Listing Agreement

What is meant by a "Listing Agreement"?

In British Columbia the Exclusive Listing and the Multiple Listing are the two most common types of listing agreements. Each of these agreements lasts for a set time period which is agreed upon by the seller and his/her Realtor and is specified within the contract. An exclusive listing gives the Realtor the sole right to sell the said property. Even in the event that the home owner finds a buyer, commission is paid to the Realtor (unless that buyer was previously excluded on the listing contract). Usually the listing Realtor shares his or her commission with another Realtor (selling Realtor) who is able to find a buyer for a property. It should be noted that even after your listing with a specific Realtor has expired, you may be required to pay out the agreed upon commission if the sale is the result of the listing Realtor’s actions during the time of the listing. The second most common type of listing, the Multiple Listing, differs in that you agree to register your home on the Multiple Listing Service in your area. This enables all Realtors of the local real estate board to access the availability of your property as being "for sale". Again, it is most common for the listing Realtor to share (usually 50/50) the agreed upon commission with any other board member who is able to find a buyer for your home.

What "Terms" are Included in a Listing Agreement?

As a minimum the listing agreement should include:

• The price and terms at which you are willing to sell your home.
• The existing financing arrangements and whether this financing can be assumed by the new owner.
• A list of items attached to the building (normally called fixtures) which are NOT to be included in the sale; for example, a fireplace insert or a crystal chandelier.
• The commission payable to the agent on the completed sale of your home.
• The time period for which the agreement will be in effect, ending on a specific calendar date.

Your Realtor will provide you with a copy of the listing agreement for future reference, but before you sign be sure that you understand all of the terms within the contract and the agreement has been completed to your satisfaction.

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