In selling your home, availing the services of real estate agent is important. This is especially true if you want to sell your home at the soonest possible time. For those who selling their home because of an impending foreclosure, time is precious. The sooner you find a home buyer who is willing to pay reasonably, the sooner you can take the appropriate actions.
If you have already decided to sell your home, it’s time to avail of a home listing service. There are different types of listing contracts and each one of them has a distinct feature. Knowing their differences will help you determine which type of listing is right for you. It will also help you stay away from the more unfavorable ones.
Check out the following types of home listing contracts:
This is where a home owner gets a listing agent who will be in charge of marketing the property to other agents. Part of your listing agent’s job is to put an ad of your home in the Multiple Listing Service and show you house to potential homebuyers. Agents can also hold open house to bring in more potential buyers. As the home owners, you can also make an effort to sell. However, in case you make the sale of your home, perhaps to a relative or to your friend, your listing agent will still get a commission. Most agents or real estate companies prefer this type of service over the other types of listing. This is because it guarantees them to earn something out of their efforts to sell your home property.
With an open listing, several real estate agents can show your house to their personal clients. Whoever makes the sale gets the commission. Most agents only accept an open listing if one of their clients is looking for the exact house you’re selling. Otherwise, agents will not be spending their time to market your house or put it in the Multiple Listing Service.
One-Time Show
Like open listing, the home owner also makes contact with several real estate agents so they can show the house to their clients. Agents will not be marketing the house or make an effort to include it in the Multiple Listing Service. However, with a one-time show, the home owner signs an agreement that ensures that the agent will be earning the commission in case his client makes the purchase. This way, the buyer cannot make any direct negotiation with the seller to get the house at a lesser price minus the agent’s commission.
This is the least popular type of listing. Most agents are not willing to accept this type of listing because it involves a lot of work and money and does not guarantee that they will get their commission. With an exclusive agency listing, the agent will only earn his commission if the house is sold by any real estate agent or company. The agent is expected to enlist and market the house. However, there are some cases where some buyers and sellers will make their own negotiation, stripping out the agent from his well-deserved commission.
About the Author
Liz Roberts is a loan consultant with NewHorizon Finance and has been providing consumers
and business owners with home loans financing
since 1989. For years she has helped people with home loan problems especially
pertaining to home mortgage loans and bad credit home loans.
Copyright 2007
