Commission Agreement

Real estate brokers must have commission agreements in writing, signed by the principal(s), in order to legally receive compensation for their services. Verbal agreements between seller and broker are unenforceable.

A commission agreement is NOT A LISTING AGREEMENT and not an exclusive agency agreement. Exclusive agency agreements must contain an expiration date. I cannot upload the listing into the MLS with only a commission agreement.

The commission agreement states that broker will be compensated when property is sold.

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1. (i) On recordation of the deed

The residential purchase agreement the offer is written on confirms the agency relationships.

Agency Confirmation

The broker may represent seller exclusively and divide the commission with participating buyer’s agent or represent both buyer and seller as dual agent.

 

Broker Compensation

 

The broker may represent seller exclusively and divide the commission with participating buyer’s agent or represent both buyer and seller as dual agent.

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