I am eager to get started using my new found business model but am confused about what forms to use for a FSBO who only wants MLS and negotiation or even a seller who wants limited items. Given that I will enter something in the MLS (if that is what they want), I only have the form covering the exclusive right to sell.
I hope the question doesn't seem too silly but any help would be appreciated.
Thanks, Brenda
This page contains a single entry by Brenda Mullen published on April 12, 2011 9:02 PM.
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Brenda, I'll leave it to the Texas ACREs to address this specifically but typically, you would attach a rider to your Exclusive Right to Sell. In the rider you would spell out specifically what tasks you are going to perform and how and when you will be paid.
On the Exclusive Right to Sell where it asks for commission, you would write in "See Rider A".
ACREs: please chime in and help Brenda out.
Oh, one more thing Brenda: on the Coaching Exchange, there are NO silly questions.
Take a look at TAR 1403 the Exlcusive Agency Addendum to Listing. This may work for a FSBO help situation on the listing side. I will look into this more as I have time, because it is a very valid question and point that needs clarifying. My best friend's dad passed away early this morning and I am knee deep in funeral planning and taking care of my friend, so I will get on this in a couple of days when things calm down a bit.
Hi Jeani,
I am sorry about your friend's father. You have my prayers as you help your friend through this difficult time.
I did look at TAR 1403, but it doesn't really look like it fits. It seems to discuss in more detail about exempted prospects rather than anything we could use for a FSBO.
Didn't there used to be a one or two page contract or addendum we could use for a FSBO under the older MLS system we had?
I will keep researching and I look forward to your input when you get a chance.
Again, my prayers will be with you and your friend.
Thanks Brenda! There is a registration agreement between a seller and a broker that we use for FSBOs but I was looking over that form earlier today and wasn't sure it was right for the job either. More research to do to find a viable solution!
Brenda, I don't know your states forms, but doesn't the listing contracts offer a place for your fees with either a percentage of sale price OR where you can stipulate a dollar amount? NC's does, and there, I either put in a flat amount for a listing/negotiation fee or, as others have said, insert "see rider" and list my services and fees on it, which the sellers would sign/initial (as required by state laws)
Another point on the subject. While consulting is open to all kinds of services you can perform for a seller, you can limit what you'll do. By that, I mean, you may want to develop a list of services that you are comfortable doing that doesn't conflict too much with your existing contracts.
For example, I've chosen to offer only two options to sellers that want to list, either an upfront flat fee or a traditional commission structure. Either way, they get full service, but the flat fee is a potential for huge savings on their part (if they are willing to take the risk). I chose this because an a la carte or hourly fee for listing services just complicates the listing agreement form in NC (at least, to me).
Hope it helps
Thank you everyone for chiming in! I will take a look at that Roger. I am still in the new process of trying to figure out fees and what I will offer to the client. One thing that is pretty cool about this, (IMO), is that now I can approach FSBOs with a bit more confidence :) and expired listings as well. Both want to sell, but both are probably a bit turned off by the whole traditional Realtor approach as either it hasn't worked for them or they just honestly think they can do better on their own :).
Although I am excited about using this, (and my Broker has zero issue with it), I need to make sure I am following our State's rules on the matter. I so truly don't want to get into any trouble :)!
So, send on the advice :)!
Jeani, thanks....and I really admire you for being there for your friend. I know that deaths in the family can be rough time for all.
Brenda
Most brokers have access to legal counsel for issues such as this and I would highly recommend you consult with one. Your local Real Estate Association may also be ablw to give you guidance through their legal council.
My experience is broker and association counsel are availble at no cost to members.
We typically use the Exclusive Agency Addendum along with an addendum outlining what services will be provided.
Tom