475,692
I would not charge the sellers a fee, and I do think it is bad business. I always tell my sellers that if I do not perform to their expectations, I will certainly let them out of the contract. I want them to feel like that want me to work with them, rather that them being contractually obligated to doing so.
Of course, there is a monetary outlay that comes with listings, but that is part of the business. I imagine that you get much more business to the closing table than contracts that request a cancel.
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Katina Olmstead
Eagle River, AK
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Bob Publicover
Stuart, FL
279,878
630,251
1,139,819
I believe if a seller signs a contract for a certain period then they need to live up to the contract.
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Bob Publicover
Stuart, FL
4,800,132
I don't like cancellation fees. but i can see them being charged in some instances where the sellers have been less than cooperative in carrying out the terms on the listing agreement.
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Bob Publicover
Stuart, FL
634,532
I never charge a cancellation fee. But reimbursement for expenses is sometimes appropriate. I had a luxury listing cancel after 2 weeks (due to a family dispute about selling). I had invested in photography, advertising and mailing and requested reimbursement from my clients. They were very apologetic and had no problem reimbursing me for the expenses.
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Bob Publicover
Stuart, FL
3,986,308
As long as the seller knows the fee up front, it is OK, but, I can see the backlash of people who get charged.
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Bob Publicover
Stuart, FL
921,504
IF the fee is imposed by the BROKER it is a BAD, BAD. BAD and BAD thing. But the BROKER is covered....it is the agent who will be blamed. Did I mention BROKER imposed penalties are a BAD thing?
The agent should have the option of collecting a cancellation fee based on the circumstances. If the seller HAD to change course due to circumstances beyond their control, the fee should be waived.
If collection is needed, broker should receive only the amount covered by receipts for services purchased by the broker, not the agent, for that address only. Then agent receives the balance for their costs.
Broker imposed mandatory fees is evidence of BAD policy. This will be followed by, agent must pay regardless, but can collect from buyer/seller if they can.
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Bob Publicover
Stuart, FL
90,543
I would not charge a cancellation fee. Canceled contracts are part of the business. NEXT.
If it is a matter of your companies policy, then that's a different circumstance.
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Bob Publicover
Stuart, FL
6,416,169
4,319,773
Bob Publicover It's a personal choice.
If the seller intentionally does want to cancel to re-list with someone, I'd say, sure. You invested time and money to market that home - so why not?
Now if it is for personal valid reasons, I'd say, use your own judgment.
2,224,473
I don't charge a cancellation fee. I don't think this would go over well in my market. I could see myself losing listings because of this.
1,241,754
Those charge a fee is likely to be voiced by sellers more. How do you enforce a fee? Small claim court?
443,220
Cancelled listings are indeed a part of our business. I have in the bast charged a nominal fee (up front) to compensate me for my direct cost of photos, sign placement, flyers, etc. But generally speaking, I would not charge a serious fee for cancellation.
913,348
I never have and never will. Anyway, it would depend on the reason the seller wants to cancel the listing. If the listing agent turned out to be terrible and made several mistakes for example that a seller wanted to cancel, I couldn't see agent asking for cancelation fee even if they agred to the fee up front.