Listing fee

Listing fee, or insertion fee, is a type of nominal fee, which ecommerce platforms charge from sellers to post (i.e list) their products on the website. Popular examples include such websites as eBay and Amazon and also online auctions like Catawiki. The listing fee depends on the value of a product seller intends to offer on the platform – the higher the price of products the higher the listing fee will be.

listing fee define

What Is a Listing Agreement?

A listing agreement is a contract under which a property owner (as principal) authorizes a real estate broker (as agent) to find a buyer for the property on the owner’s terms. In exchange for this service, the owner pays a commission.

How a Listing Agreement Works

A listing agreement authorizes the broker to represent the seller and their property to third parties. The listing agreement is an employment contract rather than a real estate contract: The broker is hired to represent the seller, but no property is transferred between the two.Under the provisions of real estate license laws, only a broker can act as an agent to list, sell, or rent another person’s real estate. In most states, listing agreements must be written.Because the same considerations arise in almost all real estate transactions, most listing agreements require similar information, starting with a description of the property. The description typically includes a list of personal property that will be left with the property when it’s sold, as well as a list of personal property the seller expects to remove (for example, appliances, and window treatments).The listing agreement also specifies the listing price, broker’s duties, seller’s duties, broker’s compensation, terms for mediation, an automatic termination date, and any additional terms and conditions.

Types of Listing Agreements

Open Listing- With an open listing, a seller retains the right to employ any number of brokers as agents. It’s a nonexclusive type of listing, and the seller is obligated to pay a commission only to the broker who successfully finds a ready, willing, and able buyer. The seller retains the right to sell the property independently without any obligation to pay a commission.

Exclusive Agency Listing- With an exclusive agency listing, one broker is authorized to act as the exclusive agent for the seller. The seller retains the right to sell the property without obligation to the broker. However, the seller is obligated to pay a commission to the broker if the broker is the procuring cause of the sale.

Exclusive Right-to-Sell Listing- An exclusive right-to-sell listing is the most commonly used contract. With this type of listing agreement, one broker is appointed the sole seller’s agent and has exclusive authorization to represent the property. The broker receives a commission no matter who sells the property while the listing agreement is in effect.

FAQs

What is a listing fee?

A listing fee is a charge imposed by a stock exchange or other financial markets for a company to list its securities (such as stocks or bonds) on that exchange.

Why do stock exchanges charge listing fees?

Stock exchanges charge listing fees to cover the costs associated with maintaining a fair and orderly market, regulatory compliance, surveillance, and providing services to listed companies.

How is the listing fee determined?

The listing fee is typically based on various factors, including the size and type of the company, the number of shares to be listed, and the services provided by the stock exchange.

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