Can I Change My Realtor After Signing a Contract?
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It is extremely important to get along with your real estate agent during the buying and selling process. You will talk to this person almost daily until your closing appointment and will have to work through complicated financial decisions with them.
Changing your Realtor is a significant decision that should be considered carefully, as it can impact your home buying or selling experience.
You need to trust that your agent has your best interest at heart and has enough experience to provide solutions to any problems that arise. This is why we encourage anyone who needs a real estate agent to interview multiple candidates before hiring the best one.
However, not everyone chooses the right Realtor for their needs. Once you start the home sale or purchase process, you might realize you made a mistake working with your agent.
If you are asking, “Can I change my Realtor after signing a contract,” know that you have options. The answer is yes, you can change your Realtor after signing a contract, but the process depends on the terms outlined in your buyer-broker agreement. Here are some steps you can take when firing a Realtor and finding a better one.
Can I change my Realtor after signing a contract?
Your contract is the first place to look if you want to switch agents. Before making any changes, review your buyer representation agreement and buyer broker agreement, as these documents outline the terms of your relationship, including duration, compensation, and termination clauses, and help you understand whether youâre locked into an agent after signing a buyerâs agreement.
It will outline the terms you agreed to when hiring them so you can understand your rights when firing them. Here are three sections to look for.
Exclusivity Clause
The first thing to look at is the exclusivity agreement. If you have an exclusive listing agreement, then you can only work with one listing agent at a time. To switch agents, you will need to terminate your agreement with your current Realtor. If you do not have an exclusive agreement, you might be able to hire another real estate agent to see if they can find a buyer for you.
With this option, you will still need to work with your current Realtor if they find a buyer. Whoever finds the buyer wins the commission. You will also have to work with multiple real estate agents at the same time. Switching agents is often easier than trying to work with two individuals who are marketing your home.
Contract Duration
The next section of your contract to read is the duration. Most real estate contracts last 90 days, with some lasting six months in certain markets. It can take more than 90 days to close, but the agreement means that the real estate agent will have three months to find a viable buyer. Once this period is over, you can switch real estate agents if you choose.
Look at the day you signed the contract and count the number of days left in your contract. It might be worth your time to wait until the contract expires before switching agents.
Listing Status
The final factor that determines whether you can change real estate agents is where you are in the home sale or purchase process. If you are a seller, it is much harder to switch agents if you already have a buyer under contract. Even if you find a new Realtor, your current agent will still earn a commission on the sale because they found a buyer for you. At this point, it usually isnât worth the effort to find a new agent and most Realtors wonât work for free.
However, if you cannot work with your current agent any longer, consider working directly with the real estate broker or a partner within their team. This way your main point of contact will be someone else within the agency but you wonât break your agreement. In some cases, you may also be able to switch to a different agent within the same office if you cannot break your agreement, allowing you to continue your transaction without changing brokerages.
What is a safety protection clause and why is it important?
One of the most important clauses if you have already signed a contract with your agent is the safety protection clause. This clause protects the agentâs commission if they find a buyer for your property.
While you can still fire a Realtor and complete a home sale with the help of a real estate attorney, this clause states that you will still need to pay a commission fee to your agent.
Without this clause, anyone could hire a Realtor, wait for them to find a buyer, and then fire them before the closing appointment. The agent wouldnât receive any money and would essentially be scammed out of their work. This clause protects the hard work of your agent and the buyerâs agent as well.
Keep in mind this only applies to the final buyer who closes on the property. If your agent finds a buyer but the deal falls through, you might be able to switch listing agents. As long as your property isnât under a legally binding contract with a qualified buyer, switching Realtors is usually possible.
The Process of Switching Real Estate Agents
There are a few steps you will need to take if you want to move forward with changing real estate agents.
These actions will ensure your intentions are clear and the relationship ends professionally. Hereâs how to fire your Realtor and end your agreement early, including how to cancel a buyerâs agreement in a way that protects your interests.
Communicate with Your Current Agent
Itâs important to treat your Realtor like any employer treats an employee or contractor. Open and honest communication with your real estate agent can often resolve misunderstandings and lead to a more productive working relationship. Itâs unprofessional to fire them out of the blue without going over any issues you have first. Even if you want to change agents, have an honest conversation with your Realtor first and review your concerns to foster a better working relationship. List concrete issues and identify ways for your agent to improve their service.
