When it comes to the buying and selling of property, one of the most important legal documents is a sole mandate agreement. This agreement is essentially a contract between a seller and a real estate agent, giving that agent exclusive rights to market and sell the property.
Let`s take a look at an example of a sole mandate agreement to better understand what this document entails.
SOLE MANDATE AGREEMENT
This agreement is made on [insert date], between [insert name of seller] (“Seller”), and [insert name of real estate agent] (“Agent”).
1. Exclusive Right to Sell
The Seller hereby grants the Agent the exclusive right to market and sell the property located at [insert address] (“Property”). The Agent shall have the sole right to advertise, list, and show the Property to potential buyers during the term of this agreement.
This agreement shall commence on [insert start date] and shall terminate on [insert end date]. The Seller understands that during the term of this agreement, they may not list or sell the Property with any other real estate agent or agency.
The Seller agrees to pay the Agent a commission of [insert percentage] of the sale price of the Property. This commission shall be due at the time of closing and shall be disbursed according to the terms of the purchase agreement.
4. Obligations of the Agent
The Agent shall use their best efforts to market and sell the Property during the term of this agreement. This shall include but not be limited to advertising on multiple platforms, hosting open houses, and communicating regularly with potential buyers.
5. Obligations of the Seller
The Seller agrees to cooperate with the Agent throughout the selling process. This shall include but not be limited to providing access to the Property for showings, promptly responding to inquiries from potential buyers, and maintaining the Property in a presentable condition.
This agreement may be terminated by either party upon written notice to the other party. However, the exclusive right to sell shall continue for a period of [insert number] days following termination, during which time the Agent shall have the right to collect their commission if the Property is sold to a buyer who was introduced to the Property by the Agent during the term of this agreement.
7. Governing Law
This agreement shall be governed by and construed in accordance with the laws of [insert state/country].
In conclusion, a sole mandate agreement is an essential document for both sellers and real estate agents. This agreement ensures that the agent has the exclusive right to market and sell the property, while the seller is protected from having to pay multiple commissions to different agents. As with any legal document, it is important to fully understand the terms and obligations outlined in the agreement before signing.
Categorised in: Uncategorized
This post was written by breadandbutter