An exclusive listing is a type of agreement between a property owner and a real estate agent or broker, which gives the agent or broker the exclusive right to sell the property during a specified period of time. This means that during this period, the owner cannot list the property with any other agents or brokers, or sell it themselves without the agent's or broker's consent.
Under an exclusive listing agreement, the owner typically agrees to pay the agent or broker a commission when the property is sold, regardless of who actually finds the buyer. This commission can be a percentage of the sale price or a flat fee.
The exclusive listing agreement will specify the period of time for which the listing is exclusive, the terms of the commission, and any other terms and conditions that may apply. Some of the terms may include the advertising and promotional efforts to be done by the agent and the level of services to be provided.
Exclusive listing agreements are commonly used by property owners who want to ensure that their property is marketed and promoted by a professional and who do not have the time or resources to sell the property themselves. They are also beneficial for agents and brokers, as they give them the opportunity to earn a commission on the sale of the property.
It's important for property owners to read and fully understand the terms of the agreement before signing it, to make sure they are comfortable with the terms and are aware of their rights and obligations under the agreement.