-
What it is: A non-exclusive deal with one or more agents to help sell your home.
-
What you pay: A commission only if an agent introduces the buyer who closes — nothing otherwise.
-
What you keep: The right to sell FSBO and pay no listing commission if you find the buyer yourself.
What is an open listing agreement?
An open listing is a non-exclusive contract between a seller and a real estate agent (or several agents). It stipulates that the seller will pay a real estate agent commission if the agent introduces them to a buyer who ultimately closes on the home.
Unlike other listing agreements, an open listing lets the seller retain the right to pursue a for sale by owner (FSBO) transaction. If the seller finds a buyer who closes, they won’t have to pay a listing agent a commission.
In practice, a FSBO seller may sign multiple open listing agreements with different agents as a low-risk way to attract more prospective buyers for their home.
Open vs. exclusive listing agreements
Most listing agreements fall into one of three buckets. The difference comes down to who can bring the buyer and when you owe a commission. Here is how an open listing stacks up against the two exclusive options:
| Feature | Open listing | Exclusive agency | Exclusive right to sell |
|---|---|---|---|
| Can you sell it yourself commission-free? | Yes | Yes | No |
| Can you use multiple agents? | Yes | No (one agent) | No (one agent) |
| Who owes the agent commission? | Only if that agent brings the buyer | The agent, unless you find the buyer yourself | The agent, no matter who finds the buyer |
| Typical term | 3–6 months | 3–6 months | 3–6 months |
| Best for | FSBO sellers who want extra buyer reach at no upfront cost | Sellers who want one agent but keep a FSBO option | Sellers who want full representation and hands-off marketing |
If you want to sell on your own but still tap into an agent’s buyer network, an open listing is usually the right fit. If you would rather hand the whole thing off, an exclusive right-to-sell agreement with a low-commission agent is worth a look.
“Open listings usually create a lack of accountability…" says Yawar Charlie, Director of Estates at Christie’s International Real Estate Southern California, with 19 years selling Los Angeles residential real estate. "For most sellers, an exclusive right-to-sell agreement is the cleanest and strongest structure.”
Open listings help FSBO sellers market their homes
One of the biggest challenges for FSBO sellers is connecting with qualified buyers — and open listings can help you do just that.
When you sign an open listing agreement with an agent, they’ll actively look for buyers whose criteria match your home in the hope that their connection will lead to a commission.
Local agents are ideally positioned to help sellers find a motivated buyer and close fast because of their connection to other agents working with buyers. Nearly 90% of home buyers work with real estate agents.[1]
That means an agent can connect you to far more potential buyers than you could typically reach on your own. In fact, nearly one-third of buyers (29%) find their home directly from their agent — compared to just 2% of buyers who discover their home directly from the seller.[2]
Why FSBO sellers should consider covering the buyer’s agent feeThe buyer’s agent commission is typically 2–3% of the sale price. For a home that sells at $400,000, that translates to $8,000–12,000.It's standard practice for the sellers to cover the buyer's agent commission. Many buyers can't afford to pay their agent out of pocket on top of the down payment and other costs. Offering to cover the buyer's agent fee is an investment — but it can increase your pool of potential buyers and help you sell faster. However, you're under no obligation to cover it. Following the recent NAR lawsuit settlement, the buyer’s agent commission is now negotiated between the buyer and their agent in their contract, rather than set by the seller in their MLS listing. While this could change the standard practice in the future, most sellers are still offering to cover the fee (often through a concession) to attract more buyers. |
Key benefits of open listings for FSBO sellers
Open listings are non-exclusive
You can sign open listing agreements with multiple agents, which increases your home’s visibility at zero upfront cost or additional time commitment.
You only pay if and when an agent’s buyer closes on the home
Unlike some other FSBO marketing tactics — namely flat fee MLS services, which charge a flat fee upfront for a limited set of services — agents will proactively pitch your home to motivated buyers at no out-of-pocket cost to you.
You retain the right to sell FSBO
You only pay an agent’s commission if they bring the buyer who ultimately closes on the home. If you find your own buyer, you can avoid paying realtor commissions entirely.
What you won’t get from an open listing agreement
When you sign an open listing agreement, the agent is not agreeing to represent you in the transaction.
Open listings simply stipulate payment terms if the agent finds your eventual buyer.
In other words, the agent will be solely supporting their client and looking out for their interests in the sale. You will still have to manage your side of the transaction and look out for your own interests, as is the case with any FSBO sale.
Is an open listing right for you?
It comes down to how much help you want and how much you want to save:
If you want maximum buyer reach at no upfront cost, an open listing (or several) is a smart, low-risk play.
If you just need MLS exposure, a flat fee MLS service will list your home for a set fee — usually $100–500 — and leave the rest to you.
If you want full representation and a higher likely sale price, a low-commission agent gives you an agent’s expertise for as little as 1.5%.
Example: Open listing agreement
As with any legally binding contract, you should carefully review the terms of an open listing agreement before signing.
