Find the Right Agent Before You Sign Anything
The listing agreement you sign with your real estate agent is one of the most important documents in the property sale process. Getting the right agent, on the right terms, from the start makes everything that follows significantly easier.
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What Is a Listing Agreement?
A listing agreement is a legally binding contract between a property owner and a real estate agent, authorising the agent to market and sell the property on the owner's behalf under agreed terms.
When you're ready to sell your home, you'll need to sign a listing agreement before your agent can list, market, or negotiate the sale of your property. Understanding exactly what you're signing — and what to look out for — puts you in a far stronger position as a seller.
What Does a Listing Agreement Include?
A listing agreement should clearly document the agreed terms between you and your agent, including:
- Type of agreement — whether it's exclusive, open, sole agency, or another structure (see below)
- Sale price details — the minimum or reserve price, the advertised price, and the agent's estimated selling price (if a price range is given, the upper end cannot exceed the lower by more than 10%)
- Commission and fees — the agent's commission rate, plus any additional costs such as marketing, photography, or auctioneer fees
- Payment conditions — the circumstances under which the agent is entitled to payment (e.g., only on successful sale)
- Commission liability — whether you may owe commission to more than one agent
- Payment method — whether commission is deducted from the buyer's deposit at settlement
- Sale method — private treaty, auction, expressions of interest, etc.
- Settlement period — the agreed timeframe between exchange and settlement
- Agreement duration — how long the agent has the right to sell your property
- Your details, the agent's details, and the property details
Types of Listing Agreements
The types of listing agreements available vary slightly between states and territories, but the main structures used across Australia are:
Exclusive Listing Agreement
The most common structure in Australia. One real estate agent has the exclusive right to sell your property for the duration of the agreement. They may work independently or use their agency network to find buyers, but no other agent can be engaged. Because of this exclusivity, commission rates are typically higher than other agreement types.
Sole / Exclusive Agency Agreement
Often confused with an exclusive listing agreement, but there's a meaningful difference: under a sole agency agreement, one agent has exclusivity — but you retain the right to find your own buyer. If you sell to a buyer you sourced independently, no commission is payable to the agent.
This is often the best of both worlds for sellers who want dedicated representation but also want the flexibility to sell privately if the opportunity arises. Commission rates are generally lower than a full exclusive listing agreement.
Open Listing Agreement
Under an open listing agreement, there are no exclusive rights. You can engage multiple agents simultaneously, and whoever sells the property earns the commission. You're also free to market and sell the property yourself — and if you find the buyer, you owe no commission at all.
The trade-off is that marketing responsibility tends to fall more on the seller, and without exclusivity, agents may prioritise other properties.
Auction Listing Agreement
Functionally the same as an exclusive listing agreement, but used specifically for properties being sold via auction. The agent has exclusive rights to conduct the auction campaign and sale.
Multi-Listing Agreement
You sign with a primary agent who is part of a larger agency network. Your listing is shared across agents within that network, and when the property sells, the commission is split among the agents involved. This can expand buyer reach while keeping your primary point of contact to one agent.
Pros and Cons of Exclusive Listing Agreements
Advantages
- Dedicated marketing campaign — your agent tailors their advertising specifically to your property and target buyer, with no competing incentive to prioritise other listings
- Motivated to achieve the highest price — the higher your sale price, the higher their commission. Your agent has a direct financial incentive to negotiate hard
- No competing distractions — without the risk of another agent selling it first, your agent is fully focused on your property's presentation, open inspections, and buyer follow-up
- Single point of contact — simpler communication and a clearer, more trusting working relationship throughout the campaign
Disadvantages
- Higher commission — generally the most expensive agreement type in terms of both fees and commission rate
- You can't sell it yourself — if you find your own buyer, you still owe commission (if this matters to you, a sole agency agreement is the better option)
- You're locked in — you must stay with the same agent until the agreement ends. If performance is poor, you'll need to wait it out or negotiate an early exit
Pros and Cons of Open Listing Agreements
Advantages
- Competition between agents creates urgency — multiple agents working to sell your property simultaneously often means a faster sale
- Wider buyer reach — each agent brings their own buyer database and may target different demographics
- No commission if unsold — you only pay the agent who successfully completes a sale
- Freedom to sell privately — you retain the right to find your own buyer commission-free
Disadvantages
- Marketing responsibility falls to you — without an exclusive agent running a dedicated campaign, advertising and promotion are largely your responsibility
- Focus shifts to speed, not price — competing agents prioritising a quick sale can compromise the final sale price
- Buyer perception — some buyers may interpret multiple agency listings as a sign the property is difficult to sell, which can work against you
- Strategic low-balling — experienced buyers who identify an open listing may target the agent most likely to present lower offers
Key Things to Check Before You Sign
How Long Should a Listing Agreement Be?
