Realtor Contracts in Texas: Fees, Terms and How to Switch

How much does a real estate agent charge in Dallas?

There is no standard rate in Dallas or anywhere in Texas: compensation is whatever you and the brokerage agree to in writing. Texas law now requires every written buyer agreement to state, in conspicuous language, that broker compensation is not set by law and is fully negotiable.

For sellers, the listing agreement sets what the listing brokerage is paid. It may also say whether you will offer anything toward the buyer's agent. Since August 2024, those offers no longer appear in the MLS, so they are discussed between agents or handled in the offer itself, for example as a seller contribution the buyer asks for.

For buyers, the written buyer agreement states the amount or rate the broker will receive and how it will be paid, including whether the buyer pays it directly or asks the seller to contribute.

Do I pay a realtor before my house sells?

Usually not. In most Dallas listings the seller pays the agreed compensation at closing, out of the sale proceeds, and the title company shows it on the settlement statement along with the loan payoff, title charges and prorated taxes.

Read the agreement for anything that is owed without a closing. Some agreements include a fee if the seller cancels early, and many include a protection period: if a buyer who saw the home while it was listed buys it within an agreed time after the listing ends, compensation may still be due.

How long am I locked into a realtor contract?

For the term written in the agreement. You negotiate that term before signing, and nothing in Texas law fixes a standard length.

If you are selling

A listing agreement has a start date and an end date. Ask for a term that fits your home and your timing, and ask how either side can end it early.

If you are buying

Under Senate Bill 1968, effective January 1, 2026, a Texas agent must have a written agreement with a buyer before showing residential property, or before presenting an offer if there was no showing. The agreement must state the services, the compensation, whether it is exclusive, whether the agent represents you, and a termination date. An agent can also sign a showing-only agreement to open doors without representing you. Texas REALTORS describes it as limited to 14 days, with no advice and no negotiation.

What should I check in a listing agreement before I sign?

Check the term, the compensation, how the agreement ends and what the agent commits to do. Ten minutes with these items before signing prevents most disputes later.

1. The list price, and that any change to it is your decision, made in writing.
2. The start and end dates of the listing.
3. The compensation to the listing brokerage, and whether and how you will contribute anything toward a buyer's agent.
4. The protection period after the listing ends, and how long it lasts.
5. Whether you can cancel early, and on what terms.
6. What happens to fees if the buyer defaults or the sale does not close.
7. Showing instructions, lockbox use and any rules for pets, alarms or tenants.
8. Any items that do not convey with the house, such as a chandelier or a mounted television.

If anything is unclear, ask for it in plain words before you sign. For questions about title, liens, an estate or a divorce, bring in a real estate attorney or the title company early.

What if I'm not happy with my realtor?

Say so directly and specifically, then ask for a written plan to fix it. Most problems are about communication or price, and both can be fixed in one honest conversation.

1. Write down what is wrong: missed updates, no showings, a price you no longer believe, marketing that was promised and not done.
2. Ask the agent for a plan with dates, and agree on when you will check it.
3. If nothing changes, call the agent's managing broker. Every Texas agent works under a sponsoring broker who is responsible for their work.
4. Ask for a release from the agreement in writing if you want to end it.

Can I switch realtors while selling my house?

Yes, once the current agreement has expired or the brokerage has released you in writing. Do not sign a new exclusive listing while the old one is still in force, because you could owe compensation under both.

• Ask whether the release ends the protection period or keeps it for buyers who already toured.
• Expect agents to see the earlier listing history in the MLS, so the new launch needs a clear reason: a new price, new photos, repairs done.
• Use the switch to fix what was not working, usually price, condition or presentation, not only the name on the sign.

Can the same realtor help me buy and sell?

Yes. Using one agent to sell your current home and buy the next is common, and it often helps, because one person is lining up the sale, the purchase, the lender and both closing dates.

Representing both sides of the same sale is different. Texas allows one brokerage to act as an intermediary between buyer and seller only with both parties' written consent, and the agents involved cannot share either side's confidential information, such as how low a seller will go or how high a buyer will pay. Ask how your agent handles it before it happens.

Can I hire a realtor just for advice? Is a realtor different from an agent?

Often, yes. Many agents will review your home's value, timing and preparation with no obligation, and Andy Scott offers a free pricing review to Dallas homeowners. For buyers, ongoing help such as showings and offers now starts with a written agreement under Texas law.

Every real estate agent in Texas is licensed by TREC as a sales agent or a broker. A REALTOR is a licensed agent who is also a member of the National Association of REALTORS and agrees to follow its Code of Ethics. Ask Andy about anything in an agreement you are considering.