In this Legal Briefs video, you’ll learn how to use the newly revised Paragraph 12 (Settlement and Other Expenses) as an intermediary between the buyer and the seller and how broker compensation is handled between the two parties.
This video is part three of a three-video series on Paragraph 12. You can also watch part one: Updates to Paragraph 12, and part two: Common Applications of Paragraph 12.
This video is part three of three and discusses the application of the new Paragraph 12 (Settlement and Other Expenses) as an intermediary with the One to Four Family Residential Contract (Resale) (TXR 1601), New Home Contract (Incomplete Construction) (TXR 1603), New Home Contract (Completed Construction) (TXR 1604), Residential Condominium Contract (TXR 1605), New Residential Condominium Contract (Complete Construction) (TXR 1608), New Residential Condominium Contract (Incomplete Construction) (TXR 1609), and the Farm and Ranch Contract (TXR 1701).
Why do we say the broker “Represents” both the buyer and seller. Even the listing agreement says this.
Oh Lord! SMH
The Texas Realtors abandoned the Six Elements of Agency when they commence Dual Agency, 2 years later revised to Intermediary, in September of 1993. Since then it’s REALLY only about the money! BTW, can YOU name the Six Elements of Agency? If you can you will quickly see that Intermediary violates at least 3 of them and maybe all of them!
Dual agency is illegal in Texas. This should have stated when the broker is representing the seller and the buyer is a customer of the broker or the broker is an intermediary with appointments.