Counsel for the husband argued that, in accordance with the Marriage Property Act, for a single mandate agreement to be binding, the written consent of the two married spouses in the condominium was necessary. Common mandate: in this case, the rights to sell a property are conferred on more than one representative of different agencies. With more than one broker marketing the property, it is likely that the properties are stronger in the market, which increases the chances of finding an adequate buyer more quickly. The commission paid on the sale of the property is distributed among the brokers, regardless of the agent who sells the property on the basis of the agreed terms of the mandate, which means that there is no additional fee for the seller. While this type of mandate is of great use, it is important to ensure that the efforts of all the real estate agents involved are well coordinated and that there is good communication to offer the best chance of success. As a result, their joint estate lost their property rights and the judge therefore ruled in favour of the original estate agency and that the mandate was enforceable and valid. Depending on the type of mandate agreed between the parties involved, a mandate would generally provide the following information: For those who do not know the lifespan, Adrian Goslett, Regional Director and CEO of RE/MAX of Southern Africa, states that a single mandate is an exclusive contract that sets an assigned deadline in which you cannot appoint another representative for the cegotisation of your property. “You cannot appoint another agent until the single mandate expires. You are still entitled to market and sell the property yourself, but only if you confirm it in writing and if you may still have to pay a fee to the mandated representative alone (according to the wording of the contract you signed).
On the other hand, granting an exclusive off-roader means you can`t sell the property privately,” he says. This type of mandate is agreed upon when agents from different agencies have the right to sell your property. After the sale, the agent`s commission is distributed among all the advertising agencies participating in the mandate. One of us recently ended the westkap High Court case on whether a single mandate agreement is binding or not. An open warrant also opens the seller until the payment of the double commission, as several agents can claim that they were the “effective cause” of the sale. Choosing the right mandate for you depends on the particular situation surrounding the sale of real estate, but understanding the benefits and risks associated with each can take a long way towards an informed decision. “While you may be inclined to think that signing a single warrant is a restriction, this is an opportunity to facilitate the sale process of your home. Before signing a mandate, take the time to find an experienced real estate practitioner who works in your best interests, gives informed professional advice and helps you make the right decisions,” goslett concludes. The difference between these two mandates is that the designated agency and the owner can sell the house with a single warrant, but no other agent can do so. With an exclusive mandate, only the mandated agency can sell the property – not the owner.
Our lawyers specialize in real estate law and can advise you on real estate in South Africa, including individual mandate agreements. Contact us to find out more. This contract helps to avoid unnecessary confusion, since the mandate clearly defines the pre-agreed terms, both by the seller and the agent. It sets the obligation between the representative and the seller and obliges the broker to make his best efforts to sell the property in question.
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