Contracts, agents and the MLS

Listing agreement

Also called listing contract, seller representation agreement

Definition

A contract between a home seller and a brokerage that gives the brokerage the right to market the home for a set period, and spells out the asking price, the commission, the agent’s duties and how the listing ends.

You sign it before the home goes on the market, and it decides how the home is marketed, what you’ll pay and what happens if you change your mind. Under NAR’s rules since August 2024, it must say plainly that the commission is fully negotiable and not set by law.

What are the types of listing agreements?

Most fall into three types. An exclusive right to sell pays the brokerage if the home sells during the term, no matter who finds the buyer. An exclusive agency listing lets you sell to a buyer you find yourself without owing that commission. An open listing lets you hire several brokerages and pay only the one that brings the buyer.

Ask your agent which type you’re signing and whether your MLS accepts it.

What does a listing agreement include?

Look for the list price, the start and end dates, the commission and when it’s paid, whether you’ll offer anything to a buyer’s agent, how the home will be marketed, and who handles showings and lockboxes.

Since August 17, 2024, offers to buyer brokers can’t go on the MLS, so the agreement is where you and your agent decide whether to offer buyer-agent compensation off the MLS or handle it when offers come in. NAR’s Code of Ethics also asks Realtors to explain their compensation policies and the chance of dual agency when you list.

If you want privacy, the agreement should say whether the home goes into the MLS right away, uses delayed marketing, or stays an office exclusive. Under NAR policy, the last two require your signed certification.

How long does a listing agreement last?

As long as you and the brokerage agree; the term is negotiable. If the end date passes without a sale, it becomes an expired listing, and you’re free to relist or hire someone else.

Look for a protection clause, sometimes called a tail. It can require you to pay the commission if, within a set time after the agreement ends, you sell to a buyer who saw the home while it was listed.

Can you cancel a listing agreement?

Only on the terms in the contract, or if the brokerage agrees. Some brokerages release unhappy sellers; others charge a fee or hold you to the term. A withdrawn listing is off the market but the agreement still stands, while a canceled listing ends it.

If you’re unsure what you signed, ask the managing broker, a real estate attorney or your state real estate commission.

Common mistakes

  • Signing without checking the end date and the protection clause.
  • Assuming the commission is fixed. It’s negotiable, and the agreement must say so.
  • Thinking a withdrawn listing cancels the agreement. It usually doesn’t.
  • Not deciding up front whether you’re willing to pay a buyer’s agent.

Questions

How long is a typical listing agreement?

There’s no required length. You and the brokerage choose the term, so ask for one that fits your timeline and your market.

What happens if my home doesn’t sell?

When the agreement ends, the listing expires. You can relist with the same agent, change agents or take a break, subject to any protection clause.

Can I sell my home myself during a listing agreement?

With an exclusive agency or open listing, you can sell to a buyer you found without owing that brokerage. With an exclusive right to sell, you’d still owe the commission under its terms.

Sources

  1. NAR: Settlement FAQs
  2. NAR: Multiple Listing Options for Sellers
  3. NAR: Code of Ethics and Standards of Practice

Written and checked by the Broker & Agent team on October 2, 2026. General information, not legal, tax or lending advice. Something out of date? Tell us.

Related terms

The whole glossary
Exclusive right to sellA listing agreement that gives one brokerage the sole right to sell a home for a set term and pays it the agreed fee if the home sells in that time, no matter who finds the buyer, including the seller.In the glossary Exclusive agency listingA listing agreement where one brokerage markets the home, but the seller keeps the right to sell it themselves without owing that brokerage a commission. If any agent brings the buyer, the listing brokerage is paid.In the glossary Open listingA non-exclusive listing agreement where a seller can work with several brokerages at once and pays only the one that brings the buyer. If the seller finds the buyer, no commission is owed.In the glossary Listing agentThe agent who represents the seller: pricing the home, marketing it, putting it in the MLS, handling showings and offers, and negotiating for the seller through closing. Their duties and pay are set in the listing agreement.In the glossary Real estate commissionThe fee a brokerage earns for helping you buy or sell a home, usually a percentage of the sale price or a flat amount. Commissions are negotiable and are not set by law or by any association.Full guide Expired listingA listing whose agreement reached its end date without a sale. The home comes off the MLS, and the seller is free to relist with the same agent, hire a different one or stop selling.In the glossary

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