The terms of your open listing agreement will define your relationship with each agent:
These terms will cover all the basics, including:
- Details about your property (e.g., address, listing price)
- When the contract begins and ends
- The agent’s commission rate
- When you’ll be obligated to pay commission
The contract should also note that your relationship with any given agent is non-exclusive:
This means you’re free to enter as many open listing agreements as you please, or find a buyer yourself, without facing legal repercussions.
Common clauses in open listing agreements
- Cancellation: Establishes a procedure for terminating the contract.
- Criteria for screening offers: Outlines specific requirements for screening buyers, including things like a minimum offer price or deposit, closing timeline, or contingencies.
- Dual agency: If your state allows dual or designated agency, it might be mentioned in your contract. If you plan to sell FSBO, just make sure you’re not agreeing to dual agency, in which the buyer’s agent would represent you.
- Fair housing compliance: Under federal law, neither the seller nor the agent can discriminate against potential buyers based on their race, color, creed, religion, sex, national origin, handicap, or familial status.
- Listing price: The price you’re asking for, based on your home’s condition and similar properties in the area.
- Non-exclusivity: Allows you to sign open listing agreements with other agents or find your own buyer.
- Payment terms: The commission structure and rate/fee to be paid if the agent introduces you to the buyer who ultimately purchases your home; note that this could be a percentage of the sale price, a flat fee, or an hourly or retainer rate.
- Permission to market on your behalf: Allows the agent to market and show your home, possibly including a lockbox or yard sign.
- Seller’s disclosures: Required disclosures vary by location, but typically include material defects and any potential financial issues that would impact the sale, such as bankruptcy, back taxes, or loan defaults.
- Timeline: A fill-in-the-blank section that defines when your contract begins and ends; most listing agreements last three to six months.
How to back out of an open listing
When you sign an open listing agreement with an agent, you’re only obligated to pay commission if you accept an offer from their buyer — so you probably won’t need to terminate the contract.
The most important thing to remember is that open listing agreements are legally binding. That means you can’t try to back out while secretly working with a buyer behind their agent’s back.
Doing so would open you up to a world of legal trouble, including the possibility of a lawsuit.
Still, your open listing agreement should include a clause about cancellation:
Typically, canceling your open listing agreement will need to happen in writing.
If you decide not to sell FSBO and opt to proceed with an agent, signing an exclusive contract may render your open listing agreements null and void. Be sure to check the fine print!
“Whatever you sign, check the term length and the holdover/protection clause, which can leave you liable for a commission for a set period after the listing ends if the agent introduced your eventual buyer,” says James Rothfuss II, broker at Rothfuss Team Realty in Tampa Bay, FL.
Alternatives for FSBO sellers
Use a flat fee MLS service
Even if you sign an open listing agreement (or several), it’s still a good idea to list your home on the multiple listing service (MLS) — the database that agents rely on to scout homes for their clients.
Popular home search websites such as Zillow and Realtor.com pull listings from the MLS, so it’s one of the best ways to market your property.
Only licensed real estate agents can list homes on the MLS, so FSBO sellers need to enlist someone to do this on their behalf. Flat fee MLS companies offer an affordable solution.
These companies charge a set fee — usually $100–500 — which is far less expensive than hiring a full-service real estate agent. They'll list your home on the MLS, but you'll still be on your own for everything else, like pricing your home, negotiating with buyers, and figuring out paperwork.
Work with a low-commission agent
Low-commission agents offer full-service representation at a fraction of the traditional 2.5–3% listing fee, often charging as little as 1.5%. You’ll still save thousands on commission, but unlike selling FSBO, you’ll also benefit from an agent’s expertise in pricing, marketing, and negotiating — all of which can lead to a higher sale price.
That difference matters. In 2025, FSBO homes sold for about 18% less than homes with a selling agent, according to NAR data.[3]
Even after paying a reduced commission, you'll likely walk away with more money overall than if you sold FSBO for less and skipped the listing fee entirely.
If you want the best of both worlds — a maximized sale price and major commission savings — Clever Real Estate can connect you with top-rated local agents who charge only 1.5%. Just answer a few simple questions, and we'll send agent matches straight to your inbox.
- FSBO listings sell for 18% less on average vs. agent-assisted sales[3]
- Clever lets you list with top local realtors for just 1.5% at closing
- Get full in-person representation, showings, pro photos, and more
Frequently asked questions
Yes. An open listing is a real contract, so its terms are enforceable — including the commission you owe if an agent brings the buyer who closes. You cannot work around an agent to dodge that commission. If you need out, cancel in writing per the agreement’s cancellation clause.
Yes, and that is the whole point. Because open listings are non-exclusive, a FSBO seller can sign agreements with several agents to maximize buyer reach. You only owe a commission to the agent whose buyer actually closes — not to all of them.
With an open listing you can use multiple agents and still sell it yourself commission-free. With an exclusive listing you commit to one agent, and depending on the type, you may owe that agent a commission even if you find the buyer yourself. See the comparison table above for the full breakdown.
No. Retaining the right to sell FSBO is the main appeal of an open listing. If you find the buyer yourself, you owe no listing commission. The one exception: if an agent’s buyer is the one who closes, that agent earns their commission under the agreement you signed.
