What is an "exclusive right to sell" listing?

An "exclusive right to sell" listing is a type of listing agreement in which a seller grants one specific broker the exclusive authority to represent them in the sale of their property. Under this arrangement, the selected broker has the sole right to earn a commission regardless of who ultimately finds a buyer for the property, including the seller themselves.

This type of listing is advantageous for brokers, as it gives them a strong incentive to promote and market the property effectively, knowing they will receive compensation for their efforts if the property sells during the term of the listing. Furthermore, it provides a clear and straightforward agreement between the seller and the broker, establishing defined expectations for both parties involved in the transaction.

Other types of agreements, such as those allowing sellers to work with multiple brokers, do not guarantee a single broker’s compensation, which distinguishes the exclusive right to sell from more open listing arrangements.