In a real estate context, what is an "exclusive right-to-sell" agreement?

An "exclusive right-to-sell" agreement is a type of listing contract between a property owner and a real estate agent or broker that guarantees the listing agent will receive a commission if the property is sold, regardless of whether the agent actually finds the buyer or if the seller finds a buyer independently. This means that the agent has the exclusive right to market and negotiate the sale of the property for a specified period.

The key aspect of this agreement is its guarantee of commission, which incentivizes the agent to invest resources into marketing and selling the property. This aligns the interests of the seller and the agent, as it encourages the agent to dedicate time and effort to securing a sale. Additionally, the exclusive nature of this agreement limits the seller's ability to engage multiple agents simultaneously for the property's sale, thereby ensuring clarity and potential efficiency in the selling process.