| Term | Definition |
|---|
| Broker Protection Clause | Protects broker from buyer and seller making contract behind broker's back. Provides for commission if broker's buyer purchases a period after listing expires. |
| Buyer Agency Agreement | Employment contract in which the buyer hires the broker to find a property to buy. Broker owes fiduciary responsibilities to buyer/client |
| Competitive Market Analysis (CMA) | Analysis of market activity among comparable properties; not an appraisal |
| Exclusive-Agency Listing Agreement | One agent (broker) is hired; broker receives a commission only if he or she is the procuring cause; seller retains right to sell without obligation to pay commission |
| Exclusive-Right-To-Sell Listing Agreement | One agent (broker) is hired; broker receives a commission regardless of who finds the buyer for the property |
| Expiration of listing | Specific termination of listing; in most states, failure to specify specific date is grounds for suspension or revocation of license |
| Indemnification | In a listing, a clause that states that the seller and broker will not sue each other for any incorrect information supplied by one to the other |
| Market Value | Most probable price the property will sell for in an arm's-length transaction under normal conditions on the open market |
| Multiple-Listing Service (MLS) | Marketing organization in which brokers share information and commission with other brokers; sellers gain because of greater exposure to larger marke |
| Net Listing | Broker entitled to any amount above the seller's stated net; often illegal; potential conflict of interest between broker's interest and seller's interest |
| Open Listing | Multiple agents; only the selling agent (broker) entitled to commission; seller retains right to sell independently without obligation to pay anyone a commission |
| Option Listing | Broker has the right to purchase the property; broker must be very hones to avoid charges of fraud |
Combine with other sets
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