Question 9

The exclusive right-to-sell listing states that if anyone other than the owner sells the property, the listing broker is due a commission.

An exclusive right-to-sell listing guarantees that the listing broker earns a commission regardless of who sells the property, including the owner themselves or another party. This type of agreement provides the broker with the most protection and ensures their efforts are compensated.

A) exclusive right-to-sell listing

This option is correct because an exclusive right-to-sell listing explicitly states that the broker will receive a commission on the sale of the property, no matter who sells it. This arrangement incentivizes the broker to market the property aggressively and ensures the owner does not inadvertently forfeit their commission by selling to someone else.

B) exclusive agency listing

An exclusive agency listing is incorrect because, in this type of agreement, the owner retains the right to sell the property independently without paying a commission to the broker. If the owner sells the property themselves, the broker does not earn a commission, which contrasts with the terms of an exclusive right-to-sell listing.

C) net listing

A net listing is also incorrect as it is based on the seller receiving a predetermined amount from the sale, with the broker keeping any excess as their commission. While it involves commission, it does not guarantee that the broker earns a commission if another party sells the property, making it different from the exclusive right-to-sell listing.

D) open listing

An open listing is not correct because this type of agreement allows multiple brokers to market the property, and only the broker who actually sells the property earns the commission. The owner can sell the property without owing a commission to any broker, which does not align with the commission guarantee of an exclusive right-to-sell listing.

Conclusion

The exclusive right-to-sell listing is the only option that guarantees a commission to the broker regardless of who sells the property, making it the most comprehensive agreement for protecting the broker's commission. All other options either allow the owner to sell without incurring a commission or do not provide the same level of security for the broker's earnings.