Getting Out Of A Real Estate Contract
Buying or selling a home is a huge decision. There is a lot of money and many elements involved, plus the process can be extensive and complicated. Because of this, many buyers hire a real estate agent.
This involves signing a contract, which may not seem like a big deal at first. But if you suddenly no longer want to use your real estate agent for some reason, you could be stuck in the contract.
Do you have a contract with your real estate agent? If so, it should be in writing. Contracts are generally needed to outline the obligations of each party. While you may be able to break a real estate contract, you’ll usually have to pay a fee to do so.
What the contract entails depends on whether you are the buyer or seller. If you are a potential buyer, the purchasing agreement will show the purchase price of the home, the deposit of earnest money, and any other details. This agreement also offers protections for you, such as ensuring you don’t pay more for the home than what it is worth.
If you’re selling your home, you’ll likely be contractually bound by a listing agreement. This agreement gives your real estate agent the exclusive right to sell your home for a specific amount of time. If you do sell the home, the agent is required to receive a commission. The contract may also include other terms, such as the selling price, marketing methods, commission, duties of the agent, and expiration date.
Terminating the Agreement
If you’re not happy with the real estate agent, you can terminate the contract. However, you should first try to address the situation with the agent. Sometimes they can release you from the contract. If not, then contact their broker. The broker may assign you to a different agent or release you from the contract altogether.
However, you will likely have to pay a termination fee, so think things thoroughly before doing so. A lawyer can review your contract and help you understand the terms so you don’t make a huge mistake.
Why Would you Terminate the Agreement?
A real estate contract may be terminated for various reasons such as:
- Agent does not communicate well with you
- Illegal or unethical behavior on behalf of the agent
- Lack of offers on the home
- Agent lacks knowledge about the real estate market
- You change your mind about buying or selling a home
Learn More About Business Contracts
While business contracts are great for real estate agents and business owners, they can be hard for clients to get out of when they change their mind.
Orlando business contracts lawyer B.F. Godfrey from Godfrey Legal can give you the right advice for dealing with your business contract. He can help protect your rights and find a solution that benefits everyone involved. Schedule a consultation today by filling out the online form or calling (407) 890-0023.
Resource:
foxbusiness.com/personal-finance/breaking-contract-with-realtor
