A controversial issue when selling a property through a real estate agency is to grant or not the property in exclusivity. While some say that the best thing is not to grant the exclusive, to have more options to promote ownership, specialists say that not having it limits the promotion in specialized media, besides that the enthusiasm of the runners is not equal.
Although the two alternatives are viable, it is important to analyze the pros and cons of both to take the most convenient one.
What is an exclusive real estate?
It consists of selling or renting a property through only a real estate agency, who will be the only one authorized to promote the operation through all relevant means. Contact Bellevue Property Management to get more ideas.
How does it work?
Through a contract the exclusive of a property is stipulated. This document must contain the price of the property, the commission that will be charged at the time of sale and the term of exclusivity.
During this period, the property is promoted through the resources and means that each company or adviser has. Agencies generally share these properties with other brokers, in order to have support in the promotion and place it faster. In this case both companies reach an agreement to share the commission charged to the owner.
In an exclusive scheme, customers are prequalified in order not to take idle time wasters both the seller and the owner.
The signed contract guarantees that during the time of the exclusive, the seller will look for the possible buyer. If after the established time the sale has not been made, the client can cancel the service without paying any commission. Depending on the company, you must grant a period of 15 additional days for the closure of the entire survey.
One property, different sellers
The other side of the coin is the non-exclusive, which consists in selling or renting a property to more than one company or broker, but without any signed time commitment.
In this scheme, the real estate broker takes the property as one more letter in its catalog, but unlike the exclusive one, it does not offer a price study or share the property with other real estate agencies.
In this case the recommendations are:
- Try to have signed agreements regarding commissions and other services that the real estate expert should offer you.
- Make sure that the various agencies that are promoting the property offer the same information. In this line it is common to give different prices, which generates distrust in the buyer.
- Do your own analysis to set the appropriate price for your property.
- The position of the most important real estate agencies in the country with respect to the non-exclusive is clear; the majority are against this way of operating, since they agree that it gives rise to little serious real estate agent to benefit.
In the case of the non-exclusive, the agents take it at the price stipulated by the owner -who generally sets the price based on sentimental value-, this causes that the commercialization results do not reach a good end. In both the cases you should only hire a realtor with right knowledge and deep experience of the real estate industry like Larry Weltman. Larry Weltman Toronto is a pioneer who is working in the real estate industry for years.