An individual or firm licensed to arrange real estate transactions, matching property buyers and sellers or tenants and landlords, while earning a commission for services rendered.
A broker protection clause, often referred to as an extender clause, allows a real estate agent to earn a commission after the expiration of the listing contract if the agent introduced the buyer during the contract period.
The term brokerage encompasses both the business operations of brokers and the commissions they earn through these services. Brokers act as intermediaries, facilitating transactions and charging fees for their expertise.
A Buyer's Agency Agreement is a contract that establishes the relationship between a potential buyer and a Buyer's Broker, where the broker represents the buyer's interests in real estate transactions.
A buyer's broker, also known as a buyer's agent, is a real estate professional hired by a prospective purchaser to locate an acceptable property for purchase and negotiate with the seller in the purchaser’s best interest.
A commercial mortgage banker is a professional in the business of originating commercial mortgage loans, typically earning a commission based on a small percentage of the loan amount.
Commission is the amount earned by a real estate broker for services performed, typically calculated as a percentage of the property's sale price.
Compensation in real estate refers to money or other property paid to individuals or entities in exchange for services rendered, goods provided, or contractual obligations fulfilled. It encompasses wages, commissions, payment for real estate contracts, and property exchanges.
A licensed broker who provides brokerage services for a lower commission than that typically charged in the market, often offering less extensive services or unbundled service options.
An exclusive (agency) listing is a written employment contract giving a single brokerage firm the right to sell a property within a specified time frame while also allowing the property owner to sell the property independently without paying a commission.
A finder's fee refers to money paid to an individual who identifies or connects a buyer and seller or lender and borrower, facilitating a transaction. While finder's fees are permissible in certain jurisdictions under specific conditions, they cannot be substantial and get mistaken for a broker's commission.
An Incentive is an added inducement or reward for successful performance. It is generally offered to better align the interests of an agent or employee with that of the principal or employer in a real estate context.
A Listing refers to the agreement between a real estate agent and a property owner that authorizes the agent to act as the owner's representative in the sale of the property.
A Listing Broker (Agent) is a licensed real estate professional who secures a listing of the property on behalf of the property owner for the purpose of marketing and selling the property. The Listing Broker is responsible for representing the seller in negotiation and facilitating the sale.
A nonexclusive listing allows multiple real estate agents to market a property simultaneously. This gives the property owner the flexibility to sell through any agent and pays commission only to the agent who successfully sells the property.
Override refers to a fee paid to someone higher in the organization, or a percentage paid from earnings for additional expertise or management oversight.
A Pocket Listing is a real estate term referring to the practice of holding back a property from being listed in the Multiple Listing Service (MLS) in order to find a buyer within the listing broker's network, thereby retaining the full commission.
A Protection Clause, also known as a Broker Protection Clause, is an agreement within a listing contract that ensures a real estate broker will be paid their commission if a property is sold to certain individuals, even after the expiration of the listing agreement.
A real estate agent is a licensed professional who represents buyers or sellers in real estate transactions. Real estate agents are generally compensated on a commission basis and operate under the supervision of a real estate broker.
