An exclusive mandate gives one broker the right to market the property for a period; a non-exclusive (open) mandate allows several. Terms usually cover brokerage and expiry.
Example
An exclusive mandate in Bengaluru
An owner in HSR Layout, Bengaluru, signs a 60-day exclusive mandate to sell a 3 BHK at ₹1.6 crore, with brokerage of 1% payable on registration. During those 60 days only that broker markets the flat, and buyers the owner meets directly are still referred through the broker. After 60 days, it lapses unless renewed in writing.
Figures are illustrative, not market rates.
Questions about Mandate
What is the difference between an exclusive and an open mandate?
An exclusive mandate gives one broker the sole right to market the property for a fixed period, usually in exchange for more effort and marketing spend. An open mandate lets the owner use several brokers, and only the one who closes the deal is paid.
What should a mandate letter include?
The property, asking price, mandate type and duration, brokerage and when it is earned, who pays marketing costs, how buyers introduced during the mandate are treated after it ends, and how either side can end it early.
Does a broker need RERA registration for a mandate?
For selling units in RERA-registered projects, section 9 of the RERA Act requires the agent to be registered with the state authority. Requirements for resale of older properties differ between states, so check your state RERA rules.
Sources
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