Confirmation of Agency terms in accordance with the Estate Agents Act 1979
Cocoon Sole Agency Sale Rates:
Sole Agency Rate (12 weeks exclusivity)
0.75% (+ VAT) – Of the sale price on completion
Multiple Agency Rate
1.5% (+ VAT) – Of the sale price on completion
MLS Network ‘30 Day Sale’ (12 weeks exclusivity)
1.9% (+ VAT) – Of the sale price on completion
1. Type of Agency
1.1 You appoint Cocoon Residential Sales (“Cocoon”) on the agency basis set out above for the duration of this Agreement.
1.2 If this is a sole agency agreement you agree that you will not before termination of this Agreement instruct any other agent to sell the property without first obtaining our express prior written consent. If we give that consent, the arrangement between you and us under this Agreement will from that point onwards become a multiple agency at the multiple agency rate.
1.3 If this is a sole agency agreement and you instruct one or more other agents to sell the property without first obtaining our consent as required by condition 1.2 above, then without affecting any other rights we may have in those circumstances, the arrangement between you and us under this Agreement will be treated as having become a multiple agency with effect from the date on which you instructed the other agent(s) and subject to our multiple agency rate.
2. Statements to the Seller
No Sale, No Fee Service – 0.75% (+VAT) (sole agency 12 weeks)
2.1 If this is a No Sale, No Fee agreement Cocoon will have exclusivity over the marketing of your property for a period of 12 weeks, or until a buyer is introduced and an offer accepted by you.
Cocoon shall notify you of all offers it receives to purchase the property and endeavour to negotiate offers to an agreed sale price. Should your sale progress to a successful completion, 0.75% (+ VAT) of the agreed sale price will become payable to Cocoon from the completion monies.
2.2 Services included in the No Sale No Fee service:
– Professional market appraisal of your property
– Photography and floorplan (EPC if required at an additional cost)
– Erect marketing board at property (where possible)
– Secure key holding service
– Comprehensive web portal marketing, as well as reviewing our buyer database
– Accompanying interested parties on viewings at your property
– Negotiate any offers on your behalf
– Instruct solicitors of both parties
– Progress sale through to completion
30 Day Sale – MLS Network – 1.9% (+VAT) (sole agency 12 weeks)
2.3 The ‘30 Day Sale’ service includes everything listed in the No Sale, No Fee service plus:
– Platinum photography
– Extended marketing to other MLS member agents
– Inclusion of other local agents to introduce prospective buyers
– Hosting of an ‘introducer agent’ open house
– Hosting of 3 buyer open houses on pre-arranged dates
The 30 day sales service is an intensive sales strategy, and not in any way a guarantee that Cocoon will sell your property within 30 days.
The sole agency period (12 weeks) remains applicable to its full duration after the 30 days has elapsed. During this time Cocoon will continue to engage with interested parties in order to agree a sale on your behalf.
If this is a sole agency agreement you will be liable to pay remuneration to us, in addition to any other costs or charges agreed, if at any time during the period of the sole agency or within six months of termination of the Agreement, unconditional contracts for the sale of the property are exchanged with a purchaser introduced by us during the period of the sole agency, or with whom Cocoon had negotiations about the property during that period, or with a purchaser introduced by yourself or another agent during that period.
Multiple Agency Service – 1.5% (+VAT)
2.4 The multiple agency service is the same as the No Sale, No Fee service, but at the prevailing multiple agency rate.
If this is a multiple agency agreement or you terminate the sole agency and instruct Cocoon on a multiple agency basis, you will be liable to pay remuneration to Cocoon at the Multiple Agency rate if at any time during the period of the multi-agency, or within six months of termination of the Agreement unconditional contracts for the sale of the property are exchanged with a purchaser introduced by Cocoon, or with whom Cocoon had negotiations about the property during that period.
Ready, Willing and Able Purchaser
2.5 A purchaser is a “ready, willing and able” purchaser if he is prepared and is able to exchange unconditional contracts for the purchase of your property.
You will be liable to pay remuneration to us, in addition to any other costs or charges agreed, if such a purchaser is introduced by us in accordance with your instructions and this must be paid even if you subsequently withdraw and unconditional contracts for sale are not exchanged irrespective of your reasons. This remuneration will be one half of the remuneration calculated in accordance with condition 3 below.
A purchaser is deemed to have been introduced by Cocoon whether or not pre-contract negotiations have been concluded, if the purchaser or someone on their behalf has reacted to any advertisement, display or sales particulars or “for sale” boards issued or displayed by Cocoon or has had any discussions (verbal or in writing) with representatives of Cocoon relating to the property and its marketing.
2.6 If you have previously instructed another estate agent for the sale of your property on a sole agency, joint sole agency or sole selling rights basis you may still be liable to pay remuneration to them if a sale is made to a person previously introduced to you by them. If you have any particular person you wish to exclude from the agency in order to avoid dual remuneration liability, please let us have a note of their name and address by completing the box below.
