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32 Cards in this Set

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listing agreement
contract of employment between a broker and a seller. It creates a special agency relationship between a broker (agent) and a seller (principal), whereby the agent is authorized to represent his or her principal's property for sale or lease, solicit offers, and submit the offers to the principal.
4 forms of listing agreements
exclusive-right-to-sell listing,
exclusive-agency listing,
open listing, and
net listing.
exclusiv right to sell listing
one broker is appointed as sole agent of the seller and is given the exclusive right, or authorization, to offer the property in question. Under this form of contract, the seller must pay the broker a commission regardless of who sells the propertyif it is sold while the listing is in effect
exclusive agency listing
only one broker is specifically authorized to act as the exclusive agent of the principal; the exclusive agent is entitled to a commission if any other broker sells the property. However, the seller under this form of agreement retains the right to sell the property himself or herself without a commission obligation to the broker.
open listing
the seller retains the right to employ any number of brokers to act as his or her agents. These brokers can act simultaneously, and the seller is obligated to pay a commission only to that broker who successfully produces a ready, willing, and able buyer. If the seller personally sells the property without the aid of any of the brokers,he or she is not obligated to pay any of them a commission. I
net listing
a listing agreement in which the broker's commission is the difference between the sale proceeds and the net amount desired by the owner of the property. The agreement can take the form of an exclusive-right-to-sell, exclusive-agency, or open listing.
multiple listing contracts
used by those brokers who are members of a multiple-listing organization. Such an organization consists of a group of brokers within an area who agree to pool their listings
OWNER
The complete legal names of all parties having an ownership interest in the property must be specified. Note the form of co-ownership.
broker or firm
The name of the broker entering into the listing contract must be stated clearly and must be the same as that on the broker's license, whether an individual or a corporate license
type of listing
This form specifies that the agency to be created is an exclusive right to sell the subject property
property description
The legal description of the property and a statement of fixtures to be included or excluded from the sale must be given
listing price
The listing price is the gross selling price to be quoted to the public. The seller sets the listing price using competitive market data supplied by the agent. The owner should clearly understand that certain sales expenses must be paid at closing.
term
This section specifies the beginning and ending dates of the listing contract.
brokerage fee
The amount of the brokerage fee is negotiated between the owner and broker.
protection period
The protection period establishes the broker's right to a fee, under certain circumstances, if the owner sells the property to one of the broker's prospects
agency relationship
The broker discloses his or her representation of the seller and the agency relationships from which a potential buyer might choose
brokers authority
The owner agrees to permit the broker to submit the property to the MLS, if the broker is a member, and to offer cooperation and compensation to other members of the MLS. Other authorizations may include advertising the property, using a lockbox, placing a yard sign, or disclosing the final sales price to MLS and taxing authorities.
seller representations
The owner certifies that no known title defects, adverse claims, or other known defects exist and that the owner has legal capacity to convey the property.
limitation of liability
The owner agrees to hold the broker harmless for any loss to the property or any lapse of insurance coverage.
agreement
The owner acknowledges that the broker will offer the property for sale according to the fair housing laws, that the listing contract has been read and understood, that a copy of the contract has been received, and that the contract is legally binding and cannot be assigned without written approval of the other party
termination of listings
fulfillment of performance by the broker;
expiration of the time period stated in the agreement;
unilateral revocation by the owner or by the broker for just cause, such as abandonment by the broker or noncooperation of the seller for showings (although either party may be liable to the other for damages);
mutual consent;
bankruptcy of the seller if title transferred to receiver;
death or incapacity of either party;
destruction of the property; and
a change in property use by outside forces (such as a change in zoning).
expiration of listing
All listings must specify a definite period during which the broker is to be employed and must have a definite termination date, as provided by the License Act
sellers disclosure notice
The owner must disclose latent structural defects or any other known structural defects. Sellers of residential property of not more than one unit must deliver a Seller's Disclosure Notice to the buyer on or before the effective date of a contract for the sale of the property
notice of additional tax liability
Sellers of vacant land must include in the sales contract a statutorily prescribed disclosure notice regarding possible liability of the purchaser for additional taxes
conditions under surface
A seller of unimproved land to be used for residential purposes must disclose the location of any transportation pipelines for natural gas and related products under the property's surface. If
Notice of Obligations Related to Membership in Property Owners' Association
A seller of residential real property that is subject to membership in a property owners' association is required to give a prospective purchaser a written notice stating that (1) the purchaser would be obligated to be a member of the association; (2) copies of restrictive covenants governing the use and occupancy of the property are filed in the county clerk's office; and (3) the purchaser would be obligated to pay assessments to the association, and failure to pay the assessments could result in a lien on and the foreclosure of the property.
Seller's Disclosure Regarding Potential Annexation
Sellers of property outside the city limits must provide a written notice to a prospective purchaser that the property "may now or later be included in the extraterritorial jurisdiction of a municipality and may now or later be subject to annexation by the municipality
Addendum for Unimproved Property Located in a Certificated Service Area of a Utility Service Provider
must give written notice to the purchaser prior to his or her signing a contract that the extension of water or sewer services might require additional expense to the purchaser and that there might be a delay in the utility's ability to provide the services.
Statutory Tax District
—A municipal utility district (MUD) is a defined geographic area usually created by a developer to provide utilities, such as water and sewer, outside a municipality. If property being sold is located within a utility district, Section 49.452 of the Texas Water Code requires the seller to furnish to the buyer a statutory notice relating to the tax rate, bonded indebtedness, or standby fee of the district prior to final execution of the contract.
texas open beach law
equires that the Gulf Coast beaches from the mean low tide to the vegetation line remain open to the public. The law requires that a contract for the sale of real property located seaward of the Gulf Intracoastal Waterway must include a prescribed statement regarding open beaches and the possibility that any structure that might become seaward of the vegetation line as a result of natural processes is subject to a lawsuit by the State of Texas for its removal.
Notice of Obligations Related to Public Improvement District (PID)
The governing body of a municipality or county may undertake an improvement project that benefits a definable part of the community or extraterritorial jurisdiction. A project may include landscaping; erecting fountains, special lighting, and signs; constructing pedestrian malls; or similar community improvement.
mold remediation certificate
After mold damage to a property has been remediated, the licensed remediation contractor issues a certificate of mold remediation