What does it mean to have an "exclusive agency" listing?

Having an "exclusive agency" listing means that the seller retains the ability to sell the property on their own without having to pay a commission to the listing broker if they do so. In this type of arrangement, the broker is granted the exclusive right to represent the seller, but the seller still holds the right to sell the property independently. Therefore, if the seller finds a buyer without the broker's assistance, they do not owe any commission to the broker.

This arrangement serves as a compromise between an exclusive right to sell listing, where the broker earns a commission regardless of how the buyer is secured, and an open listing, where multiple brokers may market the property without exclusive rights. The exclusive agency listing primarily entices sellers who wish to have more control over the sale process while still benefiting from the broker's marketing and expertise.

The other options do not accurately reflect the terms or implications of an exclusive agency listing. For instance, requiring the brokerage to be paid regardless of the sale outcome does not apply here, as sellers can indeed sell the property themselves without incurring commission obligations. Additionally, the broker retains responsibilities in terms of marketing and promoting the property, and the concept of exclusivity applies primarily to the representation, not a blanket requirement for sales.