[Please note: Judi is a Realtor in the State of Texas. She can not provide legal advice for contracts in Texas or other areas.]
So you made the decision to sell, found a great real estate agent, and signed a listing agreement. All set right? But circumstances sometimes change. Can you change your mind about selling your home after you’ve signed a listing agreement?
Short answer: Yes, probably.
But the full answer depends on many different variables. Your next steps will depend on where you are in the process. For instance, if you have listed your home and have a buyer’s contract, you’ll likely need to consult a real estate attorney to understand the implications of deciding not to sell your house.
However, the information below is to help home sellers who have listed their home for sale and signed a listing agreement with a realtor. But, decided not to sell before a contract has been executed with the buyer.
Changing your mind after the listing agreement
Selling a home is a lengthy process, and many things can change during that time span. Circumstances, needs, or you decide that you don’t want to sell your home anymore.
So, what happens if you decide not to sell your house?
How do you break the news to your estate agent? How do you remove your house from the listing? And what are the consequences of this decision?
Read on and you’ll find out.
What to Do After You Decide Not to Sell
Contact Your Real Estate Agent Immediately
If you have an experienced and knowledgeable agent, they will help guide you through the real estate process. Make sure you are equipped with the necessary information before your home is listed. Even with the most diligent agents, however, circumstances can change.
If you decide not to sell, please inform your real estate agent immediately.
Your agent is your front-line partner in the sale of your home – from marketing to showings, to contract negotiation and close. They have likely invested considerable time and resources in helping you prepare for the listing. Alerting them quickly will help ensure they can immediately take the appropriate steps to keep from wasting time and resources for you, prospective buyers and buyers’ agents, as well as your agent.
Be Communicative, Be Polite
Open and polite communication will help you avoid delays and/or miscommunications. Let your agent know your intentions and explain the circumstances. Your agent will be able to provide a clear understanding of the next steps. They will also be able to revisit your situation with you and the reasons for changing your mind. In many circumstances, an experienced agent may be able to help you find a solution to keep your goals on track.
You may not be able to change your circumstances, but you can make sure your relationship with your agent isn’t negatively impacted. And if you decide to sell again, you’ll have a reliable agent in mind. If your agent is a seasoned professional, they will understand and try to make the process as smooth as possible for you.
What to Expect
Your home will be placed on Withdrawn Status
The first step the agent will take is to place your home on withdrawn status. This ensures your home won’t be listed for any additional showings. And, cancel any new marketing efforts your real estate agent has planned.
Placing your home on withdrawn status will help prevent prospects from wasting time or money looking at a home that isn’t for sale. It also helps reduce additional expenses for the realtor.
About Your Listing Agreement
Most likely, you signed a listing agreement with your real estate agent. The listing agreement is a crucial component of the real estate process, enabling agents to initiate the preparation and marketing of your home for sale.
These critical preparation, staging, and marketing steps require a heavy investment of time and money on the realtor’s part. Additionally, showing the home to numerous prospects and negotiating with prospective buyers can consume a significant amount of time for realtors.
While the realtor’s time and expenses start incurring from the beginning of the process, the realtor doesn’t receive their commission until the closing process is complete. This is why the listing agreement is so important. Because it helps protect the realtor from spending their time and money without some confidence that they will be reimbursed through the commission.
Although the listing agreement is a legally binding document, your realtor may be able to work with you to cancel the contract or make necessary adjustments based on your situation. To prevent any hardship or unrecoverable expenses, it’s best to communicate with your realtor as early as possible if you find you are unable to move forward with the sale of your home.
You cannot sell the House Privately or with another Agent within the time frame of the Listing Agreement
No one can force you to sell a home. But if you have already signed a contract with an agent and then changed your mind, you cannot sell the property for the time mentioned in the agreement.
Yes, your property will be withdrawn from the listings, but that does not free you from the contract. If you truly have no intention to sell your home, abide by the listing agreement and wait it out for the term stated.
Your real estate agent is on your side. Some realtors can release you from your contract if you cover the marketing expenses they incur on your behalf. Others may hold you to the timeframe in the contract. And a small few may completely release you from your contract. By working closely with them from the beginning, they can usually help you avoid any sticky situations.
Want to know more about the selling process? Check out this home-selling process guide and get answers to many questions about the process of selling your home.
Reach out to us if you’d like more information or want to chat about buying or selling a home.
About Judi Wright – Trusted Real Estate Expert
With over 50 years of experience in the Dallas-Fort Worth area and 23 years as a Real Estate agent, Judi is one of North Texas’ most trusted and accomplished real estate professionals. As an award-winning Top Realtor, she has built a reputation for excellence, integrity, and personalized service throughout Collin, Dallas and Denton counties (and beyond). Judi treats every client like family and works hard to deliver an experience worth recommending. References and testimonials are available upon request and Judi would be honored to earn your business.
