The Residential Sales Agency Agreement serves as the foundational document for establishing a professional relationship between property owners and licensed real estate brokerages in Canada. This agreement is essential when property owners wish to engage professional real estate services to market and sell their residential property. It encompasses crucial elements such as the scope of services, commission structures, marketing commitments, and obligations of both parties. The document must comply with provincial real estate regulations, consumer protection laws, and professional standards set by real estate councils. It includes mandatory disclosures, privacy considerations under PIPEDA, and specific provisions for the Canadian real estate market. This agreement is particularly important as it protects both the seller's and brokerage's interests while ensuring transparency and professional accountability throughout the sales process.
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1. Parties: Identification of the property owner(s) ('Seller') and the licensed real estate brokerage ('Brokerage'), including full legal names, addresses, and licensing details
2. Background: Brief context explaining the Seller's intention to sell the property and engage the Brokerage's services
3. Definitions: Key terms used throughout the agreement, including 'Property', 'Listing Period', 'Listing Price', 'Commission', and other relevant terms
4. Property Details: Complete legal description and municipal address of the property being listed for sale
5. Appointment and Authority: Grant of authority to the Brokerage to market and sell the property, including specific powers and limitations
6. Listing Period: Duration of the agreement, including start and end dates, and any provisions for early termination or extension
7. Listing Price and Terms: Agreed listing price and acceptable terms of sale, including any specific conditions or requirements
8. Commission Structure: Detailed breakdown of commission rates, payment terms, and circumstances under which commission becomes payable
9. Brokerage Services and Obligations: Specific services to be provided by the Brokerage, including marketing activities and showing commitments
10. Seller's Representations and Warranties: Seller's confirmations regarding property ownership, authority to sell, and disclosure of material facts
11. Seller's Obligations: Seller's responsibilities including property access, maintenance, and cooperation with the sale process
12. Multiple Listing Service: Terms regarding MLS listing and related services
13. Privacy and Personal Information: Consent for collection and use of personal information in accordance with PIPEDA
14. Termination: Conditions and process for terminating the agreement
15. Governing Law: Specification of applicable provincial law and jurisdiction
16. Execution: Signature blocks and dating of the agreement
1. Holdover Period: Terms regarding commission payment for sales occurring after agreement termination, used when brokerage wants to protect their interests in ongoing negotiations
2. Team Representation: Details of specific team members who will be involved in the sale, used when multiple agents will be handling the listing
3. International Marketing: Additional terms for international marketing efforts, used when property may appeal to foreign buyers
4. Virtual Tours and Digital Marketing: Specific terms regarding digital marketing methods and virtual showings, used when emphasizing online marketing
5. Dual Agency: Terms regarding potential representation of both buyer and seller, used in jurisdictions where dual agency is permitted
6. Sale of Seller's Existing Property: Coordination terms if seller's purchase of new property is conditional on sale of existing property
7. Property Management: Terms for property management during vacancy, used when property may be vacant during listing period
8. Renovation/Staging Services: Terms regarding any pre-sale renovation or staging services offered by the brokerage
1. Schedule A - Property Details: Detailed description of the property including lot size, room dimensions, and included/excluded fixtures and chattels
2. Schedule B - Marketing Plan: Detailed marketing strategy and commitments from the brokerage
3. Schedule C - Commission Schedule: Detailed breakdown of commission structures for different sale scenarios
4. Schedule D - Property Disclosure Statement: Seller's disclosure of known property conditions and issues
5. Schedule E - Service Level Agreement: Specific commitments regarding communication frequency and service standards
6. Appendix 1 - Required Agency Disclosures: Mandatory disclosures required by provincial real estate legislation
7. Appendix 2 - Photography and Marketing Authorization: Specific permissions for property photography and marketing materials
8. Appendix 3 - Personal Information Consent: Detailed consent form for handling of personal information under PIPEDA
Relevant legal definitions
Clauses
Relevant Industries
Real Estate
Residential Property
Professional Services
Legal Services
Property Management
Financial Services
Insurance
Property Development
Construction
Home Services
Relevant Teams
Legal
Compliance
Real Estate Operations
Sales
Marketing
Administrative Support
Risk Management
Document Control
Client Relations
Property Management
Relevant Roles
Real Estate Agent
Real Estate Broker
Brokerage Manager
Real Estate Legal Counsel
Property Manager
Compliance Officer
Real Estate Administrator
Sales Director
Marketing Manager
Contract Administrator
Real Estate Operations Manager
Document Control Specialist
Risk Management Officer
Client Relations Manager
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