As a real estate professional, the amount you’re paid for each sale is often dependent on commission. And the average commission for the sale of a property is 6% of the purchase price.
But, how do you know you’ll be paid fairly for the work you’ve done? This is where procuring cause comes into the picture.
Let’s demystify the procuring cause and what it means for real estate professionals.
Procuring Cause Definition
A real estate broker is referred to as the procuring cause of a sale if their outreach and actions resulted in the sale or lease of a property. The broker who is the procuring cause of the transaction is entitled to a commission. In some cases, procuring cause disputes can arise between brokers or brokers and their clients.