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Common Types of Listings
You have decided to sell your home, but don’t know what to do next. This is when you hire a trusted real estate agency, and get a listing made. An agency like Royal Canadian Realty can not only help you sell or buy a home, but create the best listing for your situation. If you haven’t bought or sold a home before, it may help to understand what a listing is, and what types of real estate listings are out there.
What is a Listing?
A listing is a legal and binding agreement between a broker and a client. The broker is responsible for the real estate process, and the client is responsible to compensate the broker. Listings must be put into writing to be legal and enforceable. Most agreements last about 60 days, but discuss your options with your agent. A real estate agent can help you write a listing that will make selling your home easy, as the agent will know what to highlight and what to leave out.
Types of Listings
Open Listing: This is the rarest type of listing, and can be considered a non-exclusive contract. The buyer or seller can involve as many brokers as he or she wants. All the included brokers can market the house, but only the one who brings in the final buyer will get the commission. If the house is sold by the client, no commission is paid to any agent.
Net Listing: Although not really considered a type of listing, and is considered unprofessional or illegal in some areas, a net listing is still sometimes used. In a Net Listing, the owner sets the amount wanted from the house’s sale. The broker gets the amount above the minimum as a commission. This can create a conflict of interest for the broker, who is supposed to put the needs of the client before the interests of the broker.
Exclusive Agency Listing: In this type of listing, the broker has the right to market a property for a specified period. The seller only pays a commission if the agency or agent sells the home. The owners, themselves, can still find a buyer without having to pay a commission. This type of listing is not common with residential transactions.
Exclusive Right to Sell Listing: This is the most common listing type. The broker has the exclusive right to market and sell the home during a set period. If the broker has the listing when the home sells, an agreed-upon commission will be paid, no matter who finds the buyer.
When it comes to getting your home listed for sale, or if you are looking for a home, it is always a good idea to go with a trusted realty. Royal Canadian Realty can help you understand any confusing real estate jargon, and get your listing the attention it deserves. Our friendly, professional agents can help you stay informed throughout the listing process. Contact us today, and let Royal Canadian Realty make this an enjoyable process.