Question Details

Peter G, Home Seller in San Francisco, CA

Live in San francisco Ca, my listing contract ends on 6/16/08...my agent wants me to sign a form that if any

Asked by Peter G, San Francisco, CA Tue Jun 10, 2008

of her buyers or buyers that came to my open house and any agent with there clients decide to buy after the contract ends she is entitled to her commision.
Is this correct.

Help the community by answering this question:

Answers

6
That will most likely be in your contract, that you signed at the listing presentation. That is all normal. Realtors spend so much time and money to advertise your property in order to get it sold. And should it not sell and you decide to re-list with another company, if the buyer was precured by the first Realtor, then He or She is entitled to compensation due to their time and money spent. You should have a time limit in your contract. It may be 90 days or more. Some buyers just sit on the fence deciding. And if the home has been listed with another company and your previous Realtor can prove the buyer came as a result of their advertising, then they will be due a commision. You can therefor negotiate this in the new listing agreement with the new company that if this happens then they need to give the previous Company a referall fee and this will not obligate you quite so much. But read your contract thoroughly and ask for legal advice, should you not understand it. Look for the time limit and the amount of commision. A referal fee is normally 25% of half the total commision. So if you list you home with a 6% commision the referal fee would be 25% of the 3 %. See if that should help you.
1 vote Thank Flag Link Tue Jun 10, 2008
Read your listing agreement to see what your obligations are. The standard CAR form we use here does have a provision for exclusion of certain buyers in favor of your current listing office as long as they are specified in writing. The term of the exclusion period should also be specified in the listing agreement that you signed. It seems a fair thing to do, and if you were to list with another agent, they should be made aware of these exclusions so that you don't find yourself liable to pay 2 commissions! Every area and every contract is different. When in doubt read your contract and talk to a local expert. Good luck!
1 vote Thank Flag Link Tue Jun 10, 2008
Sylvia is correct. Refer to paragraph 4.a.2 of the RLA for the agreemnet and the written in number of days. Also verify the source of the list of names. She is entitled to brokerage fees for a period of time if anyone she was the procuring cause buys the house.
Many of us don't bother but it might be a policy of her broker and she may have no choice.
You have other options that are offered in the COL form. (Cancellation of Listing).
0 votes Thank Flag Link Wed Jun 11, 2008
Jed Lane; Fog…, Real Estate Pro in San Francisco, CA
MVP'08
Contact
Hi Peter:

As Pam said, the standard CAR Listing agreement, which I assume you signed, says that if the listing agent provides you (within X days of listing expiration) with names of the persons who have viewed the house and/or made offer on the house during the listing period, then they will be entitled to the listing side of the commission if those named persons made an offer within in an agreed upon timeframe (again, that's in the contract you signed) after the listing expires.

The reason is because those buyers were introduced to your house while the house was listed under the agent, so it provides protection for the listing agent who have spent the time/money/energy to advertise and market your home.

Your agent would have explained that to you before the listing agreement was signed. .

You will need to provide those names to your new listing agent BEFORE any new listing agreement is signed so the new agent is aware of the exclusion and add that to the new listing agreement so everything is spelled out. .

This is a standard clause in CAR listing agreement and should have been signed when you signed the listing agreement.

You need to go back to your original listiing agreement and see what you agreed as the specific number of days. That's what is binding.

Sylvia
0 votes Thank Flag Link Wed Jun 11, 2008
Sylvia Barry,…, Real Estate Pro in Novato, CA
MVP'08
Contact
I am unaware of a special form for exclusions. Most listing agreements have a provision as you have described. Usually a list should be sent to the seller within 10 days of the expiration of the listing. I would insist one a list that contains the names and phone numbers of those potential buyers as well as the agent who brought them to the property. I photo copy of a guest register would be inappropriate. An expiration date for the exclusion list is usually 30 days after the listing has expired. Good luck!
0 votes Thank Flag Link Wed Jun 11, 2008
Don't sign it. This part sounds fishy

and any agent with there clients decide to buy after the contract ends she is entitled to her commision.

any agent???? you're not required to sign anything. sounds like they will get a comission if you sell, say 10 years from now.
0 votes Thank Flag Link Tue Jun 10, 2008
Search Advice
Ask our community a question
Email me when…

Learn more

Copyright © 2015 Trulia, Inc. All rights reserved.   |  
Have a question? Visit our Help Center to find the answer