The Knesset Finance Committee approved a bill in second and
third readings that will limit the exclusivity rights given
to realtors to a maximum of six months.
According to the law, when a real estate agent receives
exclusive sale rights for a residential apartment the
following conditions must be met:
The realtor must have the apartment owners sign the
exclusivity agreement for a period not to exceed six months
in a separate document in addition to the general form
establishing a fiduciary relationship. If after six months
the realtor has not acted as required and in accordance with
the regulations for promoting the sale of the property, the
exclusivity becomes invalid.
If after six months the property is not sold the period of
exclusivity ends by law.
When listing a different type of property with a realtor the
period of exclusivity is not to exceed one year. If no time
limitation was stipulated the exclusivity expires after nine
months.
Committee Chairman MK Shalom Simchon (Labor) said he will
soon meet with realtor representatives who would like to add
further changes to the law.
