Real Estate Listing Agreements
To pass a real estate license exam, you need to know the types of listing agreements. Listing agreements establish the relationship between the real estate agent and the property seller. Similar agreements are used in localities that include buyer agents as well as real estate agents.
The types of listing agreements are as follows:
Exclusive right to sell listing: In this agreement, the agent gets paid no matter who sells the property, regardless of whether it’s the agent or the seller.
Exclusive agency listing: Agents get paid in this type of agreement only if they sell the property. No fee is earned if the owner sells the property on his own.
Open listing: In this type of agreement, sellers have the right to use as many brokers as they want. The seller is not, however, obligated to pay any of them if he sells the property.
Net listing: This type of agreement is illegal in some states. The agent gets to keep everything he can get that’s more than the sale price the owner wants.