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Commission due for "for sale" by owner?

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filmid

Guest
What is the name of your state? ORegon

We are looking at listing our home with a local realtor after having it on the market by owner. There are questions that we hope you can
resolve. We reference a standard Oregon Real Estate Contract.

In the listing agreement what does the following 2 clauses mean - literally?

"if seller sells or exchanges, or CONTRACTS to sell or exchange the
property during the term of this listing agreement or termintates this
listing prior to the above agreed upon termination date, the commission will still be paid"...

"if the property is SOLD within 6 months after the experiation of this agreement, to a buyer produced by agency or its cooperating agent during
the existence of the agreement, agency will receive their full commission." IN THIS CLAUSE, WHAT DOES THE WORD SOLD MEAN? Contracted to be sold? Closed? or other?

What are the legal requirements for paying commissions to a real estate agency when a contract expires and then a buyer that was represented by
the agency shows up with an offer later if the property is again, "for sale by owner".


Does it matter when by owner negotiations started EVEN if they were within the 6 month contract grace period as long as nothing is signed until after the 6 months grace period date has expired?

Does it matter when the agreement to purchase is signed either in or out of the 6 mos grace period as long as the property is not closed until
after the 6 months grace period?

Thank you for your assistance on these issues.
 


HomeGuru

Senior Member
filmid said:
What is the name of your state? ORegon

We are looking at listing our home with a local realtor after having it on the market by owner. There are questions that we hope you can
resolve. We reference a standard Oregon Real Estate Contract.

In the listing agreement what does the following 2 clauses mean - literally?

"if seller sells or exchanges, or CONTRACTS to sell or exchange the
property during the term of this listing agreement or termintates this
listing prior to the above agreed upon termination date, the commission will still be paid"...

"if the property is SOLD within 6 months after the experiation of this agreement, to a buyer produced by agency or its cooperating agent during
the existence of the agreement, agency will receive their full commission." IN THIS CLAUSE, WHAT DOES THE WORD SOLD MEAN? Contracted to be sold? Closed? or other?

**A: if there is a contract during the listing period.
***********

What are the legal requirements for paying commissions to a real estate agency when a contract expires and then a buyer that was represented by
the agency shows up with an offer later if the property is again, "for sale by owner".

**A: the brokerage company has earned their sales commission due to being the "procurring cause".
**********

Does it matter when by owner negotiations started EVEN if they were within the 6 month contract grace period as long as nothing is signed until after the 6 months grace period date has expired?

**A: no, it makes no difference because the Buyer was either a client or customer of the listing broker.
*********
Does it matter when the agreement to purchase is signed either in or out of the 6 mos grace period as long as the property is not closed until
after the 6 months grace period?

**A: see above.
********
Thank you for your assistance on these issues.

**A: if you have specifc questions and a specifc case, we will attempt to help you. Otherwise we frown upon responding to "what if's and situations not in existence"
 
F

filmid

Guest
Yes, this is a specific case which I am trying to resolve. I can provide additional details if that is helpful but the questions basically remain the same.

I want to avoid paying a commission on a deal by owner where the buyer was previously represented by an agent. The listing agreement expired may 22, 2002, and has a 6 months grace period following.
 
Last edited:

HomeGuru

Senior Member
Next time provide the facts such as you signed an Exclusive-Right-To-Sell listing contract.
Quit playing games. Have the listing broker write up the deal with this BUyer and pay the commission. Otherwise, you may end up in court owing more money than you think you will be saving.
 

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