Types for Real Estate Sales

Types for Real Estate Sales

A variety of forms are used in a property sale. A real estate agent is generally enlisted to help in the sale and is responsible for ensuring all forms are executed. Unless otherwise negotiated, the vendor is usually the one responsible for paying the real estate agent’s commission if the home sells. States have various laws that govern the selling of property, and at times require various forms. It’s wise to hire an attorney to review all forms before signing them.

Exclusive Listing

Prior to set your house, a real estate agent will require you to complete and sign an Exclusive Right to Sell Contract. Essentially, the contract says you will pay a specified commission to the real estate agent upon the sale of the home. It also states you will use only the named property agent to sell your property.

Franchise Disclosure

In the event the real estate brokerage you’re working with has a connection with a third party franchise, the brokerage must disclose this connection. Sometimes a brokerage might have a monetary interest in a lending, name or other company that a vendor might decide to use in the real estate trade. The brokerage must produce a form suggesting the third party interest, and sellers must sign, admitting the connection.

Seller’s Disclosure

Federal property laws require vendors to complete a Seller’s Disclosure and State of Property Addendum. The form requires vendors to disclose the present condition of the house, details regarding HVAC and other systems, and problems with the property where the vendor is aware.

Lead-Based Paint

Sellers of homes built before 1978 must complete and sign a Lead-Based Paint Disclosure Addendum. The form requires vendors to disclose or deny knowledge of lead-based paint on the house. Buyers are required to acknowledge receipt of this information and determine if they will waive the opportunity to execute lead-based paint inspections.

Multiple Listing Service

Often sellers are required to complete a Multiple Listing Service, or MLS, form. It details the description and place of this house to be listed for sale. MLS is a somewhat standard service provided during the U.S.. It encircles certain metro areas and enables the sharing and viewing of property listings by property professionals and others who subscribe to this ceremony. The MLS form assists the real estate agent in correctly listing the home in the MLS system.

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