When it comes to listing agreements, many real estate agents may be tempted to include an exclusivity clause that excludes potential buyers from the agreement. While this clause may seem like a good idea for protecting the agent`s commission, it can actually be harmful to both the seller and the agent`s reputation.
Excluding potential buyers from a listing agreement means that the agent is limiting the pool of potential buyers who can view and make an offer on the property. This can greatly reduce the chances of a successful sale, as it may take longer to find a buyer who is willing to pay the asking price. Additionally, it can make the property seem less desirable, as buyers may wonder why it is not listed on the open market.
Furthermore, an exclusivity clause can damage the agent`s reputation. In an age where online reviews are readily available, a dissatisfied buyer could easily leave a negative review detailing how they were excluded from a potential purchase. This can deter other potential clients from working with the agent in the future.
Overall, it is not recommended for agents to include an exclusivity clause in their listing agreements. It is important to prioritize the best interests of the seller and not the agent`s commission. By allowing all potential buyers to view and make an offer on the property, the agent is increasing the chances of a successful sale and keeping their reputation intact.