The mandate you sign shapes how your home is marketed, who shows up, and what you walk away with.
Selling a property in South Africa involves more than deciding on an asking price. One of the first decisions a seller makes — often without fully understanding its implications — is what type of mandate to give their agent.
Get it right and you have a focused, motivated agent working hard to achieve the best possible price. Get it wrong and you could end up with a drawn-out sale, competing agents undercutting each other, or — in the worst case — a double commission dispute that lands in court.
Here's what every seller needs to know.
What Is a Mandate?
A mandate is a written agreement between a property seller and a registered estate agent (or agency) that authorises the agent to market and sell the property on the seller's behalf.
Under the Property Practitioners Act 22 of 2019 (PPA), which replaced the old Estate Agency Affairs Act, all mandates must be in writing and signed by the seller before any marketing activity takes place. A verbal mandate is not sufficient. The PPA also requires that any agent or agency you work with holds a valid Fidelity Fund Certificate (FFC) — this is non-negotiable, and you can ask to see it.
There are three main types of mandate: sole, open, and joint.
The Sole Mandate
A sole mandate (sometimes called an exclusive mandate) gives one agency the exclusive right to sell your property for a defined period — typically 90 days, though this is negotiable.
During this period, only that agency may market and sell the property. If another agent introduces a buyer, the commission still goes to the mandated agency. If the seller finds a buyer themselves, commission may still be payable, depending on what the mandate agreement specifies.
Why sellers choose a sole mandate:
- Focused attention. When one agent has the exclusive listing, they invest more time, money, and energy in marketing it. Professional photography, video tours, targeted digital campaigns, and consistent follow-up all cost the agent time and money — and they're more likely to invest that when they know the commission is theirs.
- A single point of accountability. You have one contact, one strategy, and one reporting relationship. There's no confusion about who did what or who is responsible.
- No mixed messaging. Multiple agents listing the same property at different prices — or with inconsistent descriptions — can confuse buyers and signal desperation. A sole mandate prevents this.
- Better-quality buyers. Agents with a sole mandate qualify buyers more carefully before booking viewings, because they're invested in closing the deal efficiently.
What to watch for:
The sole mandate works in your favour when you've chosen the right agent. The risk is being locked into an agreement with an agent who underperforms. Before signing, ask about their marketing plan, their track record in your area, and what happens if you're unhappy with their efforts during the mandate period.
Also be wary of agents who "buy the listing" — offering an inflated valuation to win the mandate, only to push for a price reduction later once they have the exclusive agreement. Get at least two or three independent valuations before committing.
The Open Mandate
An open mandate allows multiple agencies to market and sell your property simultaneously. The agent who introduces the successful buyer earns the commission.
Why sellers consider an open mandate:
- Maximum exposure. More agents means more potential buyers being reached through different networks and databases.
- No lock-in. You're not committed to a single agency for a fixed period.
- Competition. In theory, agents compete to find a buyer first, which motivates them to work harder.
The reality:
In practice, open mandates often produce the opposite of what sellers expect. Because commission is only paid to the agent who closes the deal, agents are reluctant to invest heavily in a property they might not sell. Marketing budgets are limited, effort is diluted, and the property can end up on everyone's books but nobody's priority list.
There's also a more serious risk: double commission.
The Double Commission Risk
This is where open mandates can become costly.
If a seller with an open mandate independently negotiates a sale — or if two agents claim to have introduced the same buyer — a commission dispute can arise. Under South African law, the commission goes to the agent who was the effective cause of the sale. Determining effective cause is not always straightforward, and disputes can end up before the courts.
In one well-documented scenario: Agent A introduces a buyer who views the property but doesn't immediately make an offer. The seller then deals with Agent B, who also introduces the same buyer. A sale is concluded through Agent B. Agent A argues they were the effective cause because they showed the property first. Agent B argues they negotiated the sale.
Both may have a valid claim. The seller ends up in the middle.
The safest way to avoid this: keep clear written records of every agent interaction and every buyer introduction. And if a buyer has already been introduced by one agent, do not allow another agent to deal with the same buyer.
The Joint Mandate
A joint mandate is a hybrid — two or more agencies are given the mandate simultaneously, with the commission shared between them (usually 50/50, but negotiable) regardless of which one concludes the sale.
This arrangement is less common but can work when a seller has a strong existing relationship with two agencies and wants both networks activated. The key is to have the commission split agreed in writing upfront to avoid disputes later.
What the Law Requires
Under the Property Practitioners Act, any agreement to pay commission must be in writing before the sale is concluded. An agent cannot claim commission based on a verbal promise.
Key legal points for sellers:
- Always get the mandate in writing. It must specify the period, the asking price, the commission percentage, and the agent's obligations.
- Commission is negotiable. There is no fixed statutory commission rate in South Africa. The standard range is typically 5–7.5% (plus VAT), but this is a matter of agreement between you and your agent.
- The mandate period matters. A sole mandate that expires without a sale converts to an open mandate (or lapses entirely) unless renewed. Know what your agreement says.
- You can include a "seller's introduction" clause. This allows you to find your own buyer during the mandate period without paying commission — but this must be negotiated and written into the mandate before signing.
Which Mandate Is Right for You?
The answer depends on your property, your timeline, and the agent you're working with.
A sole mandate makes sense when:
- You've done your homework and found an agent with a strong track record in your area
- You want a focused, fully invested marketing campaign
- Your property is priced correctly and ready to go to market
- You want to avoid the complications of managing multiple agents
An open mandate might be considered when:
- You've had a sole mandate expire without a sale and want to widen your net
- You're in a niche market where multiple specialist agents each have access to different buyer pools
- You're prepared to manage the process carefully and keep detailed records
In most cases, for most properties, a well-chosen sole mandate with a reputable agent produces better outcomes than an open mandate with multiple agencies. The numbers bear this out: a property with a sole mandate typically sells faster and closer to asking price than one with an open mandate, because the agent is more invested.