Commission Disbursement Authorizations (CDAs) outline the financial details of a real estate transaction, including relevant parties to the transaction as well as specific disbursement instructions. CDAs ensure that agents receive their commission in a timely manner. To make the process clear and straightforward, let's break down each section of what you can expect to see on your CDAs with Radius.
CDA Breakdown
Top Left Section
Description: This one's simple: it's the property's address. You need to know exactly which property you're dealing with to avoid any mix-ups.
Seller: Here, you'll find the name of the seller. It's crucial to make sure you know who's selling the property.
Buyer: Just like the seller's name, the buyer's name is vital for clarity.
Sale Price: The sale price is the total amount the property is being sold for. This is the number that is used to calculate your commission.
Escrow Company: Here's where you'll find the name of the escrow company that's holding onto the funds of the transaction until they are ready to be disbursed.
Escrow Agent: The escrow agent is your go-to contact at the escrow company, and their name will be listed here.
Escrow Agent Email: This will be the email address of the individual named in the Escrow Agent section.
Top Right Section
Close Date: The close date is when the deal is officially sealed and the transaction will be considered completed. CDAs are disbursed based on the date the property closes.
Representation: This section tells you whether you're representing the buyer, the seller, or both.
Seller Agent: Here you'll find the name of the agent representing the seller.
Buyer Agent: Here you'll find the name of the agent representing the buyer.
Compensation: This section lists the total commission you've earned.
Disbursement Instructions
On the bottom half of the CDA, you'll see a table that lists how the commission gets divvied up and the specific dollar amount each listed party will receive:
The amount payable to Radius will consist of some or all of the following:
Brokerage Fee/Split
Audit Fee
E&O Payment
Outstanding Subscription Fees as per outlined in your ICA
Note: In this sample CDA, Radius Agent's total consists of 10% of this agent's 90/10 split + the $125 audit fee listed in their ICA. The remaining 90% of the commission (minus the $500 TC fee that will go directly to the TC) goes to De, our agent.
Additional Information
Below the disbursement instructions, you'll find two sections:
A Date field and Approved By signature field.
When you receive your CDA, both of these fields will have been filled out and signed by our lead auditor.
A contact number for escrow agents to confirm wiring instructions as well as our corporate address and email address for contact purposes.
Please note: Radius does not accept checks for any transactions outside of leases and referrals. All funds outside of lease and referral transactions must be wired to Radius.