There are three types of listing agreement you can sign when asking a brokerage to sell your property: exclusive right-to-sell, exclusive agency, and open listing. Here's how they differ and how to think about choosing between them.
- There are three types of listing agreement — exclusive right-to-sell, exclusive agency, and open — which differ in how many companies you can work with, whether REINS registration is required, and how often you get progress reports.
- Exclusive right-to-sell and exclusive agency both commit you to a single company, which is required to register your property with REINS within a set period and report on marketing activity at regular intervals.
- An open listing lets you work with multiple companies at once, but carries no obligation for REINS registration or regular reporting.
- Which agreement suits you best depends on the property's characteristics, how quickly you need to sell, and how well you get along with the brokerage.
Conclusion
There's no single right answer when it comes to choosing a listing agreement — the choice comes down to the property's characteristics, how quickly you need to sell, and the track record of the brokerage you'd like to work with. We recommend understanding how each type of agreement works and deciding in consultation with your brokerage.
Exclusive Right-to-Sell Agreement
An exclusive right-to-sell agreement commits you to working with a single brokerage. Not only can you not also engage other brokerages, but even if you find your own buyer yourself — a friend or acquaintance, for example — that sale must, in principle, still go through your brokerage. Under the Building Lots and Buildings Transaction Business Act, the contract term is capped at three months. The brokerage is required to register your property with REINS within five business days of signing and to report on marketing activity at least once a week.
Exclusive Agency Agreement
An exclusive agency agreement also commits you to a single brokerage, but unlike the exclusive right-to-sell type, it allows you to sell directly to a buyer you've found yourself. The contract term is likewise capped at three months. The REINS registration deadline is seven business days after signing, and marketing reports are required at least once every two weeks — both slightly less strict than under the exclusive right-to-sell type.
Open Listing Agreement
An open listing agreement lets you ask multiple brokerages to sell your property at the same time, and you're also free to sell directly to a buyer you've found yourself. Unlike the exclusive right-to-sell and exclusive agency types, there is no legal requirement for REINS registration or regular reporting. There's also no legal cap on the contract term, though administrative guidance commonly leads to a three-month term in practice. You can choose a disclosed version, where you name the other companies you've engaged, or an undisclosed version, where you don't.
The Pros and Cons of Each
Exclusive right-to-sell and exclusive agency agreements have the advantage that, by committing to a single company, the brokerage can focus its efforts on marketing your property, and REINS registration and regular reports make it easier to track progress. The flip side is that your entire sale depends on that one company's marketing strength. An open listing tends to increase your exposure by working with several companies, but each one may be less invested, and without REINS registration or reporting requirements, it can be harder to know exactly where things stand.
How to Think About Which Agreement to Choose
For a property in a popular area or with strong conditions, one approach is an open listing that has several companies compete for the sale. On the other hand, if the property needs a more tailored marketing approach, or if you'd rather avoid risks like agent lock-out while keeping close track of progress, choosing an exclusive agency or exclusive right-to-sell agreement and letting one trusted company run with it can be the better fit. It's also worth weighing the proposal you receive when requesting an appraisal, and how well you click with the agent, as part of your decision.
FAQ
Can I switch listing agreements later?
You can switch to a different type of listing agreement by not renewing at the end of the contract term, or by following the mid-term cancellation procedure set out in the agreement. Check the terms in advance.
Does an open listing always sell faster?
Working with multiple companies does increase your exposure, but each company may put less effort into marketing your property as a result. Whether an open listing suits you depends on the property and your circumstances.
Can I check for myself whether my property was registered with REINS?
Under an exclusive right-to-sell or exclusive agency agreement, your brokerage issues a registration certificate proving the REINS registration, so you can check it there.
- The right approach is to weigh several conditions together, not judge on a single point alone.
- In selling, what's written in an ad and what's written in the contract don't always mean the same thing.
- When you're torn, it helps to sort conditions into three groups: non-negotiable, open to discussion, and dealbreakers.
- Before making a final decision, it's worth reviewing the appraisal report, the registry, the property tax notice, the management rules, and the loan payoff statement.
The Judgment Framework in Practice
What matters most on this topic is not judging by surface-level benefits alone. The right answer for anyone considering a sale depends on budget, timing, family situation, how you work, and your future plans. Start by putting into words what would make daily life and your finances easier if you prioritized it, then work through the conditions one by one — that approach tends to prevent mistakes.
The core of the decision isn't price alone — it's sorting out your selling deadline, taxes, remaining loan balance, and post-handover risks as you move forward. The better a candidate looks, the more it's worth checking, before you rush to decide, where the conditions are that you can't change later.
In selling especially, small gaps can appear between what's written in the materials and how conditions are actually applied in practice. Rather than leaving anything you're unsure about as a verbal exchange, confirming it in writing — email, an application form, or the contract itself — helps prevent misunderstandings later.
- Target selling timeline and minimum net proceeds
- Basis for the appraisal and comparable sales nearby
- Remaining loan balance, mortgage, and tax considerations
- Listing agreement type and marketing approach
How to Think About It When You're Torn
When you're torn, it helps to split conditions into what you need right now and what you can change later. Look carefully at things that are hard to change afterward — location, contract terms, title, and the building's management condition. Things you can adjust after moving in, like furniture layout or certain fixtures, can often be given lower priority.
Choosing a company based on the highest appraisal value alone can lead to price cuts and a drawn-out sale once marketing begins. Rather than rushing to a conclusion on the spot, laying candidates out in a comparison table — total cost, risk, and livability side by side — tends to lead to a decision you can feel confident about.
Summary
There are three types of listing agreement — exclusive right-to-sell, exclusive agency, and open — which differ in how many companies you can work with and in their REINS registration and reporting obligations. Understanding the features of each and choosing the agreement that fits your property and situation is the key to a smooth sale.