When you`re looking to buy or sell a property, one of the first things you`ll encounter is a realtor contract. This document is an agreement between a real estate agent, or realtor, and their client.
But what exactly is a realtor contract, and what does it entail?
A realtor contract is a legally binding agreement between a realtor and their client. It outlines the terms and conditions of the relationship, including the agent`s commission, the duration of the agreement, and the scope of services the realtor will provide.
The contract typically includes details such as:
1. Commission: The commission is the fee the realtor charges for their services. It`s usually a percentage of the property`s sale price, and is outlined in the contract.
2. Duration: The contract will specify how long the agreement will last. This can range from a few months to a year or more, depending on the agreement between the client and the realtor.
3. Scope of Services: The contract will outline the specific services the realtor will provide, such as marketing the property, arranging viewings, and negotiating offers.
4. Termination Clause: The contract will include a termination clause, which outlines the circumstances under which the agreement can be terminated by either party.
It`s important to carefully read and understand the contract before signing it. Make sure you`re comfortable with the commission rate, the duration of the agreement, and the scope of services provided.
It`s also worth noting that there are different types of realtor contracts. A listing agreement is a contract between a seller and their realtor, while a buyer`s agency agreement is a contract between a buyer and their realtor.
In conclusion, a realtor contract is a crucial document in any real estate transaction. It outlines the terms and conditions of the relationship between a realtor and their client, and serves to protect both parties. Make sure you read and understand the contract before signing on the dotted line.