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The safety clause (also known as the protection or tail provision) is an important provision in an exclusive real estate listing agreement between a seller and broker. This clause allows the broker to continue receiving their commission even after the listing period expires if certain criteria are met.
The protection clause in a listing contract protects the seller's broker from not being paid a commission should they find a buyer for the property who: Viewed the property during the time period stated in the listing agreement.
The elements that make up a listing agreement. Names, addresses, and contact information for both the owner and the agent. The time period in which the property will be listed for sale. The listing price of the property. The type of listing agreement being entered into.
In this article, ?real estate transaction? refers to any action related to the purchase or sale of a property / real estate. This includes, for example, preparing the sale of a property, making and receiving offers, valuing and inspecting the property, and drawing up and signing the sales agreement.
The most common types of real estate transactions are buying/selling. The buyer usually pays the seller a certain amount of money.