Listing contracts come in all shapes and sizes, but there are characteristics which are common to all. Any valid listing contract must have the following elements:

IN WRITING
   All real estate contracts must be in writing.

EMPLOYMENT 
  The listing contract is a personal services contract between you and the broker. It contains all the terms and conditions for employing the broker and authorizing him/her to represent you in the marketing and selling of your home in the Winston Salem, Clemmons, Lewisville, Buena Vista, Advance, Pfafftown or Bermuda Run, N.C. areas.

COMPENSATION
   For any contract to be valid there has to be compensation. The listing contract will specify the amount and timing of payment to your broker. Typically, payment is an agreed upon percentage of the sales price, payable at closing. It is important to note that your obligation to pay your broker may not absolutely depend on a finalized sales transaction. For example, if the Winston Salem, Clemmons, Lewisville, Buena Vista, Advance, Pfafftown or Bermuda Run, N.C broker finds a bona-fide buyer who is willing to pay your asking price and agrees to the terms you have offered, but you get cold feet at the last moment and decide not to sell, the broker has done his job and is entitled to be paid under the terms of the listing contract.

TITLE
   All listing contracts must include the names of everyone who has title interest to the property. Property cannot be sold unless all of them are part of the sale.

TERMINATION DATE
   No listing contract should be signed without it having a specific termination date. The most common duration is 180 days. If the contract has an indefinite duration such as ‘until sold’, or no duration specified at all, don’t sign it. The listing contract is a legally binding document and you don't want to get locked into one with no clearly defined termination date. If the contract expires and you still want to keep using the same broker, you can simply sign a new contract.

There can be and often are other elements to a listing contract. As with any legal document, you should read the listing contract very carefully and be sure you understand exactly what you are agreeing to before signing it. If you have any questions about your listing contract it would be wise to consult a lawyer in the Winston Salem, Clemmons, Lewisville, Buena Vista, Advance, Pfafftown or Bermuda Run, N.C. area for clarification.