Real Estate Finder's Fee Agreement Template - Professional Sample Templates Ideas

A real estate finders fee agreement is a legally binding contract between a property owner and a real estate finder. It outlines the terms and conditions under which the finder will receive a commission for introducing a potential buyer or tenant to the property owner. This agreement is crucial for ensuring that both parties understand their rights and responsibilities, preventing misunderstandings and disputes.

Essential Elements of a Real Estate Finders Fee Agreement

Free Finder’s Fee Agreement: Make & Download – Rocket Lawyer

1. Parties Involved: Clearly identify the property owner and the real estate finder. Include their full names and contact information.
2. Property Description: Provide a detailed description of the property, including its address, size, type (e.g., residential, commercial), and any unique features.
3. Finder’s Fee: Specify the amount of the finder’s fee. It can be a fixed percentage of the sale price or rental income, or a flat fee. Clearly indicate if the fee is calculated on the gross or net amount.
4. Payment Terms: Outline the payment schedule, including when the fee is due and how it will be paid (e.g., check, wire transfer).
5. Term of Agreement: Define the duration of the agreement. Specify whether it is for a specific period or until the property is sold or leased.
6. Exclusivity: Determine if the agreement grants the finder exclusive rights to represent the property. If so, specify the duration of the exclusivity period.
7. Marketing and Advertising: Clearly outline the responsibilities of both parties regarding marketing and advertising the property.
8. Termination Clause: Include a clause that outlines the conditions under which either party can terminate the agreement.
9. Dispute Resolution: Specify the method for resolving disputes, such as mediation or arbitration.
10. Governing Law: Indicate the jurisdiction that will govern the agreement.

Design Elements for a Professional Real Estate Finders Fee Agreement

To convey professionalism and trust, consider the following design elements:

Clear and Concise Language: Use simple, straightforward language that is easy to understand. Avoid legal jargon that may confuse the parties.

Consistent Formatting: Maintain consistent formatting throughout the agreement, using headings, bullet points, and numbering to improve readability.

Professional Layout: Choose a clean and professional layout that is easy on the eyes. Use a font that is easy to read, such as Arial or Times New Roman.

White Space: Use ample white space to create a visually appealing document. This makes the agreement easier to read and understand.

Branding: If the real estate finder has a brand, incorporate their logo and branding elements into the agreement.

Electronic Signature: Consider using electronic signatures to expedite the signing process and reduce the need for paper copies.

Additional Considerations

Review by Legal Counsel: It is highly recommended to have the agreement reviewed by an attorney to ensure that it complies with all applicable laws and regulations.

Amendments: If changes need to be made to the agreement, ensure that both parties agree to the amendments in writing.

Record Keeping: Maintain a copy of the signed agreement for your records.

By carefully considering these elements, you can create a professional real estate finders fee agreement that effectively protects the interests of both the property owner and the real estate finder.