enzo Raimondo
CEO REIV
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