Boesman Posted July 2, 2011 Share Posted July 2, 2011 Hi, our flat is going up for sale now and in the estate agents contract it says the following: However, in the event that you have exchanged unconditional contracts but the sale will not be completed (for whatever reason) the Commission is to be paid to us on the date on which completion was scheduled to take place. Is this standard procedure? In this current property climate I don't trust things really and don't want to end up paying an estate agent money and still have a flat that is not sold. How likely is it to 'exchange unconditional contracts but the sale will not be completed' ? :mad: Any info or advice on this guys? Cheers Link to comment Share on other sites More sharing options...
fleabo Posted July 2, 2011 Share Posted July 2, 2011 Where are you? Link to comment Share on other sites More sharing options...
Boesman Posted July 2, 2011 Author Share Posted July 2, 2011 west sussex Link to comment Share on other sites More sharing options...
beckdownunder Posted July 2, 2011 Share Posted July 2, 2011 I think it is fairly standard. It is unlikely if you get as far as exchange that the buyer will drop out. If they do, after exchange then you get part of their deposit anyway (how much will be in your contract docs) so, you would pay the estate agent out of that I guess. Good luck with it all. Link to comment Share on other sites More sharing options...
Boesman Posted July 2, 2011 Author Share Posted July 2, 2011 Oh thanks for that, I learn more and more of the property trade. Just thought of something, what if it is because of their deposit that the sale fall through... say their deposit cannot be released or something? Link to comment Share on other sites More sharing options...
spottydog Posted July 4, 2011 Share Posted July 4, 2011 Oh thanks for that, I learn more and more of the property trade. Just thought of something, what if it is because of their deposit that the sale fall through... say their deposit cannot be released or something? The contract usually allows for you to keep the deposit amount (which may be more than the actual deposit paid if its less than 10%). If the sale falls through and you don't have the deposit then you can sue the failed buyers for the money Link to comment Share on other sites More sharing options...
Boesman Posted July 4, 2011 Author Share Posted July 4, 2011 Thanks! Our prop on the market now, so hopefully we sell it before the end of the year! Link to comment Share on other sites More sharing options...
Ken Posted July 4, 2011 Share Posted July 4, 2011 Oh thanks for that, I learn more and more of the property trade. Just thought of something, what if it is because of their deposit that the sale fall through... say their deposit cannot be released or something? It's part of your solicitor's job to ensure that contracts are not exchanged until the deposit is received. Sales do fall through because the buyer can't stump up the deposit - but those sales fall through before not after exchange. Edited to add: It's just occurred to me that if the buyer can't stump up before exchange the solicitor might exchange conditional contracts (the condition being that the deposit is paid within a certain period). Since your estate agent's terms only apply to the exchange of unconditional contracts you still wouldn't have any liability if such a sale fell through. Link to comment Share on other sites More sharing options...
Recommended Posts
Archived
This topic is now archived and is closed to further replies.