Real Estate Brokerage Agreement, Non Exclusive
Real Estate Brokerage Agreement-Non-Exclusive
____________________, referred to as OWNER, in consideration for the services performed to date and to be performed, herewith appoints __________________, referred to as BROKER, as the non-exclusive agent for the sale of the following described real estate, on the terms and conditions set forth below, the following real property:
_______________________________________________________________
BROKER agrees to diligently and in accordance with all applicable regulations and laws to seek to find a buyer for the property. This non-exclusive listing shall expire _ months after commencement.The minimum selling price of the property shall be:
$____ (________________________&___/100 Dollars)Upon the following terms:
_____________________________BROKER may place a sign during the term of this listing on the property stating that it is the broker herein, and OWNER agrees to allow the sign to be kept during the term of the listing and to allow BROKER access to the same for maintenance. During a period when a closing is pending, the BROKER may continue to place a sign indicating the same.
OWNER agrees to pay a commission of ___ percent (%) of the sales price, if (1) you procure a buyer who is ready, willing and able to purchase the premises upon the terms stated above; (2) you procure a buyer to whom OWNER in fact sells or trades the property; (3) during the terms of the listing, the property is sold through a buyer procured by others. A commission as provided shall be due if BROKER procures a buyer that purchases the property on other terms acceptable to the OWNER.
If the property is sold or otherwise conveyed to a prospect first submitted by BROKER within __ months of the expiration of the listing period, the commission provided for herein shall be due and payable.
Should a purchaser procured by BROKER default, and if any deposit, escrow or earnest money is forfeited or received by OWNER shall pay 5 percent (%) of the same to the BROKER as compensation, but in no event, an amount in excess of the commission earned on the transaction had it closed.
OWNER makes no representations or warranties regarding any problems with the property or its surroundings. BROKER acknowledges an opportunity to fully inspect the premises and acknowledges and accepts the lack of representations or warranties regarding the property and its surroundings.
Dated: _________________________
___________________________________
Owner___________________________________
Broker
Real Estate Brokerage Agreement-Non-Exclusive
Review ListThis review list is provided to inform you about this document in question and assist in its preparation. This agreement limits the owner’s liability to the broker while still providing for brokerage payment upon successful sale of the property. Non-exclusive relationships by their nature limit liability for a number of reasons, as well as providing the owner more avenues of sale. For this reason, most brokerages press hard for exclusive agreements.
1. Make multiple copies. Keep one with the property paperwork. Make sure each signatory gets a copy.
Frequently Asked Questions
What is a non-exclusive real estate brokerage agreement?
A non-exclusive real estate brokerage agreement appoints a broker as a non-exclusive agent for the sale of a property. This means the owner can work with other brokers or sell the property independently. The broker agrees to diligently seek a buyer in accordance with applicable laws and regulations.
How long does a non-exclusive listing last?
The agreement states that the non-exclusive listing shall expire a specified number of months after commencement. The exact duration is filled in on the form. There is no default period mentioned in the article.
Can the owner sell the property themselves under a non-exclusive agreement?
Yes, because the broker is appointed as a non-exclusive agent, the owner retains the right to sell the property independently. The agreement does not restrict the owner from finding their own buyer. However, the owner should review the commission terms to understand any obligations.
What is the minimum selling price in this agreement?
The agreement includes a blank for the minimum selling price of the property. This amount is specified in dollars and cents. The owner and broker must agree on this price before signing.
What commission does the broker earn under this agreement?
The owner agrees to pay a commission of a specified percentage, which is left blank in the form. The commission is based on the terms set forth in the agreement. The exact percentage must be negotiated and filled in by the parties.
Can the broker place a sign on the property?
Yes, the broker may place a sign during the term of the listing stating that they are the broker. The owner agrees to allow the sign to remain during the listing term and to provide access for maintenance. During a pending closing, the broker may continue to display a sign indicating that status.
What are the broker's duties under this non-exclusive agreement?
The broker agrees to diligently seek to find a buyer for the property. This must be done in accordance with all applicable regulations and laws. The broker's services are performed in consideration for the commission.
Is the broker the only agent the owner can use?
No, the agreement is non-exclusive, so the owner may use other agents or sell the property themselves. The broker is appointed as a non-exclusive agent, not an exclusive one. This allows the owner more flexibility.
What happens if the property is sold during the listing term?
The owner agrees to pay a commission of the specified percentage if the property is sold. The agreement does not specify whether the commission is due only if the broker procures the buyer. The terms and conditions set forth in the agreement govern the commission.
What information must be filled in on the non-exclusive brokerage agreement?
The agreement requires the owner's name, the broker's name, a description of the real property, the listing duration in months, the minimum selling price, any additional terms, and the commission percentage. These blanks must be completed to finalize the agreement. The form also includes a space for the dollar amount in words and cents.
