In my post yesterday I mentioned the term Conjunctional Sale.
A Conjunctional Sale is
The following is a short explanation about Conjunctional Sales and why they matter to you as a seller…
Related Post: Dead Open Homes? Tips to Increase Traffic…
Exclusive (or Sole) Agency Agreements
If you have signed an Exclusive or Sole Agency Agreement with your agent this means that should you sell your home at any point during the period of that agreement the agent is entitled to receive a commission, regardless of where the buyer came from.
For this reason, as a seller, you should never sign another Agency Agreement of any sort while you have an active Exclusive Agency Agreement. What happens if you do? If you sell, you could be liable for more than one commission. Ouch!
Why Exclusive Agency Agreements?
In an industry where the workforce is only paid upon unconditional sale not ‘as you go’, the Exclusive Agency Agreement protects your real estate professionals time investment in you and your property for the duration of your contract with them. It gives them a specified amount of time to do the job you have engaged them to do.
How does a Conjunctional sale work?
In a nutshell, the Listing Agency allows a salesperson from a competing brand (the Selling Agency) to bring a specified buyer through their Exclusive Listing – your property.
The Selling Agency (not to be confused with a Buyers Agent*) also works for you, the seller, but as a ‘sub-agent’ under the umbrella of your chosen agents Agency Agreement with you.
Should the buyer in question proceed with a purchase both agencies will share a predetermined split of the commission. You do not pay anything extra.
*Buyers Agents work for and are paid by the buyer, not the seller.
Conjunctional Sales: Are They Mandatory?
Agents do not have to ‘work in’ with other agencies as the words ‘Exclusive Agency’ would imply but the ones who do are heroes without capes. Why? Because they are choosing not to be the roadblock between their seller and, what could well be, the right buyer.
There are still many agents who take a strangely adversarial stance to their colleagues in other brands and who just don’t play nicely with others. But there are an increasing number of agents who recognize the benefits of collaboration and embrace all interest in their sellers property, regardless of source.
Tip: If you haven’t listed your property yet, ask your favorite interviewee what their approach is towards conjunctional sales. Both on a personal and a branch level.
Whether it is the salesperson or branch managers decision will depend on the
Does this affect me as a seller at all?
Only positively. If your agent is prepared to work in with other agencies on a conjunctional basis, your sales team just got A LOT bigger.
Until next time…
Thanks again for reading. I hope this post has helped give you a little clarity on Exclusive Agency Agreements and Conjunctional sales.