Based on recent negotiated settlements by the National Association of Realtors, Coldwell Banker, Keller Williams and other major real estate brokerage houses, consumers are advised to review your arrangements with Realtors carefully prior to signing any commission contracts also known as listing agreements.
Whereas in the past these agreements were fairly standard, today new versions of the agreement may be confusing. For example, a homebuyer might inadvertently agree to an exclusive relationship with an agent which requires payment of a commission at closing. Even a one-half percent (0.5%) commission on a home purchase can run into thousands of dollars.
Any attorney willing to represent you in a home purchase or sale should be willing to review these new-fangled commission agreements prior to your signing them. In the past, a decision to hire an attorney was usually postponed until a contract was signed by both parties. Today, hiring an attorney in advance of your signing up with a Realtor is crucial for both buyers and sellers.
Our office has special arrangements that will allow you to retain us to review listing agreements with your Real Estate Agent which can be incorporated into your overall legal fee.
Contact us for further information about these significant changes in the law.