WHO ARE THE PRINCIPAL PARTIES LIKELY TO BE IN MY RESIDENTIAL REAL ESTATE TRANSACTION, AND WHAT ROLE WILL EACH PARTY PLAY?
Generally speaking, the parties involved in a residential real estate transaction, and their respective roles, are as follows: A. THE LISTING REAL ESTATE AGENT — The listing real estate agent (or seller’s agent) is a licensed real estate salesperson who, acting on behalf of a real estate brokerage company for which he or she works enters into a Listing Agreement with the owner of a house. In a Listing Agreement, the listing agent agrees to assist the owner in selling the house and the owner agrees to pay the listing agent for his or her efforts. Compensation to the agent usually takes the form of a commission which is paid if and when the sale of the house closes, and it is calculated as a percentage of the purchase price of the home. Generally, although a seller will deal with an individual agent, the agent is acting on behalf of a real estate brokerage company, and the Seller’s agreement is with the company, not the individual. The listing agent’s role is to assist the seller in mar
