The Agreement

A contract is a voluntary agreement between two or more parties to do (or not do) something. It creates a legal obligation.As a real estate licensee, you are not a lawyer. However, the Florida Supreme Court has given you the power to assist buyers and sellers with four specific types of contracts:Listing Agreement: The contract between you (the broker) and the Seller.Buyer Brokerage Agreement: The contract between you (the broker) and the Buyer.Sale and Purchase Contract: The contract between the Buyer and Seller. Option Contract: A contract where a seller keeps an offer open for a specific time for a specific price.Real estate brokers and sales associates are not allowed to prepare legal documents such as deeds, mortgages, promissory notes, or most other legal paperwork. If a licensee prepares these documents, they can be disciplined and may even lose their real estate license, even if they were not paid for doing it. In addition, preparing these documents could be considered practicing law without a license, which is a third-degree felony.