The right agreement length depends on your circumstances, the property, and the current market:
A 90-day listing is the most common starting point nationally. The first month is typically used for active marketing and open inspections. If the property hasn't sold by then, use buyer feedback from your agent to assess whether pricing, presentation, or marketing strategy needs adjusting.
Important: Ask your agent for a written guarantee allowing you to exit after 90 days if you're dissatisfied. This is particularly important if you're entering a six-month agreement — it protects you from being fully locked in if the relationship isn't working.
Are Listing Agreements Negotiable?
Absolutely. You are not obligated to sign any agreement you're not comfortable with. The right agent will want your business and will be willing to discuss the terms. Before signing, confirm:
- Whether the agreement is clearly identified as exclusive or open
- That commission is only payable upon successful sale during the agreement period
- That the agreement specifies its duration
- That there is a dispute resolution clause outlining how disagreements are handled
- That there is a termination clause — typically 30 days' written notice. Any agent unwilling to include this clause should raise a red flag
Cooling-Off Period
Cooling-off periods for listing agreements differ between states and territories, but typically the cooling-off period is one business day after signing. After this point, the contract becomes legally binding. To exit before the end date, you'll generally need to provide 30 days' written notice.
How to End a Listing Agreement
If the agreement expires and the property hasn't sold, both parties can simply choose not to renew. Be aware that some contracts include a protection clause — if a buyer introduced by the agent during the campaign purchases the property within a specified period after the agreement ends, the agent may still be entitled to commission.
If you're ending an agreement early due to dissatisfaction, ensure the current agreement is properly terminated in writing before engaging a new agent. Failing to do so could leave you liable for commission to both agents if the property sells.
If you're ever unsure about your rights when ending an agreement, seek independent legal advice.
What Happens When a Listing Agreement Expires Without a Sale?
When a listing agreement expires without a successful sale, it can be disheartening — particularly given the emotional weight that comes with selling property. But an expired listing is also a valuable reset point. It's time to honestly assess what went wrong and what needs to change.
Common Reasons Listing Agreements Expire
1. The Asking Price Was Too High
Overpricing is the most common reason properties don't sell. In a strong market, sellers are sometimes tempted to push the price — but today's buyers are well-researched. With comparable sales data readily accessible online, an overpriced property stands out immediately and is routinely bypassed.
If your listing expired without strong interest, a comparative market analysis from your agent (or a new agent) may reveal that the asking price needs to be reassessed.
2. Insufficient Marketing and Exposure
Effective marketing is what puts your property in front of the right buyers. If your agent's campaign lacked professional photography, limited the listing to only one or two platforms, or didn't leverage their buyer database, the property may simply not have received enough qualified attention.
3. Poor Communication Between Agent and Seller
A successful property sale requires a consistent, open line of communication throughout the campaign. Regular feedback on inspections, buyer sentiment, and market conditions allows you to make informed adjustments. When this communication breaks down, problems compound and opportunities are missed.
What to Do After an Expired Listing Agreement
1. Assess Your Motivation to Sell
A listing with no clear urgency behind it often underperforms. If you're selling for strong, practical reasons — a growing family, financial goals, a lifestyle change, relocation — that motivation should drive a more proactive campaign second time around. If your reason to sell isn't compelling, it may be worth waiting until it is.
2. Review the Marketing Strategy
Analyse what your previous agent did and what results each activity produced:
- Which platforms did the listing appear on?
- Were professional photos and a floor plan included?
- Were inspections held at times that suited buyers (evenings, weekends)?
- Were virtual tours, direct mail, or social media advertising used?
Identify gaps and ensure your next campaign addresses them.
3. Re-examine the Property's Presentation and Condition
Buyers in your area are comparing multiple properties simultaneously. If yours was in noticeably worse condition than comparable listings, that directly impacted your sale. Before re-listing:
- Address any outstanding maintenance — even minor issues send signals to buyers
- Consider whether targeted improvements (fresh paint, updated fixtures, landscaping) would meaningfully improve buyer perception
- Review whether your price reflected the property's condition at the time
4. Understand What Buyers Said
Your agent should have collected buyer feedback throughout the campaign. Review this honestly — consistent objections about price, condition, or layout are worth acting on. This feedback is one of your most valuable tools going into a second campaign.
