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Commercial Mortgage Broker Agreement
"I need a Commercial Mortgage Broker Agreement for my real estate investment firm based in Ontario, with exclusive broker rights and a tiered commission structure for commercial properties valued over $5 million, to be effective from March 2025."
1. Parties: Identification of the mortgage broker and the client, including full legal names, addresses, and any relevant registration/license numbers
2. Background: Context of the agreement, including the broker's qualifications and the client's intention to engage broker services
3. Definitions: Key terms used throughout the agreement, including technical and financial terminology
4. Scope of Services: Detailed description of mortgage broker services to be provided, including type of financing sought and property types covered
5. Broker's Obligations: Specific duties and responsibilities of the broker, including due diligence, documentation requirements, and compliance obligations
6. Client's Obligations: Client's responsibilities, including providing accurate information, timely documentation, and cooperation requirements
7. Compensation: Fee structure, commission rates, payment terms, and conditions for earning compensation
8. Term and Termination: Duration of the agreement and circumstances under which it can be terminated by either party
9. Confidentiality: Obligations regarding confidential information and client data protection
10. Representations and Warranties: Statements of fact and guarantees made by both parties
11. Regulatory Compliance: Acknowledgment and compliance with applicable mortgage broker regulations and laws
12. Limitation of Liability: Extent and limitations of broker's liability for services provided
13. Dispute Resolution: Process for handling disagreements and conflicts between parties
14. General Provisions: Standard legal clauses including notices, amendments, assignment, and governing law
1. Exclusive Agency: Terms establishing the broker as the exclusive agent for specified transactions, used when exclusivity is agreed upon
2. Multiple Brokers Coordination: Provisions for coordination with other brokers, used when multiple brokers might be involved
3. International Transactions: Additional provisions for cross-border transactions, used when dealing with international financing
4. Digital Communications: Specific provisions for electronic communications and virtual dealings, used when primarily operating digitally
5. Sub-broker Relationships: Terms governing the involvement of sub-brokers, used when the primary broker may delegate certain duties
6. Success Fee Structure: Additional compensation terms for successful placement of mortgage, used in performance-based arrangements
7. Property Management Services: Additional services related to property management, used when broker offers extended services
1. Schedule A - Fee Schedule: Detailed breakdown of all fees, commissions, and payment structures
2. Schedule B - Service Level Requirements: Specific performance metrics and service standards
3. Schedule C - Required Documentation: List of required documents and information from client
4. Schedule D - Compliance Checklist: Regulatory compliance requirements and verification checklist
5. Schedule E - Property Types: Detailed list of commercial property types covered under the agreement
6. Appendix 1 - Broker Credentials: Copies of broker's licenses, certifications, and professional credentials
7. Appendix 2 - Privacy Policy: Detailed privacy and data protection policies
8. Appendix 3 - Standard Forms: Collection of standard forms used in the mortgage brokerage process
Authors
Real Estate
Commercial Property
Financial Services
Banking
Property Development
Commercial Construction
Retail
Industrial
Hospitality
Healthcare
Office Space Management
Warehouse and Logistics
Legal
Finance
Real Estate
Compliance
Risk Management
Treasury
Business Development
Investment
Property Management
Operations
Commercial Mortgage Broker
Real Estate Finance Manager
Chief Financial Officer
Commercial Property Manager
Real Estate Development Director
Finance Director
Treasury Manager
Real Estate Investment Manager
Commercial Property Investor
Risk Management Officer
Compliance Officer
Legal Counsel
Business Development Manager
Commercial Real Estate Agent
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