Vendor's Agent
Within the sale of a property, the owner of a property is commonly known as the seller or the vendor. A Real Estate Agent who works on behalf of the owner of a property may also be known as a Vendor's Agent.
There are a number of other names given to a Real Estate Agent when they are representing the owner or seller in a transaction including "Selling Agent", "Sales Agent" or simply a "Real Estate Agent".
In order to work on behalf of an owner to sell their property, an Agent must be legally appointed under an Agency Agreement which is a legal contract between you as the seller and the Agent. In acting on your behalf the Agent must abide by legislation that governs the industry including the Property and Stock Agents Act 2002 No 66 and the Property and Stock Agents Regulation 2002.
But what are you actually appointing the Agent to do for you?
In general terms, the Agent markets, promotes and sells the property on your behalf. A good Agent however will ensure that they have a deep understanding of your property, your requirements and the market. In doing so, they may actually advise you to hold your property if their research indicates that waiting to sell may be in your best interests.
How can Create assist you as a Vendor's Agent?
Create has been consistently been engaged as a Vendor's Agent across the sale of multiple properties.
Our service as a vendor's agent extends beyond just the sale of the property. We actively engage with stakeholders on your instructions to ensure that your result is maximised. This may include navigating potential GST or tax issues, probate, investigation of development potential and a range of other issues that may arise during a sale. For transactions that involve longer settlements e.g. englobo acreage, we carefully manage the settlement period to manage risk and ensure that the transaction proceeds smoothly. We also care about the needs and outcomes that you are seeking once you do sell. We have assisted many clients with researching potential suburbs and properties that match their relocation or investment requirements as well as acting as a liaison to assist you in acquiring your next property.
Vendor's Agent Frequently Asked Questions
Do I need to use a Real Estate Agent for the sale of my property?
The short answer to this question is "no". A property owner does not need to engage a Real Estate Agent to act on their behalf within a sale.
In our experience however, clients who have opted to select an Agent with a proven track record, have consistently achieved better results and overall outcomes than those who have opted for selling the property themselves. In fact, a number of our past clients had tried to sell the property themselves by dealing directly with buyers but had then realised that the process was extremely stressful. This occurs in part because some potential purchasers are not transparent in their dealings leaving an owner with the task of sorting through misinformation. Owners also find process challenging as they may not have the developed negotiation skills required to ensure that they are getting the best price and terms. It is also difficult for some owners to manage the risk associated with entering into a sale with a developer over an extended period of time.
Even if a client chooses to engage us to assist them, we never pressure anyone to sell. Rather, we spend our time on delivering a strategy to achieve results and outcomes that surpass your expectations.
How do I engage a Real Estate Agent to help me sell my property?
We would recommend researching a potential agent first to obtain an understanding of their knowledge and experience and then arranging an initial meeting with them. During the meeting, you should obtain an understanding of their level of knowledge and experience with your type of property holding, their potential selling strategy for your property (on-market or off-market, auction or private treaty) as well as obtaining testimonials from their past clients.
In order to act for you in the sale of your property a Real Estate Agent must be engaged by you under an Agency Agreement. This is a contract between you and the Agent. The Agreement sets out the rights and responsibilities of both the Agent and the vendor (owner) and outlines what you are authorising the Agent to do for you within the sale of the property.
You should make sure that you have thoroughly read and understood the Agency Agreement before signing it. You should ask specific questions in relation to the fees, costs for marketing, duration of the Agreement and termination. You can also send the Agreement to your solicitor or conveyancer prior to signing it.
Should I choose the Agent that has given me the highest selling price estimate for my property?
Owners will often interview several agents before selecting one. Following the interview process some owners may be tempted to select the Agent who has given them the highest estimated selling price.
It is important to understand that some Agents employ a tactic known as "Buying the Listing". This tactic involves the Agent inflating the estimated selling price so that you will sign up with them. During the selling campaign, the Agent will come back to you with a whole range of reasons as to why they cannot achieve the selling price that they estimated. This process is known as "conditioning the vendor"
Create will never "buy your listing". We would rather lose the listing to another Agent than give you an inflated estimated which simply isn't accurate. Giving an owner an inflated estimate is dishonest and unethical. Create will always provide you with an estimated selling price based on thorough research so that your decision to sell is based on hard evidence and facts.
