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What is net listing in real estate

User Hervey
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Final answer:

Net listing in real estate is an agreement where the seller sets a minimum price and anything above becomes the agent's commission.


Step-by-step explanation:

Net listing in real estate is a type of listing agreement where the seller specifies a minimum amount they want to receive from the sale, and any amount above that is the real estate agent's commission. It is not a common practice and is actually illegal in some states due to potential conflicts of interest. For example, if a seller sets their minimum price at $200,000 and the property sells for $250,000, the agent would get the difference of $50,000 as their commission.


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