What Should a Real Estate Listing Agreement Include?

Last Updated: October 29, 2026

Table of Contents

• What a Listing Agreement Is and the Authority It Grants
• The Parties, Property Address and Legal Description
• Listing Price, Written Appraisal and Pricing Method
• Exclusive vs Non-Exclusive Listing and Sale Method
• Your Real Estate Listing Agreement Checklist
• Real Estate Agency Agreement Fees and Commission
• How Long Does a Real Estate Listing Agreement Last?
• Agent Responsibilities and the Marketing Plan
• Seller Responsibilities, Disclosure and Property Condition
• Chattels, Fixtures, Whiteware and What Stays
• Showings, Property Access and Privacy Permissions
• Protection Periods and Post-Expiry Obligations
• How to Cancel a Real Estate Agency Agreement
  • Amendments and Early Termination
  • Dispute Resolution and Complaints
• Red Flags to Check Before You Sign
• Book an Appraisal and Get Your Agreement Reviewed
• Frequently Asked Questions

What a Listing Agreement Is and the Authority It Grants

A real estate listing agreement is the written contract that gives a licensed agent legal authority to market and sell a property on the owner’s behalf. It sets out who is selling, what is being sold, the asking price, how long the arrangement runs, and how the agent gets paid. Get it wrong and you can be locked in for longer than you expected. Get it right and you have a clear plan.

This guide from Big Mike covers the clauses worth checking before you sign. Below, we break down each section of a standard agency agreement so you know what you are committing to.

A listing agreement is a legally binding contract, not a formality. A listing agreement should be in writing, and it is wise to have it signed before any work is done. That single fact makes the document worth more attention than the open home.

Real Estate Authority guidance for sellers

The Parties, Property Address and Legal Description

Every agreement starts with the basics: who is selling, who is buying nothing, and what exactly is on the market. The parties section names the seller or sellers, the agent, and the real estate agency the agent works under. All sellers named on the title should appear here. If a spouse, trust, or company holds an interest, they sign too, or the agreement may not bind them.

The property address and legal description matter more than most sellers realise. The street address helps buyers find the home. The legal description, usually the lot and deposited plan number, identifies the exact parcel of land. Get this wrong and you could be marketing the wrong title or missing a boundary.

Check that the agreement also records:

• The agency’s registered name and contact details
• Each seller’s full name as it appears on the title
• The property’s legal description from the record of title
• Any chattels or fixtures included in the sale

A common mistake is signing as an individual when the property sits in a family trust, so check who the contracting party should be before you sign.

Listing Price, Written Appraisal and Pricing Method

The listing price is the seller’s stated asking figure, but it should follow a written appraisal, not a hopeful guess. A written appraisal records the agent’s opinion of market value, the comparable sales behind it, and the assumptions used. Ask for it in writing before you agree to any number.

Pricing method shapes everything that follows. Price by negotiation invites offers at any level. A deadline sale sets a date for offers. Tender keeps offers private. Auction puts buyers in the room against each other. Each method changes how the market reads your property, and each suits a different situation.

Do not confuse the listing price with the rateable value. Rateable values are set for rating purposes and often lag the market by years. They are a rough reference point, not a valuation, and pricing to your rateable value can leave money on the table or stall a sale.

Understanding rateable values and market value

Exclusive vs Non-Exclusive Listing and Sale Method

An exclusive listing gives one agency the sole right to sell during the listing period. A non-exclusive listing lets you appoint more than one agency, or sell privately, at the same time. Exclusive arrangements usually come with more marketing investment from the agent, because they know the work will not be shared. Non-exclusive keeps your options open but can muddy your marketing message.

Sale method sits alongside this choice. Auction works well when buyer demand is strong and the property is easy to compare. Deadline sale and tender suit sellers who want a fixed decision date without the public theatre of an auction. Price by negotiation gives room to move and appeals to buyers who dislike deadlines.

The real question is not which is “best” but which fits your property and timeline. A unique home with a narrow buyer pool often does better with negotiation. A tidy family home in a sought-after street can thrive under competition.

Your Real Estate Listing Agreement Checklist

Use this checklist before signing. It is the fastest way to catch the gaps that cost sellers time and money.

• All sellers named on the title are listed as parties
• Property address and legal description match the record of title
• Listing price is supported by a written appraisal
• Pricing method and sale method are clearly stated
• Start date, end date, and listing period are filled in
• Commission rate, fees, and GST treatment are spelled out
• Marketing plan and advertising budget are itemised
• Marketing permissions and photography use are defined
• Chattels and fixtures included in the sale are listed
• Showings and access arrangements are agreed
• Protection period and post-expiry obligations are explained
• Cancellation and termination terms are clear

If any box is blank, ask why. A well-prepared agent will walk you through every line without hesitation.

