When a licensee changes brokerages, what happens to their listings?
November 30, 2016
When a licensee decides to move to another brokerage, what happens to the sellers that they have been working with and their listings? Do they go with the licensee?
The licensee could continue to work with client on their listing, if the broker and client(s) agree in writing. This is simply because real estate agreements are between the client(s) and the brokerage, not the licensee themselves. This means the agreements remain with the brokerage unless the broker and client agree in writing to change the representation to another brokerage. This requirement is also the same with buyer clients who want to maintain their working relationship with a licensee who decides to move to a new brokerage; those agreements are also between the client and brokerage.
Lastly, if the licensee's current broker agrees to pay the licensee for their services in the transaction thus far, the payment must be issued to the new brokerage, not to the licensee specifically.