What characterizes exclusive agency agreements?

Exclusive agency agreements are characterized by a situation where one broker is granted the authority to market and sell the property, but the seller retains the ability to sell the property on their own without incurring a commission fee to the broker. This means that while the seller is partially committed to working with one specific broker—allowing that broker to list the property exclusively—they maintain the option to find a buyer independently. If the seller successfully sells the property without the broker's assistance, they can do so without paying the broker a commission.

This arrangement creates a certain level of motivation for the broker to actively market the property, knowing their commission is at stake if the seller doesn't find a buyer on their own. In contrast, other options outline scenarios that do not align with the exclusive agency model, such as allowing multiple brokers or making it easier for anyone to sell the property without obligations, which would undermine the exclusivity intended in such agreements.