Real Estate Agency Agreement Fees and Commission

Real estate agency agreement fees and commission are the numbers sellers scrutinise hardest, and rightly so. Commission is agreed in advance, and some agencies charge a flat fee instead. Either way, the agreement should state the amount or the rate, when it becomes payable, and whether GST is included.

Watch for the extras. Marketing costs, photography, signage, and advertising are often separate from commission. Ask whether these are charged upfront, deducted at settlement, or refunded if the property does not sell.

Payment terms matter too. Confirm in writing when commission falls due, such as when the sale becomes unconditional or at settlement. If you withdraw the listing early, some agreements still allow the agency to recover agreed marketing costs.

How Long Does a Real Estate Listing Agreement Last?

A real estate listing agreement runs for a fixed listing period, and the length is negotiable. The agreement must show a clear start date and end date. When the end date passes, the authority to sell under that agreement ends, subject to any protection period.

The listing period matters. A term that is too short may leave little time for the campaign, and one that is too long can be hard to exit. A review point built into the term lets you reassess the marketing if interest is slow.

Ask what happens at expiry. Does the agreement roll over automatically? Do you need to give written notice to end it? A surprising number of sellers assume the agreement simply stops, then find it renewed itself.

Agent Responsibilities and the Marketing Plan

The agent’s responsibilities should be written down, not implied. At minimum, expect the agreement to cover the agent’s duty to act in your best interests, present all offers, keep you informed, and follow the marketing plan you have approved. Anything vague here is worth tightening.

The marketing plan is where the agreement earns its keep. It should list the advertising channels, the photography and copy, the online listings, and the budget for each item. A plan that says “extensive marketing” tells you nothing. A plan that names the platforms and the spend tells you exactly what you are paying for. It also helps to review pricing and marketing strategies you can raise with your agent.

Marketing permissions belong here too. Confirm who owns the photography, whether your home can appear on social media, and how long the agency may use images of your property after the sale.

Seller Responsibilities, Disclosure and Property Condition

Sellers carry their own set of obligations. You must provide accurate information about the property, including known defects, permits, and any work done without consent. Withholding a known issue can unravel a sale and expose you to a claim later.

Disclosure is not about listing every scratch. It is about being honest on the matters a buyer would reasonably want to know: weathertightness, unconsented work, drainage, and any legal notices affecting the property. Your agent will help compile this, but the accuracy is ultimately yours.

Property condition matters during the campaign. Keep the home presentable, fix the small things, and make sure the section, fencing, and access are safe for viewings. A buyer who spots a problem during a showing starts negotiating before they make an offer.

Chattels, Fixtures, Whiteware and What Stays

The chattels list is one of the most overlooked parts of a listing agreement, and one of the most argued over at settlement. Chattels are the movable items included in the sale: whiteware, curtains, light fittings, garden equipment. Fixtures are attached to the property and generally stay unless agreed otherwise.

Book Appraisal →

Be specific. “Whiteware” is not a list. Name the oven, the dishwasher, the rangehood, the fridge if it stays. Note the heat pump, the garden shed, the clothesline. If something is excluded, say so clearly. A missing dishwasher that the buyer assumed was included is a dispute waiting to happen.

Walk through the property room by room and write down what stays and what goes. Give the list to your agent before the agreement is finalised so it can be attached and signed.

Showings, Property Access and Privacy Permissions

The agreement should spell out how showings work and how much access you are granting. Most sellers accept reasonable access for open homes and private viewings, but “reasonable” needs definition. Set viewing hours, notice periods, and any days you would rather not be disturbed.

Privacy matters here. Confirm whether the agency may film inside the property, use drone footage, or publish the floor plan. Ask how your personal details are handled and whether your name appears in online listings. These permissions should be explicit, not buried in general terms.

If you have tenants, access becomes more complicated. Tenants are entitled to proper notice, and the agreement should reflect the arrangements you have made with them.

Protection Periods and Post-Expiry Obligations

A protection period is the window after the agreement ends during which the agency can still claim commission if a buyer they introduced goes on to purchase. It exists to stop sellers cutting the agent out at the last minute, and it is legitimate, but the length and scope should be fair.

Ask how long the protection period runs and which buyers it covers. A well-drafted clause names the specific buyers the agency introduced, usually in writing at the end of the listing. A vague clause that covers “any buyer” for an extended period is worth pushing back on.

Post-expiry obligations can also include ongoing use of marketing materials or a requirement to notify the agency if you relist. Read this section carefully, because it can quietly extend the agency’s grip on your sale.

How to Cancel a Real Estate Agency Agreement

Cancelling a real estate agency agreement depends on what the contract says. Most agreements allow cancellation with written notice, but the timing and any costs depend on the terms you signed. Read the cancellation clause before you sign, not after you have lost confidence in the campaign.

If you want out, put it in writing and keep a copy. Confirm what happens to marketing costs already spent, whether commission is owed on any buyer already introduced, and when the authority to sell formally ends. A clean break needs a paper trail.

