The Different Types of Listing Contracts Between Real Estate Agents and Home Sellers

When you hire a listing agent (your real estate agent that will be selling your property), you’ll be presented with a listing agreement that outlines the duties and responsibilities your real estate broker will have in selling your property for you.

While it may seem like just another form to sign, it’s actually a pretty important document that can have a significant impact on the sale of your home.

In this article, I’ll take a look at what a listing agreement is, what types of listing agreements there are, and why you should care about this seemingly innocuous contract.

Understanding the Listing Contract. How to sell your house in the Dallas area. Information for Home sellers presented by Oleg Sedletsky, Realtor in Dallas TX

What is a listing agreement (or Listing Contract)?

A listing agreement is a contract between a seller and a real estate broker that gives the broker the right to list the seller’s property for sale. The agreement spells out the terms of the relationship, including the length of the agreement, the amount of the commission, and what happens if either party wants to terminate the agreement early.

Types of listing agreements

There are two main types of listing agreements: exclusive and non-exclusive.

Exclusive listing agreement

An exclusive listing agreement gives the brokerage firm the sole right to sell your home during the term of the contract. This means that no other firm or agent can sell your home during that time period. Exclusive listings are usually more advantageous for sellers because they provide more motivation for the brokerage firm to sell your home quickly.

Non- Exclusive listing agreement

A non-exclusive listing agreement, on the other hand, allows you to list your property with multiple firms or agents simultaneously. While this may seem like a good way to increase your chances of selling your home, it can actually backfire. Having too many cooks in the kitchen can make it more difficult to coordinate showings and could end up costing you more in commissions if more than one firm or agent sells your home.

Limited service contracts

Limited service contracts are becoming more popular as sellers look for ways to save on commissions. With a limited service contract, the agent agrees to provide only certain services, such as listing your home on the MLS and holding open houses. It’s important to note that if you go this route, you’ll likely have to do most of the legwork yourself when it comes to finding buyers since the agent won’t be doing much more than putting your home on the market.



Why you should care

While it may seem like just another contract to sign, understanding and negotiating your listing agreement is crucial to ensure that you’re getting the best possible service from your real estate agent. Be sure to take some time to read and understand the document before signing on the dotted line!

The bottom line is that understanding your listing agreement is crucial to getting the best possible service from your real estate agent.

So, which listing agreement is right for you? It really depends on what’s most important to you as the home seller.

If having just one real estate broker working on selling your home is most important to you, then an exclusive listings agreement makes sense;

however, if having more flexibility in how you want to sell your home is most important to you, for example being able to also try and sell it on your own while still working with a real estate broker, then a limited listings agreement may make more sense;

finally, if saving money on commissions is most important to you and willing to take on more risk (since there’s no guarantee any real estate agents will actively try and market or sell your home), then an limited listings agreement may make sense for you.

Be sure discuss all options with potential real estate brokers and/or consult with a private attorney before making a decision so that way you can choose the option that makes the most sense for YOUR situation!

Are you thinking of selling your home in the Dallas-Fort Worth area?

Call/Text 214.940.8149

When selling your home, it is important to have an agent who understands your needs and can help you get the best price for your property. I am a Dallas-Fort Worth Realtor® who specializes in helping sellers get their homes ready to sell and then marketed and sold quickly and for the best price possible.

I look forward to working with you to sell your home in the Dallas area.

Contact me today to get started!

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Home Seller's Agent Realtor in McKinney TX and Dallas-Fort Worth - Oleg Sedletsky 214-940-8149

Check out my other articles for more helpful information about the home selling process.

The home-selling process can be daunting, especially for first timers. But don’t worry, I’m here to help. To give you an idea of what to expect, I’ve put together a simple guide with the top things home sellers need to know.

Get more information by checking out my other articles linked below.

House Selling Process – What You Need To Know

6 Factors That Increase Home Value in the Dallas Area

Determining The Value of Your Home

Get Your Home Ready To Sell Checklist: A First Impression That Lasts!

Understanding the Listing Contract

– Staging Your Home To Sell – Will it Help?

What does a Realtor® do to sell your house?

How to Have a Successful Showing or Open House (Showings & Open House Checklist)

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The Seller’s Agent Duty

READ: Texas Real Estate Commission Information About Brokerage Services

AS AGENT FOR OWNER (SELLER/LANDLORD): The broker becomes the property owner’s agent through an agreement with the
owner, usually in a written listing to sell or property management agreement. An owner’s agent must perform the broker’s minimum
duties above and must inform the owner of any material information about the property or transaction known by the agent, including
information disclosed to the agent or subagent by the buyer or buyer’s agent.

A BROKER’S MINIMUM DUTIES REQUIRED BY LAW (A client is the person or party that the broker represents):
Put the interests of the client above all others, including the broker’s own interests;
Inform the client of any material information about the property or transaction received by the broker;
Answer the client’s questions and present any offer to or counteroffer from the client; and
Treat all parties to a real estate transaction honestly and fairly.

Just Sold A House in Allen TX- Want to sell your home in the Dallas area? Call 214.940.8149 Information for Home sellers presented by Oleg Sedletsky, Realtor in Dallas TX