What is an exclusive right-to-sell agreement?

In Texas, an exclusive right-to-sell agreement is an agreement between a property owner and a real estate broker that gives the real estate broker the exclusive right to market and advertise the property for sale. Under an exclusive right-to-sell agreement, the property owner agrees to pay the real estate broker a certain percentage of the total sales price as commission. This agreement essentially grants the real estate broker the sole authority to sell the property and allows the broker to act as the exclusive agency in charge of finding a buyer. The exclusive right-to-sell agreement generally sets forth the terms and conditions of the listing, including the time period in which the real estate broker has the exclusive right to market and advertise the property. During the time in which the exclusive right-to-sell agreement is in effect, the property owner may not list the property with a different broker or market it to potential buyers on their own. However, if the property owner does sell to a buyer they have found on their own, they may be obligated to pay the real estate broker a commission. The exclusive right-to-sell agreement gives the real estate broker a level of assurance and protection when marketing a property and assures the property owner that a qualified professional will be handling the sale of their property. It also helps to protect the real estate broker and encourages them to take an active role in finding a suitable buyer.

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