Define “open listing” in real estate.

Prepare for the Alabama Post-License Salesperson Exam. Utilize flashcards and multiple choice questions with hints and explanations. Ensure your success on the exam day.

An open listing in real estate refers to a listing agreement that allows the seller to engage multiple brokers in the sale of their property without granting exclusivity to any single broker. This means that the seller retains the right to sell the property themselves or to authorize multiple agents to find a buyer. As a result, any broker who brings a buyer that completes the sale is entitled to a commission, but there's no obligation for the seller to work with a specific agent. This arrangement often encourages competition among brokers to secure the sale, as they all strive to find a buyer effectively.

In the context of real estate practice, this type of agreement provides flexibility for the seller, allowing them to potentially reach a wider audience by working with several agents simultaneously. However, without exclusivity, it can also lead to less focused marketing efforts from individual brokers compared to exclusive agreements, where a single broker is motivated to put in dedicated resources to sell the property.

Subscribe

Get the latest from Examzify

You can unsubscribe at any time. Read our privacy policy