5. Decide Whether to Stay With Your Agent or Find a New One
If your agent communicated well, worked hard, and the expired listing was genuinely a product of market conditions or pricing rather than effort — it's worth having an honest conversation with them about what changes a renewed listing would require.
If performance, communication, or effort was lacking, an expired listing gives you a clean opportunity to find the right real estate agent to sell your home. Don't feel obligated to re-sign simply because they know the property. Interview two or three agents, compare their strategies and commission rates, and choose the one who demonstrates genuine local knowledge and a clear plan.
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6. Consider a Private Sale
In most cases, you can sell your property privately or with a new agent 90 days after the listing agreement expires without owing commission to your previous agent. Be aware of any protection clauses in your original agreement — if the buyer was introduced during the active listing period, commission may still apply during the tail period specified in the contract.
The Role of Home Staging in Selling Your Property
Whether you're listing for the first time or re-listing after an expired agreement, home staging is one of the most effective tools available to sellers. Staged properties consistently attract more interest, generate stronger emotional connections from buyers, and in many cases achieve higher sale prices.
Why staging works:
- Creates an immediate positive first impression — critical when buyers are comparing multiple properties in a single weekend
- Helps buyers visualise themselves living in the space, rather than seeing it as someone else's home
- Highlights the property's best features and downplays less appealing aspects
- Reduces the likelihood of extended time on market
DIY staging essentials:
- Declutter — remove excess furniture and belongings to make spaces feel larger
- De-personalise — buyers need to picture themselves in the home, not you. Remove family photos, personalised decor, and distinctive items
- Deep clean — throughout, including carpets, windows, appliances, storage spaces, and outdoor areas
- Minor repairs — address visible issues like scuffed paint, damaged fixtures, or worn caulking before any inspection
- Neutral palette — fresh paint in white or grey tones creates a blank canvas that appeals to the widest range of buyers
Some agents offer staging advice or connections to professional stylists as part of their service. Ask about this when comparing agents.
FAQs: Listing Agreements in Australia
What is a listing agreement?
A listing agreement is a legally binding contract between a property owner and a real estate agent, granting the agent the right to market and sell the property under agreed terms and conditions.
What's the difference between an exclusive listing agreement and a sole agency agreement?
Under an exclusive listing agreement, only the agent can sell the property — you cannot sell it yourself without owing commission. Under a sole (exclusive) agency agreement, the agent has exclusivity, but you retain the right to find your own buyer. If you source the buyer yourself, no commission is owed to the agent.
How long should my listing agreement be?
Most sellers start with a 90-day agreement, which is the national standard for a typical market. In a strong seller's market, 30–60 days may be sufficient. In slower markets or for unique properties, 6 months may be appropriate. Always ask for a 30-day written exit clause if you're entering a longer agreement.
Are listing agreements negotiable?
Yes. Commission rates, agreement duration, marketing inclusions, termination conditions, and dispute resolution clauses are all negotiable. Never feel pressured to sign terms you're uncomfortable with.
What is a cooling-off period for a listing agreement?
Typically one business day after signing, though this varies by state and territory. After this point the contract is legally binding. Early termination usually requires 30 days' written notice.
What happens if my listing agreement expires without a sale?
The professional agreement between you and the agent ends. You can choose to renew with the same agent, sign with a new agent, or wait and consider a private sale (typically after 90 days to avoid commission liability under protection clauses).
Can I sell my property privately after an expired listing?
Generally yes — after the protection period specified in your contract (typically 90 days), you can sell privately or through a new agent without owing commission to the previous agent. Check your agreement's specific terms.
What should I do if I have a dispute with my real estate agent?
Start by putting your complaint in writing to the agent directly, explaining the issue and the outcome you're seeking. If unresolved, contact your state or territory's real estate industry body. As a last resort, make a formal complaint with the relevant state or territory government body. Financial compensation may be available if you've suffered demonstrable loss.
What's the difference between a real estate agent and a buyer's agent?
A real estate agent acts in the seller's interests — listing the property, marketing it, and negotiating the best possible price on your behalf. A buyer's agent acts in the buyer's interests — finding suitable properties, negotiating the purchase price, and handling the buyer's paperwork. If you're selling, you need a real estate agent. If you're buying, engaging a buyer's agent can be a valuable investment.
How do I find the right real estate agent to sell my property?
Compare agents in your area on LocalAgentFinder — see commission rates, sales history, marketing strategies, and verified seller reviews side by side. We recommend interviewing at least two to three agents before signing a listing agreement.
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