Exclusive Listings Agreement vs MLS in Real Estate
The difference between Exclusive Listings and MLS listings
Under the Exclusive Listing Agreement, the property is not listed in MLS and is shown only by the agents of the brokerage signed with the seller. Only under specific authorization from the seller, the selling brokerage could cooperate with other brokerages in Toronto.
However, MLS is a collection of systems and services that contains home sale information. When a real estate agent, who is a member of the local real estate board, needs to find prospective homes for their clients or book an appointment, they enter into the MLS. Most of the properties are sold via MLS in the current market.
What are the benefits of using an Exclusive Listing?
The property itself is normally in the high-end value. The seller may have specific requirements on how the property is viewed with considerations such as privacy, as the seller may want to have more strict rules to qualify the potential buyers.
However, since the selling brokerage is assigned the sole right to market and sell the property, Exclusive listing lacks the exposure to the potential buyers who are working with the non-selling brokerage.
- The normal validity period in MLS is at least 60 days, while the exclusive listing could start with a shorter period of time.
- The sellers may have a specific group of potential buyers in mind and direct the listing to the brokerage that has a reputation of such an appropriate connection.
