Employment Agreements & Other Contracts Flashcards
A written employment contract in which the buyer agrees to pay the broker compensation to assist the buyer in locating and acquiring property. Also called buyer representation agreement
Buyer broker agreement
Refers to a property that is not available for showing or sale until a later date
Coming soon listing
Compensation paid to a broker for services in a real estate transaction; usually a percentage of the sales price, rather than a flat fee
Commission
A promise often given by the seller of a business not to compete with the buyer of the business in an agreed area for a specified time
Covenant not to compete
A contract between a broker and a client (buyer, seller, landlord, or tenant) that establishes the terms of the relationship
Employment agreement
A listing agreement where the broker is given the exclusive right to sell property, but the owner reserves the right to sell the property on their own without payment of any commission
Exclusive agency listing
A written listing agreement where the seller contracts with only one broker to sell the property; may be an exclusive agency agreement or an exclusive right to sell agreement
Exclusive listing
A listing agreement where the broker is entitled to collect a sales commission regardless of who sells the property, including a sale by the owner of the property
Exclusive right to sell listing
A listing agreement in which the seller sets a net amount he or she is willing to except for the property; if the actual selling price exceeds that amount, the broker is entitled to keep the excess as commission; discouraged in most states and illegal in many
Net listing
A non-exclusive listing, given by a seller to as many brokers as he or she chooses. If the property is sold, a broker is entitled to a commission only if he or she is the procuring cause of the sale
Open listing
The right to buy, sell, Elise, rent, or exchange real property for specific terms within a specified time frame this is a unilateral contract binding only the seller
Option
Money given by the optionee to the optionor at the time the option is granted
Option money
A property for which a broker holds a signed listing agreement with a seller that is not entered into the multiple listing service MLS
Pocket listing
A right that gives the holder the chance to buy or lease property if the owner decides to sell or lease it after receiving a bona fide offer from a third-party
Right of first refusal
The federal law that makes it illegal for real estate brokers to set uniform commission rates (price fixing) And prohibits other acts of collusion that could limit free competition in the marketplace
Sherman antitrust act
