Which listing is a violation of NH license law?
Question & Answer
Review the question and all answer choices
Net Listing
Multiple Listing
Multiple Listing is a cooperative arrangement where participating brokers agree to share commission information. It's a legal and widely accepted practice that benefits sellers by exposing their property to a broader market of potential buyers.
Exclusive Agency
Exclusive Agency listing allows the seller to find their own buyer without paying a commission. This is a legal listing type that protects the seller's right to sell their property independently while still benefiting from broker marketing efforts.
Exclusive Right to Sell
Exclusive Right to Sell is the most common listing type where the broker earns a commission regardless of who finds the buyer. This is a fully legal and enforceable agreement in New Hampshire and most other states.
Why is this correct?
CORRECT_ANSWER: Net listings are prohibited in New Hampshire license law because they create a conflict of interest. In a net listing, the agent keeps any amount received above the seller's minimum price, incentivizing the agent to accept lower offers than might otherwise be negotiated.
Continue Learning
Explore this topic in different formats
More Practice of Real Estate Videos
Continue learning with related video lessons
What is the max civil penalty per violation in Minnesota?
2:52 • 0 views
If an auditor visits a broker's office in Ohio, how many years of records are required?
2:47 • 0 views
Is commingling legal in Mississippi?
2:50 • 0 views
Utah license law has three levels of licensure. What are they?
2:03 • 0 views
Georgia has real estate license reciprocity agreements with which states?
2:44 • 0 views
Ready to Ace Your Real Estate Exam?
Access 2,000+ free video lessons covering all 11 exam topics.