A Real Estate Finder's Fee Agreement is essential when engaging individuals or companies to locate suitable properties or buyers/tenants. This document is commonly used in the United States real estate market to protect both the finder's interests in receiving compensation and the client's interests in defining specific requirements and conditions. The agreement must comply with state-specific licensing requirements and federal regulations, particularly in jurisdictions where finders must be licensed real estate professionals. It typically includes detailed service descriptions, fee structures, payment triggers, and any exclusivity arrangements.
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1. Parties: Identification of the finder and the property owner/client
2. Background: Context of the agreement and relationship between parties
3. Definitions: Key terms used throughout the agreement including 'Finder's Fee', 'Property', and 'Prospective Buyer'
4. Services: Detailed description of finder's services and obligations
5. Fee Structure: Amount and payment terms of the finder's fee
6. Term and Termination: Duration of agreement and termination conditions
7. Representations and Warranties: Statements of fact and promises by both parties
1. Exclusivity: Terms of exclusive rights for the finder to provide services for specific properties or clients
2. Non-Circumvention: Prevention of direct dealings between owner and introduced parties without finder's involvement
3. Confidentiality: Terms regarding protection and non-disclosure of confidential information shared during the engagement
1. Schedule A - Property Details: Description of target properties or investment criteria
2. Schedule B - Fee Calculation: Detailed breakdown of fee structure and calculation method
3. Schedule C - Required Qualifications: List of required licenses or certifications, if applicable
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