What goes into a listing agreement?
Learn more about this standard real estate contract so you can be ready for the sale of your home or property.
A listing agreement is a type of real estate contract in which a property owner gives a real estate agent or broker the authority to find a buyer for their property. If you decide to sell your home using a realtor, you will likely be asked to sign a listing agreement. Here is the basic framework of a listing agreement, so you can better understand this type of contract.
The elements that make up a listing agreement.
While each listing agreement is a unique contractbetween the property owner and their real estate agent, most will include the same basic components. Here are the elements that nearly every real estate listing agreement will include:
- Names, addresses, and contact information for both the owner and the agent
- The time period in which the property will be listed for sale
- The listing price of the property
- The type of listing agreement being entered into
- The terms of commission, or how the agent will be paid once the property is sold
The four types of listing agreements.
There are four basic types of listing agreements that make up most contracts. Which one you may agree to will depend on the agent or broker you decide to work with and what role you want them to have.
The four types are:
- Exclusive right to sell
- Exclusive agency listing
- Open listing
- Net listing
You’ll want to review your listing agreement carefully before signing to make sure the terms align with your goals for your property sale. Thankfully, getting your agreement signed digitally is much easier. You can use Acrobat Pro with e-sign to quickly and securely sign documents digitally so that you won’t miss a beat in your home-buying adventure.