Which type of listing agreement grants the broker the exclusive right to sell a property?

The exclusive right to sell listing is a type of listing agreement that grants a broker the exclusive authority to sell a property and earn a commission irrespective of who ultimately sells the property. This means that even if the seller finds a buyer independently, the broker is still entitled to the commission as a result of the exclusive contract.

This arrangement provides the broker with a greater incentive to market the property effectively since they are guaranteed compensation for their efforts regardless of how the sale occurs. It also consolidates communication and marketing strategies through a single channel, as the seller agrees to work exclusively with one broker during the agreement's term.

In contrast, other types of listings such as an open listing allow multiple brokers to represent the property, with only the broker who procures a buyer entitled to a commission. An exclusive agency listing allows the seller to sell the property independently without owing a commission to the broker if they do so. A net listing involves the seller setting a minimum acceptable price, with the broker keeping any amount above that as commission, which can lead to complications and is not typically recommended or legal in all jurisdictions.

Understanding these distinctions helps clarify why the exclusive right to sell listing is preferred by many sellers and brokers for its advantages in securing a committed sales effort.