Agent commission trap?

Posted on October 13, 2013 by | 0 Comments

Should you sign a real estate agent’s Exclusive Sale Agreement?

Claudia Fiori knew selling her home would come at a cost, but drew the line at paying commission to an agent who, she claims, did nothing.

Ms Fiori believes she was led into a trap of signing an exclusive contract with LJ Hooker’s Kathy Phillips when she put her Woodridge house up for sale. However, 36 hours after signing the contract Ms Fiori sacked Phillips.

According to Ms Fiori Phillips allegedly agreed to terminate the contract. However, Phillips sent Ms Fiori a legal letter claiming $8500 commission because the house sold within the exclusivity period of their original agreement with another agent.

Apparently this was in the fine print, which Phillips conveniently failed to explain when they agreed to part ways.

By law Ms Fiori should have paid up, but she felt she had done nothing wrong, and took it to the Queensland Civil and Administrative Tribunal. The tribunal ruled in her favour.

She says she’ll never sign another exclusive listing ever again.

“I will try talk to everyone I know out of it if I can. It’s not worth it, it’s too risky,” Ms Fiori said.

View the video report

Consumer Alert: See how some real estate agents may attempt to place a caveat over your property: Beware The Sneaky Stamp!

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