An estate sale contract is an important document. As such, it makes sense to ask questions and raise concerns before affixing your signature on paper. Doing so solidifies an understanding between you, the seller, and the estate sale company. A clear-cut agreement between parties is crucial for a smooth-sailing estate sale process.
As a seller, there are a few things you need to know about estate sale contracts:
A contract should clearly identify who the sellers are
The last thing anyone wants is trouble during the sale. To avoid such a scenario, it’s best to name all the parties involved. This is particularly important in rather large families or groups that include extended families.
It’s also not enough to just name them in the document; they should also be present during the signing of papers. Their presence is crucial so that they too can voice any questions or raise any concerns they might have regarding the estate sale.
Apart from their presence, all of those who are named should sign the contract. This makes it clear that everyone is in agreement even before the sale takes place.
A contract should contain all the relevant information
Hiring an estate sale company means you are giving them access to the property. The contract needs to state who is responsible for property access. That point person will be in charge of where and when estate sale employees can gain access to the property.
A property can have many access points. As such, you should specify exactly which entrance employees should pass, and whether or not they need a gate or alarm code to get in.
Since companies dealing in estate sales will be visiting the property to look at items for liquidation, the document should also specify that you, the seller, will be responsible for providing electricity, water, and heat.
A contract should have a cancellation clause
This is present in almost all estate sale contracts, and terminating an agreement can go both ways. You, as the seller, can back out for whatever reason. The same benefit should also be afforded to the estate sale company.
Both of you should outline any stipulations that may lead to the termination of a contract. For instance, an estate sale company may choose to end and agreement because they have found a seller difficult to work with. This may include violation of agreed terms like leaving estate sale employees to go about their own business.
A contract can include a clause allowing the company to charge a commission
This, in particular, applies to items that have been part of the sale but was removed. The removal in question has to be done after the contract was signed and during the sale process. Many estate sale companies deduct the value of the item from the overall sales.
This also highlights the importance of having every person in the family or extended family who might want something to be present. Doing so would avoid including an item they want from the sale.
Keep in mind that an estate sale contract is a legal document. You should only sign in when all the terms have been included and you agree with what’s on paper.