Simple mandate: definition, advantages and disadvantages
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When a property owner wishes to sell their real estate asset, they can choose between different types of mandates. Among them, the simple sales mandate stands out for its flexibility: it allows the seller to entrust the marketing of the property to several real estate agencies or representatives, while retaining the option to sell the property independently.
Unlike the exclusive mandate, which ties the seller to a single professional, the simple mandate maximises opportunities by increasing the property’s visibility. However, this freedom also comes with certain disadvantages, particularly the risk of competition between agencies, which may affect the overall sales strategy.
Before opting for this type of mandate, it is essential to understand its specific features, legal obligations, advantages, and limitations.
What is a simple property sales mandate?
The simple mandate is a real estate sales contract that allows the owner to authorise several agencies or representatives to market their property, while still retaining the option to sell it independently. Unlike the exclusive mandate, this type of contract does not bind the seller to a single professional.
Mandatory information in a sales mandate
A sales mandate must include:
- Identity of the seller(s)
- Contact details
- Description of the property (address and full details)
- Sale price of the property
- Agency commission amount
- Duration of the mandate and termination terms
- Marketing methods used by the real estate agent
Why choose a simple mandate?
Advantages of the simple mandate
- More freedom: the seller can appoint several agencies and still sell the property independently.
- Increased visibility: by working with multiple agencies, the property benefits from wider exposure.
- Possibility of avoiding agency fees: if the seller finds the buyer themselves, no commission is owed to an estate agency.
Disadvantages of the simple mandate
- Longer selling time: estate agents tend to invest less effort in properties under a simple mandate, giving priority to exclusive ones.
- Risk of confusion for buyers: if the property is listed several times at different prices, it may raise questions and reduce trust.
- Weaker buyer competition: with several agencies handling different buyers, it becomes harder to create effective competition to maximise the sale price.
- Extra responsibility for the seller: they must verify the identity of each visitor to avoid duplicate viewings already carried out by another agency.
Termination of a simple mandate
Withdrawal within the legal period
In Switzerland, the seller’s right of withdrawal within 14 days of signing the mandate is not automatic and depends on the specific terms agreed in the contract with the real estate agency. If this right is provided, the seller must notify their decision to withdraw by registered letter sent to the appointed agency.
Termination at the end of the commitment period
In Switzerland, the duration of property mandates is freely negotiated between the owner and the agent, with no minimum period imposed by law. Automatic renewal clauses must be explicitly stated in the contract to be enforceable. It is worth noting that some cantons or real estate agencies may offer mandates without automatic renewal, unlike the common French model. To terminate, the seller must send a registered letter with 15 days’ notice before the end of the term.
Sale by the owner directly
If the seller finds a buyer independently, they must inform the appointed agencies and provide the buyer’s identity. This allows agencies to verify whether the buyer has previously viewed the property through them. If that is the case, the agency commission remains payable.
Simple or exclusive mandate: which should you choose?
The simple mandate is ideal for sellers who want to maintain full control over their sale and maximise opportunities. However, the exclusive mandate offers a more structured and often faster approach, encouraging the agent to commit fully.
Depending on your sales strategy, it is essential to carefully weigh the advantages and disadvantages of each type of mandate before making your decision.
Entrust the sale of your property to experts
At FGP Swiss & Alps, we guide you through your real estate project with tailored solutions that meet your needs. Whether you choose a simple mandate or an exclusive mandate, we put our expertise at your service to optimise the sale of your property with complete peace of mind.
Contact us today for personalised support.
FAQ on the simple sales mandate in Switzerland
What is a simple property sales mandate?
A simple mandate is a contract that allows the owner to entrust the sale of their property to several real estate agencies, while still retaining the possibility to sell it independently. Unlike the exclusive mandate, it does not restrict marketing to a single professional.
What are the advantages of the simple mandate?
Freedom: possibility to appoint several agencies and still sell independently.
Increased visibility: the property is marketed through multiple channels simultaneously.
Potential savings: if the sale is concluded directly between individuals, no commission is owed to an agency.
What are the disadvantages of the simple mandate?
Less agency commitment: agencies often prioritise exclusive mandates.
Possible buyer confusion: multiple listings with different prices may raise doubts.
More complex follow-up: risk of duplicate viewings and difficulty centralising offers.
What must a simple sales mandate include?
A sales mandate must include:
Identity of the sellers and the agency.
Detailed description of the property (address, characteristics).
Sale price set and possible negotiation margin.
Amount or percentage of the commission.
Duration of the mandate and termination terms.
Planned marketing methods (ads, property portals, agency networks).
What is the duration of a simple mandate in Switzerland?
The duration is freely agreed between the seller and the agency (often three months, renewable). Automatic renewal clauses must be explicitly stated in the contract.
How can a simple mandate be terminated?
Right of withdrawal: not automatic in Switzerland but may be contractually provided (generally within 14 days of signing).
Termination at the end of the contract: the seller must notify the agency by registered letter, respecting the notice period (often 15 days before the end of the commitment period).
What happens if the seller finds a buyer themselves?
The seller may complete the sale without agency fees, unless the buyer has already visited the property through one of the appointed agencies. In that case, the commission remains payable.
Simple or exclusive mandate: which should you choose?
The simple mandate suits sellers who want to keep control over their sale and maximise opportunities.
The exclusive mandate appeals to owners who prefer single-point management and stronger agency commitment, which can often speed up the sale.
