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Question for the realtors on here...broker compensation

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    Question for the realtors on here...broker compensation

    we are selling a lot in the Comanche Harbour area of Lake Granbury. It was my FIL's and my wife inherited it after his passing. apparently, you need 2 lots to build on, ours is next to a HOA owner property that is also up for sale.

    a realtor sent over a listing contract and I am concerned over the verbiage about seller payment to broker. I have no qualms paying broker when property sells... however, the verbiage is a tad confusing.... is this a normal compensation description???

    thanx folks,





    5. BROKER COMPENSATION:
    A. When earned and payable, Seller will pay Broker:
     (1) % of the sales price.
    x (2) 1000.00 .
    B. Earned: Broker's compensation is earned when any one of the following occurs during this Listing:
    (1) Seller sells, exchanges, options, agrees to sell, agrees to exchange, or agrees to option the Property to anyone at any price on any terms;
    (2) Broker individually or in cooperation with another broker procures a buyer ready, willing, and able to buy the Property at the Listing Price or at any other price acceptable to Seller; or (3) Seller breaches this Listing.
    C. Payable: Once earned, Broker's compensation is payable either during this Listing or after it ends at the earlier of:
    (1) the closing and funding of any sale or exchange of all or part of the Property;
    (2) Seller's refusal to sell the Property after Broker’s compensation has been earned;
    (3) Seller’s breach of this Listing; or
    (4) at such time as otherwise set forth in this Listing.
    Broker's compensation is not payable if a sale of the Property does not close or fund as a result of:
    (i) Seller's failure, without fault of Seller, to deliver to a buyer a deed or a title policy as required by the contract to sell;
    (ii) loss of ownership due to foreclosure or other legal proceeding; or
    (iii) Seller's failure to restore the Property, as a result of a casualty loss, to its previous condition by the closing date set forth in a contract for the sale of the Property.

    #2
    Yes, it’s normal. All will be a little different, but yes they all seek to protect the broker against the seller trying to slide out of paying a commission.

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      #3
      thanx,

      I hadn't dealt with real estate contract in many years and wasn't sure. kinda figured they were covering their backside.

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        #4
        ttt

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          #5
          Normal.

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