2.7 There may also be a dual liability if you instruct another agent during or after the period of sole agency with us.
2.8 If following termination of this agreement a purchaser introduced by Cocoon goes on to purchase the property through another estate agent and that purchaser was introduced by the other agent more than six months following the end of this agreement, you will not be liable to pay remuneration to Cocoon.
3.1 The agreed basis of Cocoon remuneration is the percentage of the Contract Price set out above, subject to the minimum amount of £1,000 (+ VAT). The “Contract Price” shall be the price at which the property is to be sold as agreed in any unconditional contract for the sale of the property.
Confirmation of Agency terms in accordance with the Estate Agents Act 1979.
3.2 Any discount from the Standard Remuneration rate offered by Cocoon shall be set out above.
4. Time and Payment of Remuneration
4.1 Cocoon fees, become payable upon exchange of contracts. The time by which these sums shall be paid will be on completion of the sale or, if the sale does not complete within 14 days of the date of exchange, within 7 days of the date of a notice in writing requiring payment of any outstanding sums (“Payment Date”).
4.2 In the event that any fees, charges or costs due to Cocoon under this agreement remain unpaid at the Payment Date, Cocoon may charge interest on such sums from that date until the date of actual payment at a rate of 4% above the base rate set by the Bank of England.
5. Agency Period
5.1 Subject to condition 5.2 below and (if applicable) the cancellation rights described in the Notice set out below, this agency agreement shall continue for the Initial Agency Period set out above and will continue thereafter until one party gives to the other not less than 14 days notice in writing terminating the agency agreement (such notice to expire at any time on or after the last day of the initial Agency Period).
5.2 In the event that Cocoon have introduced a proposed purchaser at any time during the agency period which subsequently withdraws so that the intended sale falls through, you will continue the agreement for a minimum period of 4 weeks from the date on which the potential purchaser withdraws. Thereafter the terms of condition 5.1 above will continue to apply.
6. Services to Prospective Purchasers
6.1 Cocoon, or a connected person or firm may offer and/or provide to the prospective purchasers of your property any or all of the services listed below. Similarly some other person or some other organisation may do so in circumstances in which Cocoon or the connected person or firm benefits financially from the provision of the service(s). If any of these circumstances arise Cocoon will give you prompt notice.
Cocoon accepts no responsibility for the maintenance or repair of or for any damage to the property whilst unoccupied unless such damage is caused by any act or omission of Cocoon and/or its representatives. If the property is vacant when adverse weather conditions are likely, frost damage may occur to water and heating systems and sanitary appliances. You are strongly advised to take all necessary action to protect your property from such risks and ensure that you have taken adequate insurance cover.
8. Personal Interest
Under the Estate Agents Act 1979, Cocoon is required to disclose to you and prospective purchasers any family relationship or business association between you and/or the purchaser and Cocoon or its employees. To assist Cocoon with this Cocoon would ask that you notify Cocoon promptly if you are, or become aware of any such relationships.
9. Sales Particulars
The Property Misdescriptions Act 1991 makes it a criminal offence to give false or misleading information about the property or matters relating to its disposal. Cocoon will prepare draft sales particulars as accurately as possible based on its inspection of the property and information provided by you. Cocoon will send the draft particulars to you for your approval and it is imperative that you read through these carefully. You will be asked to respond in writing to Cocoon identifying any errors or unfair or inaccurate descriptions of the property.
10.1 You must provide Cocoon with a valid Energy Performance Certificate (EPC). If you do not have an EPC Cocoon can arrange for this to be completed at a cost of £75 (plus VAT).
11. General Data Protection Regulation (GDPR)
Cocoon UK will collect, process, and use your personal data to market your property, keep you informed about the progress of your sale and to exchange information with third parties such as solicitors, surveyors and other estate agents who may be linked to the transaction. We will also send you information about properties that may be of interest and offer you products and services from ourselves and third parties which we believe may be of interest and relevance.
By ticking this box you agree to our holding, sharing and processing your personal data and we will continue to do so until you tell us in writing to stop.
12 Statements to the Agent by the Seller
12.1 I/We have read and accept the terms of this agreement and are responsible for and guarantee payment of all fees even if the property is held by a company. I understand that if more than one party is to be responsible, this agreement should be signed by all relevant parties and their liability will be joint and several. The full names and addresses of any additional guarantors should be given in writing to Cocoon and failure to do so will mean that the persons who do sign will be fully liable.
12.2 If this is a sole agency agreement, I/We undertake that during the period of this Agreement I/We will permit only a “For Sale” board of Cocoon to be displayed on the property.
12.3 I/We will advise Cocoon at once if any aspect of the sales particulars Cocoon supply to me/us is or is likely to become inaccurate or misleading.
12.4 I/We will notify Cocoon immediately if I/We receive any private approach or offer for the sale of the property.
12.5 I/We agree that decision/instructions given to Cocoon by me/one of us/our Legal Representatives are given on behalf of the seller.