Seller A wants to net $200,000 after selling her house. She allows Broker B to keep anything above that amount. What type of agreement is this?

The scenario described involves Seller A wanting to ensure that she nets $200,000 from the sale of her house while allowing Broker B to retain any amount above that. This arrangement is indicative of a net listing.

In a net listing agreement, the seller specifies a minimum amount they wish to receive from the sale, and any proceeds beyond this amount can be retained by the broker as their commission. This type of listing incentivizes the broker to sell the property for as high a price as possible, as their commission is directly tied to the sale price exceeding the seller's net figure. It is important to note that net listings are not commonly used and can be subject to legal restrictions in certain areas, including California.

In contrast, exclusive right to sell agreements give the broker the right to earn a commission regardless of who sells the property, while open listings allow multiple brokers to market the property, with the seller only paying the commission to the broker who successfully sells it. Exclusive agency listings provide the seller with the ability to sell the property themselves while still offering a commission to the broker if they find a buyer.

Thus, this particular agreement between Seller A and Broker B qualifies as a net listing due to the specific arrangement regarding the minimum net amount the seller wishes to