Real Estate Agency Agreement 

This Real Estate Agency Agreement (“Agreement”) is made on [Date], by and between: 

• Client: [Full Name or Company Name], with a principal address at [Address] (hereinafter referred to as “Client”), 

• Agent: [Real Estate Brokerage/Agent Name], with a principal address at [Address], licensed under [State License/Reg. No.], (hereinafter referred to as “Agent”). 

Each may be referred to as a “Party,” and collectively as the “Parties.” 

1. Purpose and Scope 

1.1 Representation 

The Client hereby retains the Agent to [choose one: list the property for sale, assist in purchasing/leasing, or manage rental property], subject to the terms and conditions set forth in this Agreement. 

1.2 Exclusive or Non-Exclusive 

• Exclusive Agency: The Client agrees to work exclusively with the Agent for the duration of this Agreement regarding the specific real estate transaction(s) described herein. 

• Non-Exclusive (if applicable): The Client may engage other brokers or handle transactions personally. 

(Select the applicable clause above or clarify exclusivity in a separate paragraph.) 

2. Term and Termination 

2.1 Term 

This Agreement commences on [Start Date] and will continue until [End Date or “until completion of the real estate transaction”], unless earlier terminated as provided below. 

2.2 Termination 

Either Party may terminate this Agreement by providing [Number of Days] written notice to the other Party. In certain jurisdictions, specific legal provisions may dictate termination rights and procedures. 

2.3 Survival of Certain Obligations 

If the Client terminates after the Agent has procured a ready, willing, and able buyer/tenant (or found a suitable property if representing a buyer/lessee), certain commission obligations may survive as detailed in Section 4 below. 

3. Duties of the Parties  

3.1 Agent’s Duties 

• Marketing and Promotion (if listing): List the property in [Multiple Listing Service (MLS)] if applicable, advertise the property, schedule showings, and use reasonable efforts to find a qualified buyer/tenant. 

• Property Search and Advice (if buyer/tenant representation): Identify suitable properties meeting the Client’s criteria, schedule viewings, provide market data. 

• Disclosures: Comply with all legal disclosure requirements and follow real estate laws of [State]. 

• Negotiation: Negotiate terms of purchase, sale, or lease on behalf of the Client. 

• Fiduciary Duties: Exercise loyalty, confidentiality, and care while acting in the Client’s best interests (subject to local agency law). 

3.2 Client’s Duties 

• Cooperation: Provide the Agent with accurate information about the property or search criteria, allow timely access for showings or inspections. 

• Disclosure: Disclose known material facts about the property if selling/leasing. 

• Legal/Financial Verification: Consult professionals (attorneys, accountants, inspectors, etc.) for specific legal, tax, or technical advice as needed. 

4. Commission and Compensation 

4.1 Commission Structure 

• If Listing for Sale: The Client agrees to pay the Agent a commission of [Percentage %] of the gross sale price, or a flat fee of $[Amount], upon successful closing. 

• If Buyer Representation: Commission is [Percentage %] or $[Amount], often payable by the seller under MLS agreements. If not, the Client may be responsible for paying the difference or entire fee. 

• If Rental/Lease: The commission may be [Percentage of annual rent] or $[Amount], payable upon execution of the lease or as governed by local laws/custom. 

4.2 Earned Commission 

• The commission is deemed earned when the Agent has facilitated a legally enforceable contract of sale/lease under terms acceptable to the Client, or when the Client completes a transaction with a buyer/lessee procured by the Agent during the term. 

• Additional scenarios (e.g., extension after listing expires, but with a buyer introduced by the Agent) may be governed by a “protection period” clause if included. 

4.3 Payment Terms 

The commission/fee shall be paid at closing (for a sale) or at lease signing/occupancy (for rentals), unless otherwise specified. 

5. Disclosures and Acknowledgements  

5.1 Agency Disclosure 

Agent and Client acknowledge that state law may require disclosure of the agency relationship (e.g., buyer’s agent, seller’s agent, dual agent, etc.). If dual agency is allowed, informed consent must be obtained in writing. 

5.2 Fair Housing 

The Parties acknowledge compliance with all fair housing laws, and no party shall discriminate based on race, color, religion, sex, handicap, familial status, national origin, or other protected classes per federal or state law. 

5.3 Property Condition (if listing for sale/lease) 

The Agent shall not be held responsible for undisclosed defects or issues unknown to them. The Client warrants that known material defects have been or will be disclosed as required by law. 

6. Limitation of Liability 

To the extent permitted by law, neither Party shall be liable for incidental or consequential damages arising out of this Agreement. The Agent’s liability is typically limited to direct damages up to the commission received, except in cases of willful misconduct or as otherwise mandated by local law. 

7. Governing Law and Dispute Resolution 

7.1 Governing Law 

This Agreement shall be governed by and construed in accordance with the laws of [State]. 

7.2 Dispute Resolution 

Any dispute, claim, or controversy arising out of or relating to this Agreement may be resolved through [court litigation in (County, State), or alternative dispute resolution such as mediation/arbitration, if agreed by the Parties]. 

8. Entire Agreement and Amendments 

8.1 Entire Agreement 

This Agreement represents the entire understanding of the Parties regarding the subject matter herein and supersedes all prior discussions or agreements, whether oral or written. 

8.2 Amendments 

No modification or waiver of any provision shall be valid unless in writing and signed by both Parties.