Final answer:
An open listing agreement allows a seller to list their property with multiple agents, and the commission is only paid to the agent who successfully finds a buyer.
Step-by-step explanation:
The distinctive feature of an open listing agreement is that it allows a seller to list their property with multiple real estate agents simultaneously. In this type of agreement, the seller only pays commission to the agent who successfully finds a buyer, while retaining the right to sell the property themselves without owing commission to any agent.
For example, if a seller has an open listing agreement with three real estate agents, and one of the agents brings a buyer who successfully purchases the property, only that agent will receive the commission.
This arrangement gives the seller flexibility and the opportunity to sell the property independently without being tied to an exclusive agreement with a single real estate agent.