Sole Mandate: What You Need to Know
Category Selling Advice
When making the decision to sell your property, whether you're upsizing, downsizing, or trying to renovate for profit, you'll be faced with many decisions. One of the decisions you'll face is whether to sell the property yourself, or choose the best real estate agents. If you're going to choose professionals, you'll quickly face another decision to make: do I go with a sole mandate vs dual mandate vs open mandate? Decision fatigue can quickly set in if you haven't thought about all factors in advance. Keep scrolling to get ready!
What is a Sole Mandate?
A sole mandate (not to be confused with an 'exclusive mandate') is an instruction from the property seller and a real estate agency. The instruction is typically a written contract and gives one estate agency the right to sell your property for an agreed amount of time. Many features of a sole mandate are regulated by the Estate Agency Affairs Board (EAAB) of South Africa.
What is the Difference Between a Sole Mandate & an Exclusive Mandate?
The difference between these two types of mandate is that a sole mandate allows you to sell your property in a private capacity as well. An exclusive mandate gives the real estate agent exclusive rights to do so. In most cases, giving your trusted real estate agent a sole mandate is the best way to get the right price for your property.
Top 4 Benefits of Signing a Sole Mandate
There are a lot of benefits that go along with singing a sole mandate with your trusted real estate agency:
- Your dedicated agent will put more time and effort into marketing to reach a wider audience, and ultimately finding the right buyer.
- The sale won't seem desperate to buyers because your pavement won't be cluttered by several 'For Sale' signs from multiple agencies.
- There's no risk that a buyer will manipulate estate agencies by offering lower bids to price down the property.
- A sole mandate doesn't last forever. If the duration of the sole mandate expires, you can re-examine your options.
Should I Sign a Sole Mandate?
Only you can make the decision to sign a sole mandate or not. However, in most cases the answer is yes - you should sign a sole mandate. But if you're uncertain, here are 3 essential questions you should ask your agency:
- Has the agency been able to sell any homes, or apartments which were evaluated at a similar price recently?
- Can the agency cover the full-spectrum of property marketing? Do they have a dedicated, professional website? Can they send out professional mailers to reach a wide audience? Do you have an active social media presence?
- What steps will your agents take to find the right buyer for your home? The best agents will be able to give you a clear, step-by-step rundown.
Choose FMS Sales & Leasing Sole Mandate
FMS Sales & Leasing has deep roots in the property and development industry. As a child company of the Faircape Group, you can rely on a heritage that spans over three decades. We assist property sellers with thorough valuation, full-spectrum marketing, and closing the deal at the right price.
Author: Paul Wasson