For example, if your Realtor doesnât respond to your phone calls or text messages, mention that you arenât happy with their communication strategies. If they only bring in lowball offers or unqualified potential buyers, discuss the marketing strategy and listing price of the house. Providing feedback to your agent about your experience can help them improve their service and maintain a professional relationship, even if you decide to switch.
After you have this talk, give your Realtor time to improve. Honest feedback and respectful communication can lead to better service. They may be doing their best but your goals were misaligned. If you notice improvements, you might not have to change Realtors after all. Also, be sure to highlight these actionable changes.
Show your Realtor that you notice the effort they are putting into the sale and appreciate how they are working hard to get the job done.
Negotiating Contract Termination
If you still want to change agents, go over your listing agreement and contract. You might need to find a new agent to take over the property or temporarily pull your house from the market until you switch Realtors. Check to see if you need to pay an early cancellation fee or other charge for ending the relationship.
To ensure clarity and maintain professionalism, it is recommended to communicate your decision to terminate the agreement in writing, such as by sending a formal email or letter, rather than relying on verbal communication. Acting in a timely manner is also important when transitioning to a new agent, especially in a competitive market.
Many agents wonât try to force you into staying with them. Itâs becoming less common to pay a cancellation fee because Realtors donât want clients who dislike them to stick around. They would rather end the relationship so both parties can move forward with people they are happy with, and you can follow clear steps on how to cancel a listing agreement if needed.
Knowing your contract terms can give you a reasonable out to end the relationship. Once the contract period ends, you can simply end the relationship and move forward with another agent.
Ethical and Professional Considerations
You can only control your own actions when you decide to switch Realtors. You cannot control how your agent reacts to this news. Remember to act professionally at all times and approach your agent with empathy. When changing your realtor, itâs important to set clear expectations and be honest about your motivationsâthis helps establish a solid foundation for your new partnership.
Itâs understandable for them to be upset that they are losing your business but remember you arenât supposed to be treated unethically. Membership in the National Association of Realtors signifies adherence to higher ethical standards and professionalism, so you should expect transparent and fair treatment throughout the process. It means they are missing out on the commission money and potentially hurting their good reputation. Not only are they losing this sale, but they likely wonât get any leads from you in the future.
If possible, create a paper trail of communication as you switch Realtors. Recap phone conversations and in-person meetings via email so you can document each step. If your agent claims that you were rude or fired them unfairly, you will have these documents to prove your innocence. You can also bring in the agentâs broker throughout the termination process so they can serve as an objective third party.
Also, if you end the contract early, note whether you have to pay commission fees to your current Realtor. If your Realtor already found a buyer, they are entitled to the commission on the sale. State that you will pay the agentâs compensation but you still want to work with other agents through the closing process. Setting clear expectations from the start can help avoid misunderstandings and ensure a smoother transition.
Finding a New Real Estate Agent
Your next step is to find a great real estate agent to replace the Realtor you just fired. Start by interviewing multiple agents to ensure you find the right real estate agent who aligns with your needs and preferences. When evaluating potential real estate professionals, check reviews, consider their communication style, local knowledge, and track record, and see if they specialize in the type of property you are buying or selling. Reviewing recent home sales can also provide insight into an agent’s expertise and success in the market. The right agent can make your home search smoother, help you achieve your dream home, and give you a fresh start in your real estate journey.
You can be honest about why you are hiring a new Realtor and review why the last agent didnât meet your needs. This doesnât mean you are slandering your former agent, but rather highlighting to your new agent what you expect from them.
Once you find the right agent, you can sign a contract with them to sell your house. Changing Realtors isnât as uncommon as you might think. Most agents will understand if your past Realtor wasnât a good fit and will be eager to take on the listing.
Itâs Better to Switch Real Estate Agents Than to be Disappointed
Your Realtor is responsible for creating a successful real estate transaction between two parties. If your listing agent has a hard time finding buyers or marketing your property, it might be time to find another one. Changing agents is a common process during the home sale process. You can switch anytime as long as you donât have a buyer under contract.
To find a better listing agent, turn to the professionals at FastExpert. You can look through our vast profiles of Realtors to find better options for your needs. You can also interview these agents before hiring them.
Everyone deserves to feel safe during the home buying and selling process. Whether you need a buyerâs agent or listing agent, use FastExpert to find Realtors you can trust today.