Unit 10 - Client Representation Agreements Flashcards
What is it called when one broker is employed as the seller’s sole representative?
Exclusive right-to-sell listing
What’s an exclusive agency listing?
When one broker is authorized to act as the exclusive agent of the principal, but the seller retains the right to sell the property without the obligation to pay the broker. (Risky for the broker)
What is an open listing?
The seller retains the right to employ any number of brokers as agents. Seller pays only the commission to the listing broker who successfully produces a ready, willing and able buyer.
What is a net listing?
Specifies that the seller will receive a net amount of money from any sale, with the excess going to the listing broker as commission. (illegal in many states)
Which type of listing get the agent paid no matter who sells the property?
Exclusive Right to Sale
Why would you want a multiple listing clause to be included in an exclusive listing?
So brokers who are members of the multiple listing service (MLS) can have access to it.
What’s the broker protection clause?
It provides that the owner will pay the listing broker a commission if, within a specified number of days after the listing expires, the owner transfers the property to someone the broker originally introduced to the owner. Protects the broker from losing a commission in the event that the transaction is not completed until after the listing expires.
