If you want to catch more fish, you cast a wider net. It’s simple logistics. But if we are talking about selling your property, the answer may be the exact opposite. While you do want the highest possible number of prospective buyers to see your property, you only want to catch one. The best way to catch the right fish may prove to be the casting of a single line: a sole mandate.
A sole mandate is a contract that offers a single estate agent the right to market your property exclusively for a specified period of time. During this time, no other estate agent or agency will be allowed to market your property. When a sole mandate is opted for, the seller themselves also may not sell the property privately. They can, however, market the property themselves as long as they have written permission from the agent that holds the sole mandate.
The alternative is known as an open mandate, where multiple agents and agencies market a property at the same time. If you’ve ever seen multiple listings of a single property on a site such as Property24, it was most likely due to an open mandate that had various agencies listing the same property.
Now, an open mandate may seem like the most beneficial option at first, due to the fact that it casts a wider net that gets as many possible parties to generate interest in your property, but both methods are able to attract the entire ocean as its audience. The fact is that the number of possible buyers who find your property listing does not ultimately depend on the number of agents who market the property, but rather on the quality of the marketing approach.
When a single estate agent utilises the correct marketing tools in collaboration with the necessary market research, your property will be visible to a much greater audience than an open mandate may have allowed. By entrusting your real estate future to a single agent, you are enabling them to cast the line where it will prove most beneficial by allowing them to create a more focused and well-planned marketing strategy. A sole mandate offers you access to an estate agent’s entire wealth of knowledge and their unique expertise, helping you create a unique marketing and selling strategy that suits you.
A sole mandate also removes the possibility of confusion. When multiple agents are tasked with marketing the same property, it is inevitable for paths to cross, for schedules to get mixed up, and for information to get confused. When one agent is responsible for your property, your marketing endeavours and processes become streamlined. This also means that you, the seller, only have to deal with one party, instead of trying to keep up with a string of agents and their communications.
Another benefit of the sole mandate is that it eliminates any grey areas surrounding what is expected from the agent. Open mandates are primarily based on verbal agreements, whereas sole mandates are written contracts that clearly stipulate all expectations. This removes the possibility of misinterpretation and enables the agent to help you in the exact manner you were hoping for.
So, when it’s time to go fishing for potential buyers, think about asking a single estate agent to organise your fishing trip with a sole mandate.
This article is a general information sheet and should not be used or relied on as legal or other professional advice. No liability can be accepted for any errors or omissions nor for any loss or damage arising from reliance upon any information herein. Always contact your legal adviser for specific and detailed advice. Errors and omissions excepted (E&OE)