The Property Finders Fee Agreement serves as a crucial document in real estate transactions where specialized services are required to locate specific properties. This agreement is commonly used when a client requires assistance in identifying suitable properties but prefers not to engage a traditional real estate agent. The document outlines the finder's responsibilities, compensation structure, and compliance with both federal and state-specific regulations. It's particularly important in the United States where real estate transactions are heavily regulated and finder's fee arrangements must adhere to specific legal requirements. The agreement provides protection for both parties by clearly defining the scope of services and payment terms.
Property Finders Fee Agreement for the United States
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Key Requirements PROMPT example:
Property Finders Fee Agreement
"I need a Property Finders Fee Agreement for my business in California, where I'll be finding commercial properties for international investors, with a 2% fee structure and exclusive rights for properties over $5 million starting January 2025."
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1. Parties: Identification of the property finder and the client
2. Background: Context of the agreement and relationship between parties
3. Definitions: Key terms used throughout the agreement
4. Services: Detailed description of property finding services to be provided
5. Fee Structure: Amount and calculation method of finder's fee
6. Payment Terms: When and how payment will be made
7. Term and Termination: Duration of agreement and termination conditions
1. Exclusivity: Terms of exclusive rights for the finder to represent client
2. Non-Circumvention: Prevention of direct dealings between client and property sources
3. Confidentiality: Terms for handling confidential information between parties
1. Schedule A - Property Requirements: Detailed specifications of properties being sought
2. Schedule B - Fee Calculation: Detailed breakdown of fee structure and examples
3. Schedule C - Territory: Geographic area covered by the agreement
4. Appendix 1 - Required Disclosures: State-mandated real estate disclosures
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