Ecuadorian law does provide for exclusive listing contracts but we’ve shied away from using them for several reasons.

Let’s first delve into how exclusive listing contracts work here in Ecuador before getting into why we tend to avoid them. Exclusive listing contracts are generally valid for either six months or one year. They require the seller to pay the agency a commission if the property sells anytime during the term of the contract whether or not the agency finds the buyer or the seller does. The contracts require a 3% commission except in the case of large commercial properties or condominium buildings where the agency will get a commission on any units sold for the duration of the contract. In those cases commissions paid by the seller can sometimes get as low as 1.5%. In addition to the commission sellers must pay between $90.00 and $180.00, depending on the agency, upon signing the agreement. This price covers the cost of putting up the for sale sign and advertising the property in the newspaper. The agency puts its name and phone number on the ads in the paper and may also list the property on their website. This type of contract is used by the two largest Ecuadorian real estate agencies that operate in the Cuenca area as well as a few smaller agencies.
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