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Andy agrees to help Sandy sell her home. However, Sandy has also asked April, Wayne, Daniel, and Benjamin—real estate licensees from four different firms—to help her sell her home. Only the licensee who brings Sandy a buyer will earn a commission.

What type of agreement is in place?
a) Exclusive Right to Sell Agreement
b) Open Listing Agreement
c) Net Listing Agreement
d) Multiple Listing Agreement

User Wangii
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1 Answer

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Final answer:

The arrangement described is an Open Listing Agreement, where multiple brokers can try to sell Sandy's home but only the one who finds a buyer gets the commission.

Step-by-step explanation:

The type of agreement in place where Sandy has asked multiple real estate licensees from different firms to help sell her home, and only the licensee who brings a buyer will earn a commission, is known as a Open Listing Agreement. In an open listing, the seller retains the right to employ any number of brokers as agents. When a broker from any of the firms successfully secures a buyer, that broker receives the commission.

If the seller finds a buyer independently, no commission is owed to any broker. This contrasts with an Exclusive Right to Sell Agreement, where one brokerage has the exclusive rights to sell the property, a Net Listing Agreement, which involves the broker keeping the excess over the seller's desired net amount, and a Multiple Listing Agreement, which is broader in scope and involves a collaborative approach amongst multiple brokers.

User Alejandro Vargas
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