Ever wondered what an exclusive listing in real estate actually is? Well, it means you grant a single agency or agent the right to sell your property. An exclusive listing is the most typical listing agreement that home sellers will choose when they sell their home.

It means that the real estate agent you choose will represent you for all intents and purposes, and will work with your best interests at heart to get you the best price for your home. When you sign an agreement, it will usually stipulate a set length of time that the agent has to sell your home. After this time, you can cancel their services with no charge.

Why should you offer a real estate agent an exclusive listing when you can opt for an open listing and have several real estate agents working on your behalf? There are pros and cons to both types of listings, but an exclusive listing is worth considering. See below to find out why.

Advantages of an exclusive listing

On the surface, an open listing may seem like a better option. You pay a lower commission than an exclusive listing and can do your own marketing and advertising.

While paying a lower commission might sound tempting, there are advantages to an exclusive listing. You will have to pay a higher commission. Advertising and other fees will also be higher, but an exclusive listing gives you advantages you might not think about:

• You have a genuine working relationship with a single real estate agent
• Your real estate agent will work harder on your behalf
• An exclusive agent will work with you to make sure you get the highest possible price for your property
• Exclusive listings tend to attract better offers than open listings

When you work with a reputable exclusive agent, they will work with you. They can:

• Suggest renovations that will increase the value of your property well beyond the cost of the renovations
• Work out an advertising and marketing strategy for you to attract higher offers
• Discuss the advantages or disadvantages of selling at auction

In short, when you give a real estate agent an exclusive listing, you have a professional working on your behalf. With an open listing, real estate agents may compete, but they may compete against each other instead of acting on your behalf. They may take any offer that comes along and try to convince you to accept it. Your property may not be their priority. Their exclusive properties will usually come first.

Read: 6 easy ways to add value to your home in one weekend

Disadvantages of an exclusive listing

Signing an exclusive agency agreement gives one agent total control of your sale for a set period. While that can streamline the process, it’s worth weighing the downsides before you commit:

• Reduced market exposure – your property appears only in that agent’s network and marketing channels, limiting reach if the campaign isn’t aggressive.
• Less negotiating leverage – with no competition between agents, you rely on one strategy and fee structure; if results disappoint, you can’t pivot quickly.
• Locked-in contract term – most exclusives run 60–90 days; breaking early can trigger cancellation fees or require written notice.
• Risk of mismatched chemistry – if communication style, pricing advice or campaign approach feels wrong, you’re still tied to that agent until the agreement ends.
• Potential for complacency – knowing they’re guaranteed the commission, some agents may ease off on buyer follow-up or advertising spend compared with an open listing.
• Dual-agency clauses – many agreements pay the full commission even if you find the buyer yourself, reducing flexibility to sell to friends or family privately.

Balancing these drawbacks against the upside (focused attention, clearer accountability and often a lower overall fee) will help you decide whether exclusivity or an open listing best suits your selling goals.

What to know before signing an exclusive agreement

You have to do your homework before you choose a real estate agent. You should interview at least three real estate agents and don't make your decision based on commission alone. Some may charge a lower commission, but higher fees. Some real estate agents will charge a slightly higher fee, but include some advertising in the agreement.

You need to read the fine print before you sign an exclusive contract. Pay special attention to the period of the contract. Some real estate agents may work hard to get you to sign an exclusive agreement, but not do their job after you have signed the agreement.

If you've signed a contract that gives them exclusive rights to sell your property for a year, you won't be able to find another agent until a year has passed. If a contract is for a year, you don't have to sign it. Negotiate a lower period. 30 to 90 days will give you enough time to evaluate your real estate agent's performance. If you're not satisfied, you can change to another agent after the length of time you've negotiated has passed.

Read: How to interview agents and negotiate their fees 

The advantages of an exclusive listing often outweigh the disadvantages, but it depends on the real estate agent you choose. OpenAgent can suggest reputable real estate agents in your area. Interview them all and choose an agent you believe will serve you best at a fair rate.