Legal News
26-11-2025 Buying or Selling Property in Southern Spain: A Practical Guide Based on 30 Years of Real Experience
The Procedure for Selling a Property in Spain Today I publish the first chapter of this new subseries ENGAGING A REAL ESTATE AGENCY
1. Engaging a Real Estate Agency: Understanding Your Options-------------------------------------------------
When preparing to sell a property, most homeowners will begin by engaging the services of a real estate agency. In practice, agencies usually offer two types of agreements: a standard non-exclusive agency agreement or an exclusive listing agreement. It is essential for the seller to understand the differences between these contracts, as the obligations and practical consequences can vary significantly.-----------------------------------------------------------------------------------------------------------------------------------
1.1. Standard Non-Exclusive Agency Agreement-----------------------------------------------------------
Under a standard non-exclusive agreement, the real estate agent undertakes to advertise and market the property using the resources typically available to the agency. This usually involves listing the property on the agency’s website, promoting it through their internal channels, and presenting it to potential buyers within their network.-------------------------------------------------
The agency’s commission is agreed in advance and documented in a commission agreement or similar written contract. The seller commits to paying the agreed fee only if the buyer introduced by that specific agency ultimately completes the purchase.------------------------------------------------------------------------
Because the agreement is non-exclusive, the seller remains free to market the property through other agencies, through acquaintances, or even directly, without incurring any liability to the first agent unless that agent is the one who produced the final buyer.--------------------------------------------------------------------------------
1.2. Exclusive Listing Agreement-----------------------------------------------------------
An exclusive listing agreement grants the real estate agency the sole right to market and offer the property for sale. In principle, this exclusivity encourages the agency to invest significantly more effort and resources into promoting the property, on the basis that it has no competition during the exclusivity period.-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
Ideally, an exclusive agreement should create a balanced set of obligations: the agency commits to undertaking enhanced marketing efforts—such as advertising in specialised magazines, launching targeted promotional campaigns, organising open-house events, and actively reaching out to other agents with potential buyers—while the seller agrees not to market the property through any other channel for the duration of the exclusivity.-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
As a counterpart, the agency’s commission becomes payable in any case if the property is sold during the exclusivity period, even if the buyer is found by another agency or directly by the seller.------------------------------------------------------------------------------------------------------------------------------------------------------------------
1.3. Practical Issues with Exclusive Agreements------------------------------------------------------
In practice, however, many agencies that hold exclusive listings do not deliver the level of effort that such contracts imply. Instead of undertaking the enhanced marketing that justifies exclusivity, they often limit themselves to the same promotional activity they would carry out under a standard agreement. As a result, the seller ends up receiving the same service they would have received with a non-exclusive arrangement—yet still remains contractually bound to pay the commission even if the agency has contributed little or nothing to the sale.
For this reason, sellers should be cautious before entering into an exclusive listing agreement. At a minimum, the contract should be limited in time and should clearly specify the concrete actions the agency is required to undertake during the exclusivity period. If the agency does not perform those commitments within a reasonable period (for example, within six months), the exclusivity should either terminate automatically or convert into a standard non-exclusive arrangement.---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
MyProfessionalExperience: In my professional experience, sellers should only consider signing an exclusive agency agreement when the agency provides clear written guarantees of enhanced marketing efforts; otherwise, a standard non-exclusive agreement tends to offer better protection and flexibility.------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
Final note----------------------------------
This guide is not just for British clients — it is written for all English-speaking buyers and sellers who wish to invest or sell in the Málaga region and the Costa del Sol. If you are planning a property transaction in Spain, this guide is meant for you.------------------------------------------------------------------------------------------------------------
Buying or selling property in Spain can be a safe and rewarding experience — provided you know how the system works and who to trust.
With over 30 years of professional experience and a dual legal and cultural background, my goal is to help you make that process transparent, secure, and successful.--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
Ricardo Gantes Ludgate
Lawyer
http://www.rgllawyersinspain.com
rgllawyers@gmail.com
I am at your disposal for any queries you may have.
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