Some state real estate commissions require the use of a buyout addendum when a real estate broker enters into a contract to purchase a property: i) concurrent with the listing of such property; ii) as an inducement or to facilitate the property owner's purchase of another property; or iii) continues to market that property on behalf of the owner under an existing listing contract.
It is generally recommended that a real estate broker use such an addendum when he/she continues to market the property and is only agreeing to buy it to make the deal. If a licensee actually wants to own the property, using the addendum does not solve the conflict of interest.
This form is a generic example that may be referred to when preparing such a form for your particular state. It is for illustrative purposes only. Local laws should be consulted to determine any specific requirements for such a form in a particular jurisdiction.
Kansas Real Estate Broker Buyout and Price Addendum to Contract to Buy and Sell Real Estate is a legally binding document used in real estate transactions in the state of Kansas. It outlines the terms and conditions agreed upon between the buyer, the seller, and the real estate broker involved in the transaction. The primary purpose of the Kansas Real Estate Broker Buyout and Price Addendum is to address specific provisions related to the broker's compensation and potential buyout options. This addendum protects the rights and investments of the brokers involved, as well as provides clarity to all parties involved in the transaction. There are different types of Kansas Real Estate Broker Buyout and Price Addendums available, depending on the specific circumstances of the transaction: 1. Fixed Price Buyout Addendum: This type of addendum sets a predetermined amount that the broker will receive upon completion of the real estate transaction. The amount remains fixed regardless of any changes in the original purchase price or market conditions. 2. Sliding Scale Buyout Addendum: This addendum calculates the broker's compensation based on a sliding scale that correlates with the final sales price of the property. The higher the sales price, the higher the commission for the broker. 3. Percentage-Based Buyout Addendum: In this type of addendum, the broker's compensation is calculated as a percentage of the final sales price. The percentage is agreed upon between the broker and the client and is typically outlined in the original listing agreement. 4. Contingency Buyout Addendum: This addendum stipulates that the broker's compensation is contingent on the successful completion of the real estate transaction. If the sale falls through for any reason, the broker may not be entitled to any compensation. Regardless of the specific type of Kansas Real Estate Broker Buyout and Price Addendum used, it is crucial for all parties involved to fully understand the terms and conditions outlined in the document. It is recommended that buyers, sellers, and brokers seek legal advice before signing the addendum to ensure their rights and interests are protected.Kansas Real Estate Broker Buyout and Price Addendum to Contract to Buy and Sell Real Estate is a legally binding document used in real estate transactions in the state of Kansas. It outlines the terms and conditions agreed upon between the buyer, the seller, and the real estate broker involved in the transaction. The primary purpose of the Kansas Real Estate Broker Buyout and Price Addendum is to address specific provisions related to the broker's compensation and potential buyout options. This addendum protects the rights and investments of the brokers involved, as well as provides clarity to all parties involved in the transaction. There are different types of Kansas Real Estate Broker Buyout and Price Addendums available, depending on the specific circumstances of the transaction: 1. Fixed Price Buyout Addendum: This type of addendum sets a predetermined amount that the broker will receive upon completion of the real estate transaction. The amount remains fixed regardless of any changes in the original purchase price or market conditions. 2. Sliding Scale Buyout Addendum: This addendum calculates the broker's compensation based on a sliding scale that correlates with the final sales price of the property. The higher the sales price, the higher the commission for the broker. 3. Percentage-Based Buyout Addendum: In this type of addendum, the broker's compensation is calculated as a percentage of the final sales price. The percentage is agreed upon between the broker and the client and is typically outlined in the original listing agreement. 4. Contingency Buyout Addendum: This addendum stipulates that the broker's compensation is contingent on the successful completion of the real estate transaction. If the sale falls through for any reason, the broker may not be entitled to any compensation. Regardless of the specific type of Kansas Real Estate Broker Buyout and Price Addendum used, it is crucial for all parties involved to fully understand the terms and conditions outlined in the document. It is recommended that buyers, sellers, and brokers seek legal advice before signing the addendum to ensure their rights and interests are protected.
