What is the main difference between an "exclusive right to sell" and an "exclusive agency" listing?

The distinction between "exclusive right to sell" and "exclusive agency" listings is crucial for understanding the various types of listing agreements in real estate. An "exclusive right to sell" listing grants the broker the exclusive right to market the property and earn a commission, regardless of who actually sells the property. This means that even if the owner finds a buyer without the broker’s help, the broker is still entitled to receive a commission. This arrangement is beneficial for brokers because it ensures their efforts are rewarded, and it incentivizes them to actively market the property.

In contrast, the "exclusive agency" listing allows the owner to sell the property on their own without incurring a commission fee to the broker as long as they find the buyer independently. Here, the broker earns a commission only if they, or another broker, facilitate the sale. Therefore, the correct answer explains clearly how the broker's entitlement to a commission operates differently under these two listing types, solidifying the concept of earned commission in the exclusive right to sell situation. This makes it a critical point of understanding for anyone studying real estate listings and agreements.