What type of agreement allows sellers to pay only one broker who brings a buyer?

What type of agreement allows sellers to pay only one broker who brings a buyer?

• A. Exclusive Right to Sell Agreement
• B. Open Listing Agreement
• C. Exclusive Agency Agreement
• D. Brokerage Agreement

Answer: (B)

The Open Listing Agreement is the correct choice because it is a type of agreement that allows sellers to work with multiple brokers but only pays a commission to the broker who successfully brings a buyer. In an open listing, the seller retains the right to sell the property themselves without owing a commission if they find a buyer on their own. This arrangement minimizes the seller's liability as they are only obligated to pay the broker that ultimately secures a buyer for the property. In contrast, other types of listings, like the Exclusive Right to Sell Agreement, ensure that the broker is paid a commission regardless of who finds the buyer, whether it is the broker or the seller acting independently. The Exclusive Agency Agreement allows for a similar commission structure but still provides the seller with the option to sell without owing a commission if they find a buyer. Lastly, a Brokerage Agreement is a more general term that can encompass various forms of agreements between a seller and a brokerage but doesn't specifically relate to the commission payment structure described in the question.

The Open Listing Agreement is the correct choice because it is a type of agreement that allows sellers to work with multiple brokers but only pays a commission to the broker who successfully brings a buyer. In an open listing, the seller retains the right to sell the property themselves without owing a commission if they find a buyer on their own. This arrangement minimizes the seller's liability as they are only obligated to pay the broker that ultimately secures a buyer for the property.

In contrast, other types of listings, like the Exclusive Right to Sell Agreement, ensure that the broker is paid a commission regardless of who finds the buyer, whether it is the broker or the seller acting independently. The Exclusive Agency Agreement allows for a similar commission structure but still provides the seller with the option to sell without owing a commission if they find a buyer. Lastly, a Brokerage Agreement is a more general term that can encompass various forms of agreements between a seller and a brokerage but doesn't specifically relate to the commission payment structure described in the question.