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Letter of Authorization to source real estate

estate agents understand the laws related to property
transactions and are relied upon during the process of buying or selling properties. As the agents are not the owners of the properties, they
need permission to act as a
n agent
for the property owner or buyer.

authorization letter is
a document that gives
someone else the authority to
conduct business, carry out transactions on behalf of someone else.

 Buyers and sellers should provide real estate
agents with letters that authorize the real estate agent to act on their
behalf. Property Authorization letters need to be written carefully to prevent
any miscommunications.
While sourcing letters should be provided by the
principal, you can assist them by preparing one for them to sign. Below is a
guide to prepare a sourcing letter.

Related: Letter
of Authorization to sell real

Start with Personal

Type your full name and contact information,
including your email address, left justified with one information item per
line. Type the full name and contact information for the
as well

Ensure there is a date on the

State Your Intention

After you
have identified the parties, identify the intention. This is done by having
this as the subject line and have this in bold or underlined.  

Detail the Permissions

List the specific tasks for which you are responsible
for using
bullet points or
numbers to separate each item visually.  Go into as much detail as necessary to make
the scope or specific limitations of the tasks clear.
For instance,
don’t state a term like “source for a house in Kitengela” instead, be specific
like “source for a 3-bedroom house all ensuite, with a detached SQ, within 1
kilometer of a tarmac road and at most 3 kilometers from Kitengela, priced
between 14M to 15M inclusive of stamp duty and all transfer costs.

Remember to mention the duration of the authorized
duty and the reason should be devoid of any misinterpretations.

Create a Closing

Close with
official words
such as “Sincerely,” and type your client’s full name. Try to keep your the
 short, precise and to the
while ensuring no detail was
left out

Finish with a Signature

the letter to your client for review, ensure its signed and
make a copy for your records.

Also Read:
to charge for real estate transactions in Kenya.




John Doe

P.O. Box 1234


Tel 0123456789



Jane Doe

P.O. Box 4321


Tel 987654321


Date: 12th of May

Subject: Authorization to source property

Dear John,

This letter is in regards toa request to source for
property that fits this description {…………………….}. We estimate that the price
range for such property shall be within a budget of {……………….}.

Your role shall include:



While your role relates to finding the appropriate
property(ies) as detailed above, due diligence shall be done by my legal team
on such properties as shall be provided by you.

In case a property sourced by
you meets my expectations and those of my partners, we shall pay you a commission
of {………………….} payable as {……………………….}.

This authorization is to you
and is not assignable to any other party without my express approval in
writing. This authorization is valid from the day of signature and shall last
for a period of {……………………….}.

For any further clarification you can call me on my mobile number 123456789 or email me on


Yours Sincerely,


Jane Doe


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