Real Estate: Types of Home Listings
When it comes to selling a house, it’s important to know what type of listing you want so that the whole process can go more smoothly for you. While there are several different kinds of listings contracts, very few of them are actually used. The most popular is the Exclusive Right to Sell, but there’s also a few other listing types, such as Open Listing, Exclusive Agency Listing, and One-Time Show. I’ll discuss this home selling information below.
Exclusive Right to Sell:
The Exclusive Right to Sell listing means that your agent will work with other real estate agents and have them market your home to their clients. Regardless of who sells the home, whether it’s you selling it yourself to a colleague or friend or your listing agent selling it, your agent will still earn a commission.
If you want to have full service from an agent, an Exclusive Right to Sell agreement is probably the only type of listing they’ll agree to work with. The Full Service special means they’ll advertise and market your home, place it in the Multiple Listing Service, sharing the home with other agents and said agents’ clients, hosting open houses, and more.
But don’t worry about getting in over your head – your agent and their company will not get paid and make money unless your home is actually sold.
Exclusive Agency Listings:
An Exclusive Agency Listing means an agent can list and market your home, which would guarantee them a commission on the house if it sells through any real estate agent or real estate company. However, sellers can also market to potential buyers on their home time.
However, this is a fairly unpopular listing agreement because there’s no incentive for your real estate agent to spend time and money marketing your home – if you end up finding a buyer on your own, they will have spent lots of money and time on marketing your home but will not get commission earned back on it.
If you end up working with an agent who does agree to this listing, they’re most likely to place it in the Multiple Listing Service and a few other things, but you’ll have to put forth a lot of effort as well if you’d like the home to sell quickly.
An Open Listing is most common with people who are attempting to sell their home by owner, but who are also open to working with real estate agents. While the home may be For Sale by Owner, agents still have the opportunity to bring buyers around to see your home. If the buyer makes an offer on your home, the agent will earn a commission. An Open Listing is not exclusive, so a home seller can give out the listing to any agent who approaches them. With this type of listings, agents will not actively market your home. However, if they have a client and your home fits the client’s criteria, the agent may end up showing their client and potentially helping you sell it.
A One-Time Show listing is similar to an Open Listing in the sense that it’s most often used by real estate agents who are showing a For Sale By Owner home to one of their clients who is looking to buy. In this case the home seller would sign an agreement that guarantees the real estate agent a commission on the sale as long as that agent’s client purchases the home.
Again, in this case, your agent will not spend any money on marketing your home, and it would not be placed in the Multiple Listing System.
Hopefully these explanations helped you to better understand the different types of Home Listings and which one will be best for you! Any questions? Email me as firstname.lastname@example.org! I would love to help you with your home listing questions.