A listing agreement is more than just paperwork — it’s the foundation of your real estate selling experience. Understanding the different types helps you protect your interests, choose the right partnership, and set your sale up for success.
When you’re ready to sell your home, one of the most important steps you’ll take is signing a listing agreement with a real estate agent. But not all listing agreements are the same — and understanding the different types can help you make smarter, more informed decisions.
In this guide, we’ll break down the main types of listing agreements, what they mean, and which one might be best for your situation.
What Is a Listing Agreement?
A listing agreement is a contract between a property owner (you) and a real estate broker (your agent), outlining the terms and conditions under which the broker will represent you in the sale of your property.
It covers things like:
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The listing price
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The length of the agreement
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The commission fee
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Agent responsibilities
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Marketing strategies
But most importantly, it defines the type of relationship you have with your agent — and how the sale will be handled.
1. Exclusive Right to Sell Listing
Most common — and most protective for the agent.
With this agreement:
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Only your chosen agent can sell the property.
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Even if you find the buyer, your agent still earns a commission.
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The agent puts in maximum effort (marketing, staging, open houses) because their work is protected.
Best for: Homeowners who want full professional support and maximum exposure
“A building’s foundation may be concrete, but its true structure is built from vision, purpose, and the aspirations of those who inhabit it.” Matt Mullenweg, 2017
2. Exclusive Agency Listing
Slightly more flexible — but more risky for the agent.
With this agreement:
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Only one broker represents the property.
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If the agent finds a buyer, they earn a commission.
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If you find a buyer on your own, you don’t owe the agent anything.
Be cautious: Agents may put in less effort since there’s no guarantee of a payout.
Best for: Sellers who want to try finding a buyer themselves while still having agent backup.
3. Open Listing
Non-exclusive — you can work with multiple agents.
With this agreement:
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Any agent who brings a buyer gets the commission.
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If you find a buyer yourself, you owe no commission.
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Agents are in competition — no one gets paid unless they close the sale.
Downsides: Agents may not invest much time or money marketing your property.
Best for: Experienced sellers or those selling in a hot market.
