Florida Real Estate Practice Exam

In which agreement is the broker's payment the excess of the sale price over the seller's set price?

1. Net Listing Agreement

2. Open Listing Agreement

3. Exclusive Agency Agreement

4. Option Contract

The correct answer is: Net Listing Agreement

This is because in a net listing agreement, the broker's fee is determined by the excess amount of the sale price over the seller's set price. In an open listing agreement, multiple brokers can compete to sell the property and the commission is typically split among them. In an exclusive agency agreement, the broker only receives a commission if they are the one to successfully sell the property. An option contract is a different type of agreement where the buyer has the right to purchase the property at a specified price within a certain timeframe.