What type of agreement does an exclusive right to sell listing represent?

An exclusive right to sell listing represents a type of agreement that guarantees a commission to the listing broker regardless of who sells the property. This means that once the seller signs this agreement, the listing broker is entitled to a commission on the sale even if the seller finds a buyer independently or if another broker brings a buyer. This arrangement is beneficial for brokers, as it provides them with assurance that they will receive compensation for their marketing efforts, while also motivating them to put forth maximum effort in selling the property.

The clarity of this agreement is what distinguishes it from other types of listings. For example, in other agreements, such as exclusive agency listings, the seller may avoid paying the broker if they personally find a buyer, which is not the case here. The exclusive right to sell listing thus creates a strong incentive for the broker to invest time and resources into marketing the property, knowing that their commission is secure.