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LISTING TERM
12 MONTHS
A 12 month contract is my standard for divorce transactions. It provides adequate time for resolution of unknowns that may slow the pace of sale, i.e., liens, judgments, bankruptcies, other active lawsuits, etc.
LISTING COMMISSION
7%
Most brokers charge 6% for standard listings. Divorce transactions are far from standard. 7% is my fee (4% for the listing broker and 3% for the selling broker), recognizing the additional work required to address communication needs across owners who are currently in an adversarial mode as well as their attorneys and the need to engage in the litigation process if the parties do not agree on things such as listing price, counteroffers, contract terms etc.
REIMBURSABLE EXPENSES
AGENT WILL BE REIMBURSED FOR THE COST OF THE HOA RESALE PACKET, PROPERTY SURVEY, REPAIRS, AND HAULING TRASH, IF NEEDED.
The cost of these items will be paid by agent or title company in the event they are needed to avoid disputes between the parties on who pays.
SPECIAL PROVISION 1
5.A.(1) WILL INCREASE FROM 7% TO 8% ON DAY XX OF THE LISTING AGREEMENT IF THE PROPERTY IS NOT UNDER CONTRACT.
The additional 1% special provision at day XX is used to ensure one or both parties is/are not working to self-sabotage the sale of the home - by declining showing requests, presenting the home in a cluttered or unclean condition, failing to make repairs as needed, delays on offer decisions, delays on signing documents, refusing to vacate home during showings, etc. (Example; Given that in the past 6 months the average days on market for sold homes in this neighborhood is 90, the house should be under contract in less than 120 days).
I have not yet had to enforce this provision, but feel it necessary to ensure parties remain motivated to sell.
SPECIAL PROVISION 2
LISTING TERMINATION FEE: IN THE EVENT SELLER(S) ELECTS TO KEEP THE HOUSE FOR ANY REASON NOT LIMITED TO (RECONCILIATION, BUY-OUT, ASSET OFFSET, REFINANCE, AWARDED BY THE COURT, ETC) THE SELLER(S) RETAINING THE HOUSE WILL PAY A FEE EQUAL TO 2% OF THE LIST PRICE, DUE TO BROKER IMMEDIATELY UPON CANCELLATION/TERMINATION OF THE LISTING.
The 2% listing termination fee is a reimbursement for the time and effort devoted to the transaction.
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