Many people often confuse the role of an agent with that of a finder in property transactions.
But legally and practically, they are not the same.
An agent has a formal contractual relationship with a landlord or property manager.
They are authorized to source tenants and are entitled to an agency fee.
A finder, on the other hand, has no express agreement with the landlord or manager.
They simply introduce a prospective tenant and are only entitled to a finder’s fee.
To protect themselves, finders should always draft a finder’s fee agreement.
This applies not only in real estate, but also in contracts involving land, client sourcing, and business referrals.
Unfortunately, in Nigeria, the system is often unbalanced.
Some agents inflate property prices beyond the landlord’s expectations or market value, making housing less accessible.
This calls for better regulation and legal restructuring in our real estate sector.
Understanding these distinctions promotes fairness, transparency, and professionalism.
