Types of Listings
There are a variety of listing contracts, but very few of them are used. The most common is the "Exclusive Right to Sell," but there is also the "open listing," the "exclusive agency listing," and the "one-time show."
Typically, the "open listing" is used by people trying to sell their
home on their own, but are also willing to work with real estate agents. The real estate agent
brings potential buyers to the home, and if the customer buys it, the agent has
earned a commission.
A "one-time show" is similar to an open listing because it is most
often used by real estate agents who are showing a FSBO (for sale by owner) to
one of their customers. A home seller signs the agreement, which identifies a
potential buyer and guarantees the agent a commission if the buyer purchases the
home. This prevents the buyer and seller from negotiating afterward or trying to
avoid paying the agent's commission.
Exclusive Agency Listing
An "exclusive agency" listing permits an agent to list and market your
home. The agent is guaranteed a commission if the house sells through any real
estate agent or company. It also permits the seller to seek out buyers on their
Exclusive Right to Sell
Permitting a real estate agent the "exclusive right to sell" your home
does not mean that there will not be other agents involved. Because your agent
is the listing agent, part of his or her job is to market your home to other
agents who work with buyers. It will be those agents who will show your home to
their customers. But no matter who sells the home, even if you sell it yourself to
a friend, your listing agent will earn a commission.