Today, most homeowners prefer to involve a real estate agency when selling their home. Selling home is often one of the most important financial decisions of a lifetime and finding the right real estate agency is therefore imperative when selling home. When you choose between different real estate agencies it is important to look at the different types of the contract offered by the agencies. There are three basic types of contracts: Exclusive Right to Sell House Listing Agreement, Exclusive Agency listing and Open Listing.
The most popular type of contract between homeowners and real estate agencies when selling house is the Exclusive Right to Sell House Listing Agreement. When you sign such a contract, you give that specific real estate agency exclusive right to sell your house. Even if you find someone to sell home to by yourself, you will be required to pay the agreed commission to the real estate agency. When you set up an Exclusive Right to Sell House Listing Agreement you should make sure that it is a time-limited agreement, since you do not want to be stuck with a real estate agency that is incapable of selling home within a reasonable time frame. How long it will typically take to sell home will naturally depend on the region in which your home is located and the characteristics of your home.
The second type of contract is the Exclusive Agency listing. This type of contract will give one real estate agency the exclusive right to market your house and selling the house. This contract is however different from the Exclusive Right to Sell House Listing Agreement in one important aspect – you will still be permitted to refrain from paying the real estate agency any commission if you sell home to a buyer that was not introduced to your house by the real estate agency.
With an Open Listing, no agency will have the exclusive right of selling house for you. You can sign up for Open Listing with several agencies and the one that brings you a buyer will usually earn a commission. You can also sell home by your self if you find a suitable buyer on your own. If you sell home without the aid of any of the real estate agencies you will obviously not pay any commission.
The type of listing that you choose when selling home will in most cases affect the amount of help and assistance that you will receive from the real estate agency significantly. Many real estate agencies only offer Exclusive Right to Sell House Listing Agreements, since they do not want to devote a lot of time, effort and money in order to sell the home if it is possible for the homeowner to go behind their back and arrange the deal directly with the buyer. Keep in mind that selling house will involve a lot of planning, advertising etcetera. The real estate agent will also in many cases organize one or more open house arrangements which are also time-consuming and they will naturally wish protect their investment with an Exclusive Right to Sell House Listing Agreement. If you opt for an Exclusive Agency listing the real estate agency will be in a more vulnerable position and there might be disputes regarding who actually introduced the buyer to the house. If you choose to sign up for Open Listings you will probably not receive any heavy marketing from the real estate agency, but you will on the other hand be able to sign up with a multitude of different real estate agencies and hope that prospecting buyer find their way to their listings, websites etcetera.