Option listing real estate

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It is a non-exclusive agreement, meaning the owner may execute open listings with more than one real estate broker and pay only the broker who brings an able buyer whose offer the owner accepts. Therefore, owners do not pay a broker to represent the owner, but do pay the broker to represent the buyer.

Real Estate Terms, Definitions and Dictionary

Traditionally, when sellers put their home on the market, they can consider many buyers and sell to whomever they want. Once a buyer has an option to buy a property, the seller cannot sell the property to anyone else.

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"Exercise" of an option normally requires notice and payment of the contract price.

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Option listing real estate:

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