Nevada Finder’s Fee Agreement Regarding Real Property Sales

• Category: Real Estate - Contracts
• State: Multi-State
• Control #: US-0154BG
• Format: Word; Rich Text

Description

In a real estate context, a finder's fee may be paid for locating property, obtaining mortgage financing. or referring sellers or buyers. A finder's fee is money paid to a person for finding someone interested in selling or buying property. To conduct any negotiations of sale terms, the finder may be required to be a licensed broker or he violates the law. However, state laws, which vary by state, may also provide an exemption for certain individuals, allowing them to be compensated without the necessity of licensure. For example, one state's law allows an exemption for either a property management firm or an owner of an apartment complex to pay a finder’s fee or referral of up to $50 to a current tenant for referring a new tenant. The fee can be in the form of cash, a rental reduction or some other thing of value. The party claiming compensation under this exemption is not allowed to advertise for prospective tenants.

Nevada Finder's Fee Agreement Regarding Real Property Sales is a legally binding document that outlines the terms and conditions for a person or entity, known as the "finder," to receive a fee or compensation for facilitating the sale or purchase of real property in Nevada. This agreement is primarily used in real estate transactions where a third party assists in connecting buyers and sellers, thus bringing a potential deal to fruition. A Nevada Finder's Fee Agreement Regarding Real Property Sales typically includes the following key elements: 1. Parties involved: The agreement identifies the parties involved, including the finder (sometimes referred to as the broker or intermediary) and the buyer or seller, as well as any other relevant stakeholders. 2. Scope of work: It outlines the specific services and responsibilities that the finder will perform, such as identifying potential buyers or sellers, conducting market research, negotiating terms, or organizing property viewings. 3. Fee structure: The agreement specifies the finder's compensation, often expressed as a percentage of the property's final sale price. Alternatively, a flat fee or a combination of both may be agreed upon by the parties. The agreement should stipulate the timeframe and circumstances under which the fee is payable, such as upon successful closing or upon the execution of a purchase or sale agreement. 4. Exclusivity and non-circumvention clauses: To protect the finder's efforts, the agreement may include exclusivity provisions, preventing the buyer or seller from circumventing the finder to directly engage with each other. This ensures that the finder is duly compensated for their efforts in facilitating the transaction. 5. Confidentiality and non-disclosure: The agreement may incorporate clauses to maintain the confidentiality of any sensitive information shared during the course of the transaction, safeguarding the interests of all parties involved. Different types of Nevada Finder's Fee Agreement Regarding Real Property Sales may include variations in fee structures, such as tiered commission rates based on the property's selling price or contingent fees based on specific performance milestones. Other agreements may focus on finding off-market properties or specialize in specific property types, like commercial real estate or residential properties. In conclusion, the Nevada Finder's Fee Agreement Regarding Real Property Sales is a vital legal tool that ensures proper compensation for intermediaries who play a pivotal role in bringing together parties interested in real estate transactions.