Other types of listing agreements
The exclusive right of sale agreement is not the only option available. Here’s a closer look at a few other options.
Open listings provide the greatest opportunity for home buyers. With open listing, the owner is allowed to list with more than one real estate broker. In addition, the owner can still find his own buyer.
In general, open lists will not be in MLS. Alternatively, contacting multiple brokers may result in buyers arriving at the property. As a seller, this offers the most flexibility. But it can be difficult to find an agent willing to accept this deal.
When your property is listed on Multiple List Service (MLS), opens the door to many buyers. Almost every real estate agent uses the MLS system to find properties for their buyers, so listing your property there puts the most eyeballs on it.
You will find that most exclusive rights to sale and exclusive agency listings are in the MLS, but it is possible to pay a fee to place your property on the MLS. If you decide to sell your home yourself, you can choose to be listed on the MLS.
A net listing is a final option that allows the real estate agent to pocket the difference between what the homeowner wants to sell the home for and the actual sale price.
With this type of listing, the real estate agent takes a greater risk. If they sell the house for less than the base figure, they will leave without commission. On the other hand, they can score big points.
It is not surprising that this complex insertion option is rather unpopular. In fact, it is illegal in several states.