What Is a Listing Agreement?

If you’re planning to sell your home it might be exciting as well as anxious to complete your plan. Once all the lists are ready and found the best real estate agent majority of the work is done. But before moving forward you must complete the listing agreement. For first-time sellers it might be a new word, the listing agreement is a contract between you and your real estate agent to set the home for sale.

The Real Estate Listing Agreement

It’s an employment contract between the property owner and real estate broker. Here, the broker will be a listing agent who’s responsible for finding the potential buyer. The listing agreement grants permission to the realtor to find the buyer and also fixes the type of commission for the realtor once the sale is done.

How Does A Listing Agreement Work?

A realtor is the only person who connects you & your property to the buyers. He/she manages both the listing and sale of the property.

What’s Included In A Listing Agreement?

List of seller’s and broker’s duties
Description of the property
List of personal property included in the sale
List of personal property to be removed upon sale
Broker fee
Terms of mediation
Contract completion date

What Are The Types Of Listing Agreements?

Open Listing Agreement

It provides the lowest level of commitment for the seller. The sellers will choose this option if they want to sell quickly. It is a non-exclusive agreement that allows any agent to list or sell their property.

Exclusive Agency Listing

Here, the seller grants permission to their trustable realtor to sell the property. Once the property sells, the seller will pay a commission to that real estate agent.

Exclusive Right-To-Sell Listing

This is the common type of listing agreement that binds an exclusive contract to the agent to market the home.

What Can You Negotiate In The Listing Agreement?

Expiration date
Commission
Type of listing
Listing price
Duties

These are the list of standard conditions a seller can negotiate.