What is Dual or Variable Rate Commission?

Published: February 1, 2007

<span style="FONT-WEIGHT: bold; FONT-SIZE: 10pt; FONT-FAMILY: Arial"><u>What is Dual or Variable Rate Commission</u></span><font face="Arial" size="2"><span style="FONT-SIZE: 10pt; FONT-FAMILY: Arial">? SECTION 4.22 A dual or variable rate commission arrangement is one in which the seller or owner agrees to pay a specified commission if the property is sold by the listing broker without assistance and a different commission if the sale results through the efforts of a cooperating broker; or one in which the seller or owner agrees to pay a specified commission if the property is sold by the listing broker either with or without the assistance of a cooperating broker and a different commission if the sale results through the efforts of a seller or owner. The listing broker shall, in response to inquiries from potential cooperating brokers, disclose the differential that would result in either a cooperative transaction or, alternatively, in a sale that results through the efforts of the seller or owner. If the cooperating broker is representing a buyer or tenant, the cooperating broker must then disclose such information to his or her client before the client makes an offer to purchase or lease.</span></font>


Last modified: February 1, 2007 at 10:52 am | Originally published: February 1, 2007 at 10:52 am
Printed: October 1, 2020