The role of Mandates in the selling process
Category Property Tips
As we head into Autumn, buyers from all over continue flocking to beautiful Cape Town and the property market in the Southern Suburbs continue at a steady pace despite recent interest rate hikes. It remains a good time to sell, but choosing the right agent and a Sole Mandate remains the competitive advantage.
Seeff says a Sole Mandate delivers a focused approach to the marketing and selling of your property. It gives a distinct advantage and should enable a faster sale and closer to your asking price compared to the rest of the market.
It is, however, also contingent upon choosing a well-established agent with a demonstrable track record of sales in the area. Be careful not to be swayed by a higher price offer because you may well waste valuable time. Rather go with someone who will provide the right guidance.
How Mandates work
The new Property Practitioners Act (PPRA) requires that an agent may only market and sell a property if they have a signed Mandate from the owner. The mandate must be in writing with a start and end date, asking price, commission payable, and specific and general terms applicable to the mandate. It must also include a signed condition of property report.
Different types of Mandates
- Sole Mandate - a sole agent/agency is mandated to market and sell the property based on a focused marketing and sales plan and it protects against potential double commission claims.
- Joint Mandate - more than one agent/agency is appointed with a commission split regardless of who sells the property. This type of mandate is sometimes elected for large developments.
- Open Mandate - multiple agents/agencies work on the property with commission to the agent who introduces the buyer. Not effective and risks double commission claims.
Why choose a Sole Mandate?
It provides a sole contact point for all liaison, vetting and coordination of buyers and viewings. It also provides focussed marketing and selling, from quality photography and listings to maximized exposure.
It ensures your asking price is correct based on current market and sales data and trends. It ensures regular feedback and updates in terms of market response and highlights and provides advice on any possible adjustments needed to the marketing strategy to effect a sale.
Importantly, it eliminates double commission risks, yet offers networking with other agents for maximum buyer sourcing.
As a top real estate brand in the Southern Suburbs, you can be assured that awarding a Sole Mandate to Seeff will give you the competitive advantage. Whatever your property needs, do not hesitate to contact one of our agents at any time!
______
Make sure to follow us on Facebook, Instagram, Twitter and LinkedIn for the latest tips and trends in the property industry, as well as some of the most relevant news about the area you call home.
Author: Gina Meintjes
