The General Authority for Real Estate launched today the “Brokerage Contract between Broker and Sub-Broker” service, which allows establishing and documenting the relationship between real estate brokers through the conclusion of Sub-brokerage contract between the primary broker and the sub-broker, and the contract defines all financial obligations and rights between the brokers, the mechanism for the distribution of the deposit, and the approval of the contract between the two parties, and enables the primary broker to create more than one contract with several brokers to market the property.

This contract comes as the third brokerage contract after the broker's contract with the owner and the broker's contract with the buyer; with the aim of documenting and governing the relationship between brokers, increasing reliability and clarity in the real estate transaction journey, and knowing the obligations and rights of all parties at all stages of real estate transactions.

<The Authority explained in a statement that this service comes within a series of services that enable real estate brokers to practice brokerage activities and real estate marketing to ensure increased compliance with the rules and regulations of the real estate brokerage system, organize the real estate market, and raise its investment attractiveness, where the brokerage sub-contract can be utilized (a contract between a broker and a broker) by the “primary broker” by entering the list of contracts through the real estate brokerage platform, choosing one of the brokerage contracts with the owner, then creating a sub-contract, choosing the ownership documents on which the sub-contract will be created, and entering all the basic information of the sub-broker and the agreed details.

The General Authority for Real Estate confirmed that to create a sub-contract, there must be a valid brokerage contract with the owner of the property, and an active brokerage and marketing license for the sub-broker, in addition to the end date of the sub-contract not exceeding the end date of the main contract, and not exceeding the end date of the main and sub-broker's license.

The General Authority for Real Estate confirmed that the sub-contract must be created.