The National Association of Estate Agents (NAEA) has recommended model contract terms to its members, following discussions with the Office of Fair Trading (OFT).
Draft model terms were submitted to the OFT by the NAEA to ensure that they meet the requirements of the Unfair Terms in Consumer Contracts Regulations. Following work with the OFT, NAEA has made a number of improvements to its model terms giving consumers a clearer and fairer deal including:
* provision of a separate agreement for each type of agency arrangement, be it sole agency, multiple agency or sole selling
* clarification of fees payable including VAT
* terms written in plain and intelligible language
* improved clarity concerning marketing and the use of 'for sale' boards
* improved prominence of arrangements for the settlement of fees
Simon Priddis OFT's Senior Director Markets and Projects/Services, said: "OFT is determined to ensure that consumers entrusting the sale of their house to estate agents get a fair deal. Clear and understandable language in agreements is vital in achieving this objective. We commend the use of the NAEA model terms as a way of ensuring that consumers do get a fair deal from estate agents."
