An Authority to Sell is a written agreement in which a property owner authorizes a real estate broker to market a property and bring buyers. It sets out the price, the commission and how long the arrangement lasts. A similar document, usually called an Authority to Lease, is used for rentals.
Signing one does not sell your property or transfer ownership. You still decide whether to accept an offer, and the sale itself is done through a separate contract.
Why it should be in writing
Under the Civil Code, when land or an interest in land is sold through an agent, the agent’s authority has to be in writing or the sale is void. A clear, signed document also protects both sides if there is a later question about the price, the fee or who was authorized.
Exclusive or non-exclusive
- Exclusive. One broker has the sole right to market the property for an agreed period. Read carefully whether a commission is still due if you find the buyer yourself.
- Non-exclusive. You can authorize more than one broker. Commission usually goes to whoever brings the buyer, but the same property may appear in several places at different prices.
Neither is automatically better. What matters is that you understand the term, the fee and what the broker commits to do in return.
What to check before you sign
- Who you are dealing with. Under the Real Estate Service Act (RA 9646), salespersons work under the supervision of a licensed broker. Ask for the broker’s name and PRC license number, and confirm them with the Professional Regulation Commission.
- Owner names and property details. They should match the title, including the title number, location and area.
- Who signs. All registered owners should sign. A representative should have a Special Power of Attorney.
- Price and terms. Check the asking price and any authority to negotiate or accept payment.
- Commission. Check the rate, what it is computed on, when it becomes due, and who receives it.
- Duration and ending it early. There should be a clear start and end date, and clear terms for what happens if a buyer introduced during the term closes later.
- Marketing limits. Agree where the property may be advertised and which photos or details may be shown.
It is also wise to have the document notarized and to keep your own signed copy. If any term is unclear, ask a lawyer to read it before you sign.
How I handle it
Nothing goes public from a form submission on this site. I review the property first, we meet in person, and only then do we sign a notarized authority. Nothing is signed online. Learn more about selling property in Pampanga or renting out property in Pampanga.