A signed contract with a real estate agent creates a binding agreement, but changing representation is often manageable when approached strategically. The ability to successfully change realtors hinges on the precise wording of the agreement and the willingness of the current parties to cooperate in the termination. Understanding the legal commitment and available exit strategies is the first step toward regaining control over your property search or sale.
Understanding the Real Estate Contract You Signed
Before attempting any action, carefully review the document you signed, as it dictates the terms of your relationship and separation. Sellers typically sign a Listing Agreement, granting the agent the right to market and sell their property for a defined period. Buyers enter into a Buyer Representation Agreement, defining the agent’s role in locating and negotiating a home purchase.
These contracts are categorized as either exclusive (meaning only that specific brokerage can represent you during the term) or non-exclusive (allowing you to work with multiple agents simultaneously). Locate the specific termination clause and the stated duration of the agreement, as these outline the conditions under which the contract may be ended prematurely.
Steps for Seeking a Mutual Release
The most straightforward path to changing representation is obtaining a mutual release, requiring both you and the current brokerage to agree to terminate the contract without penalty. Start by composing a professional communication, preferably via email, directly to the agent detailing the reasons for your dissatisfaction. Provide specific, objective examples of why the relationship is not meeting your needs, focusing on communication frequency, marketing deficiencies, or lack of responsiveness, rather than emotional complaints.
A mutual release form is a standardized legal document that, once signed by all parties, formally voids the existing contract entirely. You should request this form and confirm the agent will sign it before proceeding with any other actions. Maintaining a clear paper trail of all attempts to contact the agent and requests for the release will serve as necessary documentation should the situation escalate. The agent’s cooperation is generally preferred because an amicable split avoids disputes that consume time and resources for both parties.
Handling Potential Fees and Commission Disputes
Even when a mutual release is granted, financial obligations may need resolution, especially if the contract stipulated specific termination fees for early cancellation. These fees compensate the brokerage for marketing and administrative costs already incurred and must be settled as part of the release process. While some brokerages may waive these fees to maintain goodwill, they are legally permitted to enforce them if they are clearly written into the contract.
A separate financial matter is the Protection Period, sometimes called a Safety Clause, included in many representation agreements. This clause entitles the original agent to a commission if you purchase or sell a property to a client they introduced to you during the contract period. This post-termination period typically ranges from 30 to 180 days. Negotiating the precise terms of this protection period, or confirming its complete waiver, must occur before you sign any final termination paperwork. If the protection period is not waived, you must clearly understand which specific properties or buyers are covered under the clause to avoid paying two commissions.
Escalating the Issue to the Brokerage Firm
If the individual agent proves unwilling to sign a mutual release, the next step is to contact the managing broker or owner of the brokerage firm directly, as the contract is legally binding with the firm, not the specific salesperson. Brokerages often prefer to release an unhappy client rather than face protracted disputes or negative online reviews, as they maintain a vested interest in their reputation.
When contacting the managing broker, provide a concise summary of the situation and attach all prior documentation showing your attempts to resolve the issue with the agent. Presenting this evidence strengthens your request for an executive decision to grant the release. The managing broker has the authority to unilaterally terminate the contract, overriding the individual agent’s refusal. This escalation moves the decision to a business level where client satisfaction holds greater weight.
When Formal Complaints or Legal Action Are Necessary
When both the agent and the managing broker refuse to terminate the agreement, you are left with formal complaints or legal action. Filing a formal complaint with the state or provincial real estate licensing board is appropriate when the agent’s conduct involves ethical violations or breaches of professional duties. Licensing boards can investigate and discipline agents, but they typically cannot legally terminate a private contract or award monetary damages.
Civil litigation involves pursuing a breach of contract claim in court, which can result in a judge ordering the contract terminated or compensating you for damages suffered. This route is reserved for situations where the agent’s failure to perform has caused significant financial harm. Given the complexity and cost associated with litigation, seeking a formal consultation with a real estate attorney is necessary to evaluate the viability of your specific case.
Important Steps Before Hiring a New Realtor
Before signing any new agreement, you must possess a fully executed, written termination or release document from the previous brokerage. Proceeding without this signed proof exposes you to the risk of owing a full commission to two separate parties should a transaction successfully close. This liability is entirely avoidable with proper documentation.
You must also proactively share the details of the previous termination agreement, specifically any remaining Protection Period or Safety Clause, with your new real estate professional. This transparency allows the new agent to manage potential conflicts and ensure any future transaction is structured to avoid claims from the former brokerage. The new agent can then advise you on how to proceed with caution regarding any properties the former agent introduced.