Sometimes, no matter how much you may want the relationship to work, you simply need to break up with your real estate agent.
Before you do this, it’s important to remember that your relationship with your agent is more than friendly: It’s legally binding. You’ve signed a contract, after all. So if you must break up with your agent, you have to do it all the way, no ghosting or simply blowing them off.
[READ: What Do Real Estate Agents Do?]
Why Fire Your Real Estate Agent?
There are lots of reasons a real estate client might want to break it off with their agent.
“Great reasons to break up with your agent include that they don’t have a solid strategy or plan for your success, the agent doesn’t know how to pivot the plan if things change, the agent is not responsive, supportive or reasonably available, it’s a bad personality fit, they don’t possess the traits that are most important to you, you don’t like how they think (or) strategize, or they don’t present themselves in a way that is in alignment with how you want your professional representation,” says Ina Sajovich, broker associate at WK Real Estate in Denver. “I think a lot of consumers think that all agents are the same, and that’s just not true.”
When it comes to buyers and sellers, they have different reasons for leaving their current agent, but most of the time, it just comes down to not having their needs met.
“Sellers break up with agents typically because their home has been on the market a long time and not sold, you are not returning calls and providing updates, or you had a negotiation that did not work out,” says Bruce Ailion, broker/attorney at Re/Max Town and Country in Atlanta. “It’s a similar situation with buyers, you are not finding homes that meet their needs, you are not listening to them, you are not returning calls or keeping them up to date. Some buyers will drop you after several failed offers.”
[Related:Real Estate Agent vs. Realtor vs. Broker: What’s the Difference?]
How to Break Up With Your Agent
Breaking up with your real estate agent can mean more than just not seeing them again. In many cases when you’re a buyer, and in most cases when you’re the seller, you’ve already signed a legally binding contract agreeing to compensate your real estate agent for their work.
So, unlike that person you met on Tinder, real estate agents can’t be ghosted. You’ll need to send them a clear sign and get it in writing.
“If a client is not happy in the real estate relationship and feels they need to break up, it’s very similar for buyers and sellers, as each agency agreement has cancellation clauses that spell out what is required, which typically means a written notification of termination of agreement,” says David Pridgen, broker/owner at Realty One Group Excellence in Baltimore, Maryland.
If you really don’t like your agent, there may be additional ways to deal with the problem other than trying to convince them to cancel your agreement. Getting the agency’s manager or broker involved may help you match with an agent within the company who’s a better fit. In other cases, that manager can act as an arbitrator to help you communicate to your current agent what you actually want them to do for you.
“Should a seller want to break up with their agent, I recommend this to be done in writing, stating the reasons for a breakup,” says Owen Salkin, single family residential associate manager at The Graham Salkin Group at Compass in Los Angeles. “The agent should sit down with their manager to discuss the situation. The manager should first do their best to resolve the issue(s) and continue the relationship.”
Since your agreement is usually with the entire company, not just your particular agent, swapping in a new agent is sometimes a solution that will make everyone happy and avoid painful legal battles.
What to Consider Before Breaking Up With Your Agent
After you’ve decided to break up and tell your agent in writing, the agent will prepare a contract termination form, which will legally sever any ties. It will also spell out any compensation you may owe for the time and money invested in your transaction. Sometimes, people simply choose to move on without this step, but there can be severe consequences for selling or buying with a different agent while you have an active agreement with someone else.
In the case of home buyers, you can sometimes simply wait out the contract with your buyer’s agent before going home shopping again, Pridgen says. The period the contract is in force will be plainly stated, so you’ll know when you’re in the clear. It’s still better to officially break up, but not necessarily required if the agent didn’t show you any houses you were interested in and you have time to wait.
Sometimes sellers will want to try to sell their home themselves but may neglect to tell their agent so. This can lead to a far more serious problem, as seller’s agents often spend thousands of dollars advertising your home. “With this situation, I would assume the agency agreement is still in effect, which would result in the seller having to pay their realtor a commission based on the listing agreement,” Pridgen says.
Not all firms will offer an easy out from contracts. Take heed of this detail before you sign anything, and know that if you reach an impasse with the brokerage, you may find yourself waiting until the contract expires, or your next agent may have to agree to split the commission with the broker with whom you parted ways.
[Related:How to Do ‘For Sale by Owner’ the Right Way]
How to Avoid a Breakup
Breakups are painful, even in real estate. The truth is that most of the time, these kinds of breakups are totally avoidable. Before you start to consider buying or selling, think about who you want as your partner in this complicated legal transaction and ask the questions that will help you find them.
“Being clear on what you are looking for in an agent is helpful,” says Sajovich. “Do you want an agent who fights tooth-and-nail for every dollar, or one that looks for a win-win between buyer and seller? Think about what’s important for you and don’t be afraid to ask for what you need from your agent.”
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How to Break Up With Your Real Estate Agent originally appeared on usnews.com
