Check Your Understanding-Answers
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What is an important thing to remember about listing agreements?
They must be in writing to be enforceable.
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Describe an open listing.
An open listing is a non-exclusive listing that allows a seller or buyer to engage a number of different brokers to sell or help purchase property. The broker who brings the buyer or finds the suitable property gets the commission. If the owner sells the property or the buyer finds his or her own property, no commission is owed to any broker.
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What is the major difference between an exclusive-authorization-and-right-to-sell listing and an exclusive-agency listing?
With exclusive-right-to-sell, the broker has the exclusive right to market the property and receive a commission regardless of who procures the buyer. With exclusive agency, the owner retains the right to find a buyer and sell the property and owe the exclusive broker no commission.
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What is the agreement that a broker can enter into with a buyer?
Exclusive-Authorization-to-Acquire-Property agreement authorizes the broker to work as the agent for the buyer rather than the seller.