Open Listing: Some sellers may think an open listing means that all of the listing brokerages are working to sell the property but the result can be that no one is really working for the seller. In reality, an open listing is almost no listing at all. Few brokerages are willing to invest time or resources into
marketing such a property.
Exclusive Listing: An exclusive listing is the most common type of listing agreement. It gives the brokerage the right to earn a commission by representing the seller and to bring in a buyer either directly or through a cooperating brokerage. The seller pays a commission,
which is split between the listing and selling brokerages.
Why an Exclusive Listing Agreement makes sense for the seller?
1. It generally results in a higher selling price. When the agent has the security of an exclusive listing, they will take the time to negotiate the best outcome for the client.
2. It allows the agent to invest more in advertising -When you commit to an agent, he can commit to you and promote more in marketing.
3. It gets more agents to work for the seller. With an exclusive listing agreement, you are giving the agent the freedom to share your listing with as many agents as possible. Your property actually has more –not less –exposure with an exclusive agreement!
4. It keeps you more advised of the progress. The agent will be committed to providing you a first class service and to keep you better informed throughout the steps of the transaction. Information is power, and you should have as much
information as possible!
5. It is safer. When many people have access to a property it is very difficult to determine who is in, who is out, and who has been there. Anything can go wrong and nobody will be responsible for it. An exclusive listing agreement provides the seller the safety that you deserve
By Heather Mann