Exclusive Right to Sell and Market Agreement

The Exclusive Right to Sell and Market Agreement, also known as listing agreement, is the agreement between you and Compass for the exclusive right to sell your property. This is where compensation is set, and also where you will answer some questions about how you want your property shown and marketed, and some other details about your home. Here’s a line-by-line breakdown of the Exclusive Right-to-Sell Agreement:

1. Property Address: This defines the property that your agent is responsible for listing, as well as the parking space and storage space, if applicable. Here, you’ll also note if you are aware of any upcoming special assessments. If you become aware of any special assessments, you agree to let your agent know within 3 business days. 

2. List Price: This is the price that we will market your home at. Don’t worry – it can be changed at any time by communicating to your agent in writing. There’s no need to sign a new agreement. 

3. Term: This agreement lasts for 12 months from the date you sign the agreement.

4. Designated Agent: This specifies the agent from The Everett Group you will work directly with. Occasionally, another agent may need to fill in for your agent (for example, if your agent has a conflict for a showing). We will always give you notice of this!

5. Multiple Listing Service: This specifies that your property must be entered into the MLS within 48 hours of signing this agreement, unless you sign the MLS Listing Exemption Authorization form, found later in your listing packet.

6. Compensation: This section outlines the compensation due to Compass. Under item II, if you select a contract brought by an unrepresented buyer, this is an additional commission owed to Compass. If you are comfortable with your agent representing both you and the buyer, this could save you money! Please be aware that if your agent, another agent at The Everett Group, or another agent at Compass has an active buyer who is interested in your home, this does not apply. 

7. Dual Agency: This section outlines dual agency. Dual agency is a situation where a single agent is representing both the buyer and seller of a particular property. Here, you’ll find what an agent can and cannot do when acting as a dual agent. If you do not wish to enter into a dual agency relationship, you can decline by checking the box and signing. If your agent’s client decides to offer on your property, we can appoint another agent from The Everett Group or Compass to represent them. We can always revisit this decision if and when it comes up.

8. Additional Property Information: Here is where you’ll provide information about the property being listed. You’ll also have an opportunity to define what items are included in the sale. Generally, anything that is permanently affixed to the property is considered included in the sale unless otherwise stated – this includes things like custom drapery and attached shelving. If you have any questions, ask your agent! Lastly, if there is anything in the property that is not functioning, please disclose it here. 

9. Minimum Services: This section outlines the legal duties of your agent on behalf of Compass:

1. Present you with offers and counteroffers on your property

2. Help you write and negotiate offers and counteroffers on your property

3. Answer questions related to offers, counteroffers, and deadlines

10. Seller Disclosures and Representations: In this section, you agree to provide accurate and truthful information to your agent about the property, which will be used in listing and marketing the property. You also agree to disclosure any surveillance devices on the property, comply with all laws and regulations related to eavesdropping and wiretapping, and to not disclose any information obtained via eavesdropping or wiretapping to your agent. You will also hold Compass and your agent harmless against any claims or litigation based on incorrect information supplied by you, actions or inactions at the property, and/or breach of the listing agreement. 

11. Leasing of Property: If you lease the property while this agreement is active, the specified amount of commission is due to Compass. 

12. Termination of Agreement: This section outlines the ways this agreement can be terminated. 

13. Additional Key Terms: 

1. Fair Housing Act: This section outlines the local and national fair housing laws that you and your agent agent will follow. You can read more in the Illinois Human Rights Act and the Federal Fair Housing Act.

2. Promoting and Advertising Property Per the Illinois Real Estate License Act of 2000, as Amended: This outlines the ways we may advertise your property; this includes displaying signs on your property, listing your property on the MLS, promoting your property on our website and social media platforms, and more. 

3. Virtual Office Website Policy: Compass maintains a website that displays listings, and the MLS shares its data with third-party platforms like Redfin and Zillow – these platforms help reach buyers who may not be working with an agent. In this section, you can opt to (A) not market your property online, (B) not market your property address online, (C) disable comments or reviews on online listings (we recommend you disable this!), and (D) disable automated market value estimates (also recommended to disable). 

4. Illinois Condominium Property Act: If the property is a condo, you agree to comply with the Illinois Condominium Property Act. 

5. Lock Box: Indicate if you will allow your agent to place a lockbox on your property for access. Anyone entering the property will always be accompanied by a licensed agent! 

