What am I agreeing to with the agency agreement?

Why this question matters

The agency agreement turns the proposal into a contract. Read it alongside the marketing budget, fee quote and any promised service schedule. Ask where each important promise appears in writing. Resolve inconsistencies before signing, especially if an attractive verbal explanation is broader than the wording in the documents.

What to ask the agent for

Whether it is sole or general, start and end dates, notice requirements, what happens if you withdraw, and what happens when the agreement ends.

Ask for time to review the documents with your lawyer or conveyancer. Keep a copy of the agreed version and any written amendments. Do not rely on the expiry date alone to understand cancellation or later commission exposure.

What a strong answer should include

Walks through the actual clauses and encourages you to read the REA guide and seek advice if needed.

What to write down or compare

• The legal agency name, agreement type, start date and end provisions.
• Commission trigger, GST, additional expenses and authority to approve marketing.
• Notice requirements, renewal or conversion terms and continuing commission clauses.

Relevant NZ seller considerations

Settled describes an agency agreement as a legally binding contract and recommends legal advice before signing. Sole and general agreements differ; check the actual clauses and applicable cancellation guidance for your circumstances.