An estate sale contract should state the commission rate and what it is calculated on, a complete fee schedule, excluded items and closed rooms, the end condition of the home, where unsold items go, insurance coverage, presale and staff purchase rules, settlement timing, cancellation terms, and who has authority to sign.
Most families sign one at the kitchen table without reading it closely, partly because it arrives at the end of a long conversation and partly because nobody has told them what to look for. Below is a walkthrough of each clause and what it decides. It is not legal advice and we are not attorneys. It is what we would want a family member to understand before signing anything, including ours.
If you have not interviewed companies yet, start with our 17 questions to ask before you hire. That page covers the interview. This one covers the paperwork.
Before You Sign: Two Rules for Reviewing the Contract
Take a copy home. A company that wants a signature at the first visit, before you have had the document in your hands, has told you something useful. Ask for a copy to keep and read. Our contract lives in your client portal, so you can open it, read it, and re-read it whenever you like, before you sign and for as long as we are working together.
Read the boring parts. The clauses nobody mentions out loud are end condition, unsold items, and cancellation. Those three decide what your life looks like after the sale is over.
Clause 1: The Commission and Its Basis
There are two numbers here, not one. The rate, and what the rate applies to.
Almost always that is gross sales, meaning everything the sale takes in before deductions. A contract that calculates commission on net, or deducts expenses before the split, is a different arrangement and deserves a careful read.
Our rate is 40 percent of gross sales, agreed in writing before any work begins, with no upfront cost at any point. The reasoning and the math at several sale sizes are in our Nashville estate sale cost guide.
Check that the number in the contract matches the number from the conversation. It usually does. When it does not, you want to find that out now.
Clause 2: The Complete Fee Schedule
The fee schedule is where companies differ most. A contract should list every charge that can appear on your settlement, not only the commission.
Look for these by name:
- Advertising, photography, and listing fees
- Labor, staffing, or setup charges
- Dumpster rental, haul-away, or disposal
- Credit card processing
- Moving heavy or oversized items
- Cleaning after the sale
- Any minimum commission or minimum sale value
If a charge is not in the document, it should not appear on the settlement. That is what the schedule is for. We charge no consultation fee, no listing fee, and no setup charge, and optional services such as a full clean-out to empty are quoted separately and proceed only with your written approval.
Clause 3: Scope and Excluded Items
Scope says which parts of the property are included. Excluded items say what is not for sale.
This clause protects you more than any other, and families most often leave it blank. Anything bequeathed to a specific heir, anything you have decided to keep, and anything with sentimental weight that has not been decided yet should be named here or physically removed before setup begins.
The same clause usually covers rooms closed to the sale. A locked office, an attic outside the job, a garage that stays with the property. Write it down rather than relying on the memory of a conversation.
If your family is still working through who gets what, settle that before setup. Our guide on managing an estate sale with multiple heirs covers how to get there without the argument.
Clause 4: The End Condition of the Home
In our experience this clause produces more post-sale disappointment than the commission does, and it is usually one sentence long.
"Broom clean," "empty," "as-is," and "sale-ready" mean different things, and they mean different things at different companies. The contract should say, in words you can picture, what the house looks like on the day the company leaves.
Ask what happens to the items nobody bought. Ask whether the trash goes. Ask whether the furniture in the basement is included or whether the basement was outside the scope. Then check that the answer appears in the document.
The exact end condition of the home is agreed in your contract with us before we begin. If a full clear to empty is what you need, that is a quoted add-on rather than an assumption.
Clause 5: What Happens to Unsold Items
A different question from end condition, and easy to conflate with it.
Every estate has leftovers. A contract should say who decides where they go, and whether the family has to be involved. The normal options are donation to an independent organization, a bulk purchase of what remains, or removal through a cleanout provider.
Watch for one detail: whether the company takes ownership of donated items. We never take title to donated goods. The receiving organization decides what it accepts and issues any receipt, which matters if the estate plans to claim a deduction.
Timing matters too. Our sequence runs donation the day after the sale and removal the day after that. If a year-end receipt is part of the plan, read our fall estate sale calendar before picking a date.
Clause 6: Insurance and Bonding
The contract should state what coverage the company carries, and two types matter.
General liability covers injury and property damage arising from the sale. Workers' compensation covers the company's own team. The second is easy to overlook and matters more than it sounds: if a company without workers' comp has someone injured carrying a dresser down your stairs, the question of who is responsible does not have a comfortable answer.
Ask for a certificate of insurance rather than a sentence. Estate Greats is bonded and insured, carrying both general liability and workers' compensation, and our security and accountability page explains the rest of the controls around the home.
Clause 7: Presale, Early Entry, and Staff Purchases
Three related questions that belong in the document rather than in a conversation.
Does the company sell items before the doors open? Does anyone get early entry? Can employees buy from the sale, and under what written controls?
Our answer to the first two is no presales and no early entry, ever. On the third, staff may buy in limited circumstances under a written picking policy: staff never price their own purchases, anything set aside before the sale opens is paid at full price with no markdowns, and every purchase runs through checkout like a customer sale. A client can prohibit staff purchases entirely, and that preference belongs in the contract.
Clause 8: Settlement Timing and the Report
Two numbers and one format. How many days after the sale ends payment is issued, how it is delivered, and whether the accompanying report is itemized or a single total.
"When everything is tallied" is a description, not a date. We mail a check within five business days of the sale ending, with a report listing what sold and for how much, item by item. Our itemized reporting page shows the full chain from checkout to settlement.
Clause 9: Cancellation, by Either Side
Nobody reads this clause until they need it.
What happens if you cancel after signing but before setup. What happens if you cancel after setup has started. What happens if the company cancels. Whether there is a fee, and what it is tied to.
Estates change. A family member arrives with different plans, a buyer for the house appears, a probate date moves. A reasonable cancellation clause accounts for that, and an absent one leaves it to be negotiated at the worst possible moment.
Clause 10: Who Signs
With multiple heirs, the contract should be signed by whoever actually holds authority. Usually that is the executor or personal representative, and usually that authority comes from letters issued by the probate court.
A signature from someone without authority is a problem for everyone, including the person who signed it. If you are not sure who holds it, sort that out before the document goes around. Our executor's guide covers how that authority works in Tennessee.
One more line to look for: whether the agreement includes an acknowledgment about the family being present during the sale. Most companies ask that the client not be on site, for reasons having more to do with buyer behavior than with you. It is normal, and it should still not be a surprise.
Common Questions About Estate Sale Contracts
Can I take an estate sale contract home before signing it?
You should be able to, and a company that resists is telling you something. Ours lives in your client portal, so you can read it before you sign, share it with your attorney or the other heirs, and come back to it at any point during the job.
What should an estate sale contract say about unsold items?
It should name who decides where leftovers go, which routes are available, and whether the family has to be involved. It should also state whether the company takes ownership of donated goods, since that affects any charitable receipt.
Who signs the contract when there are multiple heirs?
Whoever holds legal authority over the estate's personal property, normally the executor or personal representative acting under letters from the probate court. Settle that before circulating the document.
What to Do If a Contract Clause Is Unclear
Ask the company to explain it before you sign. That is a fair request and any company worth hiring will treat it as one. Have your attorney read it if the estate is complicated, and have the other heirs read it if there are other heirs.
We answer ten questions now rather than have one misunderstanding in week three. If you want to read ours before talking to anyone, ask and we will send it. Book a free consultation or call 615-899-4222.
Still deciding whether to hold a sale at all? Six situations where an estate sale is the wrong call.