When it comes time to sell your home you are will probably interview a few Realtors and choose the one you are most comfortable and confident. Among the many documents you’ll sign will be some type of listing agreement or exclusive right to sell document. Most Realtors and real estate agents in Arizona use a document created by Arizona Regional Multiple Listing Service in conjunction the the Arizona Association of Realtors and ADRE. It is a 6 page employment agreement and packed full of information.
We’ve included a link to the ER form being used at the time of this article, August 2012. Since real estate documents do change you’ll want to ask your agent for the most current one to peruse before signing.
The listing contract is essentially an employment agreement between you, your Realtor and his/her brokerage. It contains a lot of information including the time frame of your employment arrangement, compensation and the duties of all parties.
Your realtor, us if you choose to work with the Urban Team, will go over the document. We like to go line by line through the form so everyone understands what is being signed and agreed. There is much to discuss and every brokerage and agent has their own way of explaining the form.
As we mentioned before, the listing contract includes a time frame which the home seller is giving the Realtor exclusive right to market and sell the home. As a home owner, you are committing to let the agent represent you during this period and by contract the term is irrevocable. Ron and I don’t really agree with this part of the form. Our feeling is that you’re our employer and if you are not happy with our work or performance you should be able to let us go and use another agent. Thus, we include language in our listing agreement that allows you to cancel our relationship in the event you are dissatisfied. It simply seems like the fair thing to do.
Another element of the listing agreement is commissions. It is a topic that deserves its own essay. Thus, we have written a separate piece that discusses commissions. You will find that article here: http://urbanteam.wpengine.com/2012/08/how-are-real-estate-commissions-paid-and-split/
We do advise people considering selling their home to read this document and get a sense of its language and the responsibilities outlined. To be honest, it is filled with lots of legalize, yet its thoroughness does keep down misunderstandings and confusion.
We hope this information has been helpful and let us know if we can answer any questions you have. We relish the opportunity to be of service.