What is included in an agreement on real estate mediation?

Agreement on real estate mediation is a contract between the owner of the house he wants to sell and a broker who works as an intermediary in the shop. The contract defines the terms of the agreement, including what steps the intermediary will carry out. It also describes in detail the compensation paid by the seller paid by the broker and the specific circumstances that will launch the payment. In some countries, the broker may also have a contract with the seller, for example to cover credit control or organize financing. In most cases, however, this type of agreement is limited to rent rather than for sale.

The most basic part of the agreement on mediation of real estate is to define the nature of the relationship between the broker and the seller, namely the level of exclusivity available for brokers. The most restrictive is the an exclusive agency in which the broker is the only person who has the opportunity to sell a property on behalf of the owner, and no other brokers do notThey can earn any money from the sale. The less restrictive variant is the exclusive right to sale, although the property can only be sold by a specific broker, the broker can work with other companies on the real estate market and can share a share paid by the buyer. The least restrictive arrangement is an open list that allows more brokers to sell real estate, only one who organizes a real sale that receives compensation from the buyer.

The contract will also announce the agreement on compensation. Most often, this includes that the buyer pays the agreed and fixed percentage of the final selling prices after the sale of the house. The theory is that this system, unlike a fixed fee, encourages a broker to get the best possible price for the buyer. Some economic studies question this and conclude that brokers may be tempted to settle for a lower price earlier, because the additional commission they would receive from a higher price is not worth the next waiting period.

Real estate must also explain how both party can cancel the agreement. For open statements, this is usually not a problem, because the buyer can usually simply download the property from the sale or the rejection of offers brought by a particular broker. With exclusivity stores, there will often be a fixed time before the seller regains the right to hire another broker. Some buyers may be able to negotiate provisions that give them the right to end the exclusivity period earlier if they may show that the intermediary failed to adequately sell the property.