If the agency will not release you, seek advice on your options and the complaints process. Disputes over cancellation are easier to resolve when the agreement is clear from the start.

Resolving disputes with an agent

Amendments and Early Termination

Terms can be changed mid-campaign, but only by written agreement. If you want to adjust the listing price, extend the end date, or change the marketing budget, ask for a variation in writing and keep a signed copy. Verbal assurances from an agent are not enforceable.

Early termination usually requires written notice. Check whether the agreement specifies a notice period, often a set number of working days, and whether any marketing costs become immediately payable. Check whether the agreement allows termination without penalty, or whether the agency can recover agreed costs already spent.

A common pattern is a cancellation fee or a requirement to cover outstanding marketing invoices. Ask for a written breakdown before you give notice, so there are no surprises.

Dispute Resolution and Complaints

If a dispute arises, start with the agency’s internal complaints process. Ask the agency about its internal complaints process, and keep records of all communications. Keep records of all communications, including emails and written notices.

Disputes over commission, protection periods, or marketing costs are easier to resolve when the agreement was clear from the start.

Real Estate Authority complaints process

Red Flags to Check Before You Sign

Some clauses deserve a second look. A commission rate with no explanation of what it covers, a marketing budget with no itemisation, or a protection period that runs for months after expiry are all worth questioning.

Watch out for blank spaces. An agreement with gaps left for the agent to fill in later is not an agreement you control. Every field should be completed before you sign, and you should keep a signed copy.

Other warning signs include pressure to sign on the spot, an appraisal with no comparable sales behind it, and a listing period long enough to make you feel trapped.

The agreement is negotiable. The listing period, the commission structure, the marketing spend, and the protection period can all be discussed. You are hiring a professional, and the terms should reflect a fair deal for both sides.

Book an Appraisal and Get Your Agreement Reviewed

Before you sign anything, get a written appraisal and have the agreement explained line by line. That is the moment to ask the awkward questions about fees, protection periods, and what happens if the property does not sell.

At Big Mike, we help sellers understand exactly what they are signing. Our flat fee of $12,500 +gst keeps the commission structure transparent, backed by Arizto’s technology. With over 40 years of experience in the Mid-Canterbury and Auckland markets, expert negotiation, and access to off-market properties, we aim to make the agreement work for you.

Book an appraisal, and we will review your agreement with you before you commit. You can also see the appraisal and listing service we offer.

Frequently Asked Questions

What should a real estate listing agreement include?

A listing agreement should name the parties and the property address, set the listing price or pricing method, and state the start date, duration and end date. It needs the type of listing (exclusive or non-exclusive), the sale method, and the commission and fees with payment terms. Add agent responsibilities, the marketing plan, seller responsibilities and disclosure, chattels, access and privacy permissions, plus any protection period. Each clause should be readable and explained before you sign.

What fees and commission terms should I check in a listing agreement?

Check how commission is calculated, when it becomes payable, and whether it is a percentage or a flat fee. Look for marketing costs, photography, advertising and auction or tender expenses listed separately, plus any admin charges. Confirm what happens if you withdraw the listing or sell privately during the term. Ask for the total cost in writing before signing so there are no surprises at settlement.

How long does a real estate listing agreement last?

The length is set in the agreement itself, so there is no single standard. A typical listing period runs for a fixed number of weeks or months, with a clear start date and end date written into the contract. Read the duration clause carefully and check what happens at expiry, including any protection period that continues after the end date. If the term feels too long for your situation, negotiate it before signing.

Can I cancel a real estate agency agreement?

Yes, but the process depends on what the agreement says. Check the termination clause for notice periods, cancellation fees and any commission still owed if a buyer is introduced during the term. Put your cancellation in writing and keep a copy. If the agreement is silent or unclear, ask the agency for written confirmation of the exit terms before you act.

What is the difference between an exclusive and a non-exclusive listing?

An exclusive listing gives one agency the sole authority to sell your property for the agreed period, so all buyers go through them. A non-exclusive or open listing lets you list with more than one agency, or sell privately, while still paying commission to whichever agency brings the buyer. Exclusive listings usually come with a fuller marketing plan; non-exclusive ones give you more flexibility but less commitment from each agency.

What is a better offer clause or escape clause in a sale?

A better offer clause lets a seller accept a higher offer when an existing conditional contract is in place, provided the original buyer is given a chance to meet the new terms. An escape clause works the other way, letting a buyer exit if certain conditions are not met. Both belong in the sale and purchase agreement rather than the listing agreement, but ask your agent how they affect your listing strategy.

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Selling a home is one of the biggest financial decisions most people make, and the listing agreement is where that decision gets locked in. Big Mike brings 38+ years of Mid-Canterbury experience, a transparent flat fee of $12,500 +gst, and Arizto’s technology to every listing, so sellers get clear terms and a fair deal from the first conversation. Get started with Big Mike and sign your next agreement with confidence.