Free Real Estate Employment Contract Template
Real Estate Employment Contract
This Real Estate Employment Contract (the "Contract") is made on [Date], by and between [Your Company Name], a corporation incorporated under the laws of [State/Province] with its principal place of business located at [Your Company Address] ("Employer"), and [Employee Full Name], residing at [Employee Address] ("Employee").
WHEREAS, the Employer is engaged in the business of real estate, including but not limited to the buying, selling, leasing, and managing of residential and commercial properties; and
WHEREAS, the Employee possesses unique skills, qualifications, and experiences that are valuable to the Employer's business activities; and
WHEREAS, the Employer desires to employ the Employee, and the Employee desires to accept employment with the Employer, under the terms and conditions set forth in this Contract;
NOW, THEREFORE, in consideration of the mutual promises, covenants, and agreements contained herein, and for other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the parties agree as follows:
I. Position and Duties
A. Position: The Employee is hereby employed as a Real Estate Agent. This position is subject to the duties and responsibilities as outlined below.
B. Duties:
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Client Representation: Represent the Employer in interactions with clients seeking to buy, sell, or rent properties.
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Market Analysis: Conduct comprehensive market analyses to advise clients accurately.
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Property Listings: Manage and oversee property listings, including marketing and advertising efforts.
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Transaction Management: Facilitate negotiations and manage the documentation process for real estate transactions.
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Professional Conduct: Maintain the highest level of professionalism, confidentiality, and ethical standards in all business dealings.
C. Performance Goals: Achieve a minimum annual sales target of $4 million in property transactions.
II. Employment Term
A. Commencement: This Contract shall commence on [Date], and shall continue in full force and effect until terminated by either party as provided herein.
B. Probation Period: The first ninety (90) days of employment shall serve as a probationary period, during which the terms of employment may be terminated by either party with a notice period of fourteen (14) days.
III. Compensation and Benefits
A. Salary and Commission:
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Base Salary: The Employee shall receive a base salary of $30,000 per annum, payable in monthly installments.
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Commission: In addition to the base salary, the Employee shall earn a commission of 3% on the gross sales price of each transaction they directly facilitate.
B. Bonus: An annual performance bonus may be awarded at the discretion of the Employer, based on exceeding the annual sales target by at least 10%.
C. Benefits:
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Health Insurance: The Employer will provide the Employee with health insurance coverage, with 75% of the premium paid by the Employer, effective after thirty (30) days of employment.
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Retirement Plan: The Employee will be eligible to participate in the Employer’s 401(k) plan, with a matching contribution of up to 4% of the Employee’s base salary, effective six (6) months after the commencement of employment.
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Vacation Time: The Employee shall be entitled to fifteen (15) days of paid vacation per annum, accruing monthly, in addition to standard federal and state holidays.
IV. Work Hours and Vacation
A. Work Hours: The Employee is expected to work a minimum of 40 hours per week. The nature of the Employee's duties may require flexibility in hours, including evenings and weekends, depending on client needs and property showings.
B. Vacation:
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Accrual: The Employee shall accrue vacation time at a rate of 1.25 days per month, totaling 15 days per annum.
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Scheduling: Vacation requests must be submitted at least two weeks in advance and are subject to approval based on business needs.
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Carryover: A maximum of 5 days of unused vacation may be carried over to the following year.
V. Confidentiality Agreement
A. Obligation: The Employee agrees not to disclose, during and for a period of five years following termination of employment, any confidential information related to the Employer's business operations, client information, transaction details, or any other proprietary data, without the prior written consent of the Employer.
B. Return of Documents: Upon termination of employment, the Employee shall immediately return all documents, materials, and electronic data, including copies, that contain confidential information.
VI. Non-Compete Clause
A. Restriction: For a period of two years following the termination of employment, the Employee agrees not to engage in, be employed by, or advise any business that competes directly with the Employer within a 50-mile radius of the Employer’s principal place of business.
B. Scope: This restriction applies to activities that are in direct competition with the core business activities of the Employer and is intended to protect the Employer’s legitimate business interests.
C. Relief: The Employee acknowledges that a breach of this clause would result in irreparable harm to the Employer, and agrees that monetary damages alone would not be a sufficient remedy. Therefore, the Employer is entitled to seek injunctive relief, in addition to any other remedies available at law or in equity.
VII. Termination Conditions
A. At-Will Employment: This contract establishes an at-will employment relationship. Either the Employer or the Employee may terminate this contract at any time, with or without cause, with a written notice of 30 days.
B. Termination for Cause: The Employer may terminate the employment immediately for cause, including but not limited to, breach of confidentiality, gross misconduct, or failure to meet performance standards.
C. Severance: Upon termination by the Employer without cause, the Employee shall be entitled to a severance package equivalent to two months' base salary, provided the Employee has completed at least one year of service.
D. Return of Property: Upon termination, the Employee must return all Employer property, including keys, documents, and equipment, within 5 days of the termination date.
VIII. Dispute Resolution
A. Mediation: In the event of a dispute, the parties agree to first seek resolution through mediation, with a neutral third party mediator agreed upon by both parties.
B. Arbitration: If mediation fails to resolve the dispute within 60 days, either party may request that the dispute be resolved by binding arbitration under the rules of the American Arbitration Association.
IX. Intellectual Property
A. Assignment of Rights: The Employee agrees that all intellectual property, including inventions, discoveries, designs, or other creations made during the term of employment, related to the Employer’s business, shall be the sole property of the Employer.
B. Cooperation: The Employee agrees to perform all actions necessary to confirm such rights to the Employer, including the execution of documents, during and after the term of employment.
X. Amendment and Waiver
A. Amendment: This contract may only be amended or modified by a written document signed by both the Employer and the Employee.
B. Waiver: The failure of either party to enforce any rights under this contract shall not be deemed a waiver of any such right or any other right in the future.
Signatures
This Real Estate Employment Contract represents the entire agreement between the Employer and the Employee and supersedes all prior negotiations, representations, or agreements, whether written or oral. The parties acknowledge that they have read, understood, and agreed to the terms and conditions set forth herein.
Employer
[Name]
[Title]
[Date]
Employee
[Name]
[Title]
[Date]
