What type of listing contract guarantees the broker a commission regardless of who sells the property?

The exclusive right of sale listing is a type of listing contract that ensures the broker is guaranteed a commission regardless of who ultimately sells the property. This means that if the property is sold during the term of the listing agreement, whether it is the broker or a buyer who finds the property independently, the broker still earns a commission.

This contract offers significant motivation for brokers to actively market and sell the property, as they know their commission is secured if a sale occurs during the listing period. It provides a strong incentive for diligent efforts in promoting the property and attracting potential buyers, as brokers are more likely to invest time and resources in marketing when they have certainty in their compensation.

In contrast, an exclusive listing agreement may not necessarily guarantee the same level of commission security, as it could allow for conditions that might not include payment to the broker in all scenarios. Open listings feature the potential for multiple brokers to work on the sale, creating competitive dynamics that might leave the commission in question. A net listing focuses on the seller's desired profit, which can complicate the commission structure. Thus, the exclusive right of sale listing stands out clearly in guaranteeing the broker's commission, providing a framework that is beneficial for both the broker's efforts and the seller's intent to sell