Detailed Answer
Disclaimer: This article is for educational purposes only and does not constitute legal advice.
When two or more people co-own a property in Rhode Island and decide to sell, choosing a realtor requires coordination to protect each owner’s interests. While Rhode Island law doesn’t prescribe a specific process for selecting an agent, you can follow these steps to reach a mutual decision and avoid delays or disputes.
1. Review Your Co-Ownership Agreement
If you have a written co-ownership or tenancy-in-common agreement, check whether it includes realtor selection procedures or decision-making rules. Some agreements require unanimous consent, simple majority votes, or specific timelines for appointing an agent.
2. Communicate and Set Criteria
Hold a meeting (in person or virtual) with your co-owner(s) to discuss:
- Desired sale timeline
- Target price range
- Realtor experience and local market knowledge
- Commission rate and services offered
3. Interview Multiple Realtors
Each co-owner can research and recommend two or three agents. Then jointly interview at least three candidates. Ask about:
- Recent sales in your neighborhood
- Marketing strategies (online listings, open houses, staging)
- Communication style and reporting frequency
- Commission structure and flexibility
4. Compare Proposals and Negotiate Terms
Gather written proposals from each realtor. Create a comparison chart that includes:
- Listing price recommendations
- Estimated days on market
- Marketing package details
- Commission percentages and possible discounts
Negotiate any discrepancies. For instance, you might ask a preferred agent to match a lower commission or expand advertising channels.
5. Formalize Your Choice
Once you agree on an agent, sign a written listing agreement. Ensure it includes:
- Names and signatures of all co-owners
- Property details and listing price
- Listing period and exclusivity terms
- Commission rate and payment conditions
- Termination clauses and notice requirements
6. Resolving Deadlocks
If co-owners cannot agree, Rhode Island law allows a judicial partition. Under R.I. Gen. Laws §34-35-1[link], any co-owner may petition the Superior Court for sale and distribution of proceeds. This process can be time-consuming and costly, so mediation or arbitration is often a better first step.
Additionally, the Rhode Island Real Estate Commission regulates licensing [R.I. Gen. Laws §5-20.6-4]. Ensure your chosen realtor holds an active license and has no disciplinary actions.
Helpful Hints
- Schedule regular check-ins to review marketing metrics and offers.
- Document all discussions in writing to avoid misunderstandings.
- Consider a short mediation session before seeking court intervention.
- Verify the realtor’s Rhode Island license status online.
- Be clear about how sale proceeds will be split and taxes handled.