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Commission Agreement (Real Estate)
"I need a Real Estate Commission Agreement for an exclusive 6-month listing of a luxury apartment complex in Jakarta, Indonesia, with a tiered commission structure starting at 3% for the first IDR 10 billion and 5% for amounts above that, commencing March 1, 2025."
1. Parties: Identification of the property owner/seller and the real estate agent/broker, including complete legal names, addresses, and any relevant license numbers
2. Background: Context of the agreement, including the owner's intention to sell/lease the property and appointment of the agent
3. Definitions: Key terms used throughout the agreement, including 'Property', 'Commission', 'Closing', 'Listing Period', etc.
4. Appointment and Authority: Formal appointment of the agent and scope of authority granted
5. Property Details: Complete description of the property subject to the agreement, including address and registration details
6. Agent's Services and Obligations: Detailed list of services to be provided by the agent, including marketing, showing property, negotiating, etc.
7. Owner's Obligations: Property owner's responsibilities and commitments during the listing period
8. Commission Structure: Detailed explanation of commission rates, calculation method, and qualifying transactions
9. Payment Terms: Timing and method of commission payment, including conditions precedent
10. Term and Termination: Duration of the agreement, renewal terms, and termination conditions
11. Representations and Warranties: Standard declarations by both parties regarding their capacity and authority
12. Governing Law: Specification of Indonesian law as governing law and relevant jurisdictional details
13. Dispute Resolution: Process for resolving disputes, including mediation and arbitration provisions
14. General Provisions: Standard boilerplate clauses including notices, amendments, and severability
1. Exclusivity: Section defining whether the appointment is exclusive or non-exclusive, used when parties want to explicitly address agent exclusivity
2. Post-Termination Obligations: Section covering obligations that survive after agreement termination, used for protecting commission rights for pending transactions
3. Marketing Budget: Section detailing marketing expense arrangements, used when specific marketing commitments are required
4. Performance Targets: Section setting specific performance metrics for the agent, used in high-value properties or long-term agreements
5. Sub-Agents: Section governing the appointment and management of sub-agents, used when sub-agents are permitted
6. Insurance Requirements: Section specifying required insurance coverage, used for high-value properties or when required by local regulations
1. Property Description Schedule: Detailed description of the property including lot size, building specifications, and amenities
2. Commission Rate Schedule: Detailed breakdown of commission rates for different transaction types or value ranges
3. Marketing Plan: Detailed marketing strategy and activities to be undertaken by the agent
4. Required Documentation: List of documents required from both parties for property transactions
5. Agent's License and Credentials: Copies of agent's professional licenses and certifications
6. Property Ownership Documents: Copies of relevant property ownership certificates and documentation
Authors
Real Estate
Property Development
Commercial Property
Residential Property
Real Estate Investment
Property Management
Construction
Housing Development
Retail Property
Industrial Property
Hospitality
Mixed-use Development
Legal
Real Estate
Sales
Business Development
Operations
Compliance
Property Management
Asset Management
Contract Administration
Transaction Management
Real Estate Agent
Property Broker
Real Estate Manager
Property Manager
Sales Director
Business Development Manager
Legal Counsel
Contracts Manager
Property Developer
Asset Manager
Real Estate Operations Manager
Compliance Officer
Real Estate Transaction Manager
Property Sales Executive
Commercial Real Estate Broker
Residential Property Consultant
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