Reader’s Question:
I’ve recently put my Dallas TX town home up in the market. A friend suggested a good real estate agent to help me sell the house but he wants me to sign an exclusive contract with him for 6 months. Question is, do you think that this is gonna be a good idea?
Jonas
Dallas, TX
Unless you have had a good working relationship with this real estate agent before, I suggest that you do not go into any long-term exclusive contracts with any real estate agents. This is basically just an assurance for the agent that he/she will get a sale but that does not necessarily guarantee that you will benefit from it. A good real estate agent does not need to rely on a long term commitment with a seller since they have proven themselves able to close deals without it.
The biggest downfall of going into a long-term, exclusive contract is that if the agent doesn’t go through with what was promised or agreed upon initially or loses the initial enthusiasm they had to sell your property, then you are stuck with the same agent, not to mention a house you’re probably still paying mortgage on, waiting and wondering when you will get the house sold, when another agent there in Dallas, Texas, could have closed on a deal already. If you have to, you should only agree for a contract for up to 60 days, if they’re as good as they say they are then it shouldn’t take that long for them to sell the property for you. Make sure you read the fine print and understand and ask as needed, before signing anything. Do not pay anything in advance as well, real estate agents already get commissions so the only way they should get paid is if they actually do the work and sell your property.