Most States Require That A Real Estate Listing Agreement Contain
When you're selling a property, a real estate listing agreement is an essential document that you'll need to sign. This agreement outlines the terms and conditions of the sale, as well as the responsibilities of both the seller and the agent.
However, not all listing agreements are created equal. In fact, most states have specific requirements for what must be included in a real estate listing agreement.
Property Description
The first thing that most states require in a real estate listing agreement is a detailed description of the property being sold. This description should include the address, the legal description of the property, and any other relevant details, such as the size of the lot or the number of bedrooms and bathrooms.
Listing Price
Another important element that must be included in a real estate listing agreement is the listing price. This is the price at which the property will be listed for sale, and it's an essential piece of information for both the seller and the agent.
Commission
The commission that will be paid to the agent is also a critical part of the real estate listing agreement. This is the amount of money that the agent will receive for their services, and it's typically a percentage of the final sale price.
Duration of Listing
Most states also require that the real estate listing agreement specify the duration of the listing. This is the amount of time that the property will be listed for sale, and it's typically between three and six months.
Terms of Sale
The terms of the sale are also an essential part of the real estate listing agreement. This includes any contingencies or conditions that must be met before the sale can be completed, such as a home inspection or financing approval.
Exclusive Right to Sell
Many states also require that the real estate listing agreement include an exclusive right to sell clause. This means that the agent has the exclusive right to sell the property during the duration of the listing, and the seller cannot work with any other agents during this time.
Agency Disclosure
Finally, most states require that the real estate listing agreement include an agency disclosure. This is a statement that outlines the relationship between the agent and the seller, as well as any potential conflicts of interest.
Overall, a real estate listing agreement is a critical document that must contain specific information required by state law. If you're selling a property, it's essential to work with a qualified agent who can help you navigate these requirements and ensure that your listing agreement is complete and accurate.