Our Listing Team loves answering questions from our Seller clients. In fact, all of us on the team are naturally curious, so it makes complete sense that we enjoy digging into Q&A! We regularly encounter the commonplace, “have you heard back from the agent who showed my home yesterday?” to the more in-depth, “What does this ‘survival’ clause mean in my Listing Agreement paperwork?” Whoa. The first time I heard that question, I was thrown for a loop. I was newer to real estate, about a year in the business, and if I’m bring honest, had NEVER read a Georgia Exclusive Seller Listing Agreement from cover-to-cover. What’s a gal to do? Thankfully, I have a fairly high sense of urgency, and I’m type A, so (not surprisingly) I dug right in.
Below are the everyday answers to some confusing wording in the GAR (Georgia Association of Realtors) Exclusive Seller Listing Agreement:
Q: What determines if/when I owe the listing brokerage a commission, providing that a sale does not occur?
Listing Agreement reference: B6a., “Corresponding Paragraphs for Section A”; “Commission”, page 3
A: The agreed upon commission, found at the bottom of page 1 of the Listing Agreement, is payable to The Peters Company if a sale does not happen after the result of ALL of the following events occur: offer includes the purchase price after closing costs and fees other than real estate commission and property taxes is at least the full listing price AND is to be paid in cash at closing, the offer is NOT subject to ANY contingencies, the offer is not subject to warranties other than what’s listed in the Sellers Property Disclosure Statement and that the property has good/marketable title, AND that the offer’s closing date is exactly 30 to 45 days from the date of the offer.
Q: What does “survival” mean (regarding commission)?
Listing Agreement reference: B6c., “Corresponding Paragraphs for Section A”; “Commission”; “Survival”, page 3
A: Survival – should the Listing Agreement expire while the home is under contract, and the property closes after the Listing Agreement expires, the commission shall “survive” the expiration of the Listing Agreement. (i.e. if the agreement expires on January 1st and closing is on January 5th, commission is still payable.)
Q: Can I terminate this Listing Agreement at any time? What happens?
Listing Agreement reference: C1., “Other Terms and Conditions”; “Seller Default”, page 5
A: As the seller, you are more than welcome to terminate this Listing Agreement should you find our level of skill and care not up to par. Please note that this paragraph explains that should the termination of this agreement be initiated by the seller, you are responsible for payment of certain out-of-pocket marketing costs, including (if applicable): staging consult fee, photography fee, printing fees, and MLS withdrawal fees of $50 total ($25 each to Georgia MLS and First MLS).
If you’re looking for a team that is highly attentive to detail (*raises hands*), give us a call today (678.921.1470)! We, at The Peters Company, look forward for the opportunity to serve you AND answer your real estate queries!
- Christina Rotolo