6. Your Personal Property: You agree to secure or remove any valuables on the property. We recommend having personal property insurance!  

7. Leased Property: If your property is currently leased, you agree to notify your tenant that the property is for sale, provide enough notice to your tenant to coordinate any showings, inform your agent if your tenant has not agreed to provide access to the property, and notify your tenant about the importance of securing or removing any valuables on the property. 

8. Indemnity: You agree to hold Compass and your agent harmless against any claims or litigations arising from the listed scenarios. 

9. Authority: You agree that you own and hold title to the property, and are authorized to sell it. 

10. Compass’s Duty: Compass’s duty, and your agent’s duty, is limited to attempting to sell the property, and not to manage or repair the property. 

11. Seller Obligations: This section outlines what you are responsible for: (i) cooperating with your agent in selling your home, (ii) referring all inquires to your home to your agent, (iii) allowing access to the property when needed (we’ll always try to give you enough notice so that this is convenient!), (iv) conducting all negotiations through your agent, (v) compensating Compass as described above.

12. Disbursement of Earnest Money: As part of your transaction, an escrowee will hold earnest money. If a contract is canceled, both parties will need to sign a joint document directing the escrowee on how to disburse the funds.

13. Dispute Resolution: If there are any disputes relating to this agreement, they will be resolved by arbitration. 

14. Compass’s Representation of Multiple Sellers and Buyers: This informs you that your agent, as well as Compass, may be representing other properties for sale while we are representing yours. 

15. Wire Fraud: This section contains important reminders about preventing wire fraud. We always recommend you verbally verify wire instructions via an independently-sourced phone number with the intended recipient before wiring funds. 

16. Intellectual Property Rights: Compass owns all intellectual property rights involved in the marketing of the property. 

17. Limit of Liability: Compass’s liability is limited to the amount of compensation received.

18. Electronic Transmission: Fax and electronic versions of this agreement are valid. 

19. Consent: Compass is allowed to contact you via phone, fax, or email. 

20. Entire Agreement: This agreement represents the entirety of the listing agreement. It can only be modified in writing, and also applies to any heirs or executors. It is governed by Illinois state law, and can be signed via electronic signatures. 
    

Disclosure Regarding the Compass Three-Phased Marketing Strategy

This document outlines Compasse’s Three-Phased Marketing Strategy: Compass Private Exclusive, “Coming Soon” on the Private Network, and a full MLS launch. This is optional, and your agent can talk you through the pros and cons of each phase – it’s also not all or nothing! If you prefer to go straight to publicly marketing your property, you can also opt-out of this approach. If you change your mind, you’ll just need to notify your agent in writing.

Private Listing Network Authorization

If we are planning to list your property on the Private Listing Network (PLN), you will sign this authorization.

MLS Listing Exemption Authorization

This form authorizes your agent to refrain from listing the property on the MLS until all your marketing is complete and you direct your agent to list the property. 

Disclosure of Lead-Based Paint

The lead paint disclosure needs to be completed if the home was built prior to 1978. Your agent will include this in your listing packet if it is needed. 

For this disclosure, initial (a) and (b) and check the applicable boxes.

Disclosure of Information on Radon Hazards

The radon disclosure needs to be completed if your home is on the 2nd floor or below. Your agent will include this in your listing packet if needed. 

For this disclosure, initial (a), (b), (c), and/or (d), depending on what is applicable.

Residential Real Property Disclosure Report

The Real Property Disclosure informs the buyer of any known defects about the property. You will answer a series of questions about your property, and provide more details if there are any known defects. 

For this disclosure, check the appropriate boxes on lines 1-24. If something is not applicable to your home (for example, on line 10, if your home does not have a well or well equipment), please check N/A. 

• If you answer Question #1 with “No”, you will need to add a brief description in the text box (i.e. property was rented).

• If you answer any other questions with “Yes”, you will need to add a brief explanation at the top of page 2. Please let your agent know if you have any questions about this!
  

Affiliated Business Arrangement Disclosure Statement

This disclosure notifies you that Compass has business relationships with title insurance company Proper Title and loan providers Proper Title and OriginPoint. You are not required to use these providers; we just need your acknowledgement for compliance purposes. Your attorney can answer any questions you have about title companies. 

Lead Pamphlet

This is a pamphlet from the EPA outlining how to protect your family from lead hazards. 

Next Resource » Providing Condo Documents