Alaska License LawIntermediateAlaska Exam
Which of the following BEST describes 'net listing' in Alaska?
AA listing where the broker's commission is a fixed flat fee
BA listing where the broker receives all amounts above a seller's specified net price as commissionCorrect
CA listing on the Multiple Listing Service
DAn exclusive agency listing with a defined commission percentage, as is typical in most transactions
Why A listing where the broker receives all amounts above a seller's specified net price as commission Is Correct
Answer B: A listing where the broker receives all amounts above a seller's specified net price as commission
A net listing pays the broker any amount above the seller's set minimum. Net listings are considered unethical and are legal but strongly discouraged or heavily regulated in many states because they create a conflict of interest.
Key Alaska License Law Terms in This Question
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Key Terms to Know
Agency
A legal relationship in which a licensee (agent) acts on behalf of a principal (buyer or seller) in a real estate transaction.
Fiduciary DutyThe highest legal duty an agent owes to a principal — requiring the agent to act in the principal's best interest above all others.
Option ContractA contract giving the buyer the right, but not the obligation, to purchase a property at a specified price within a specified time period.
Loan-to-Value Ratio (LTV)The ratio of a mortgage loan amount to the appraised value or purchase price of a property, expressed as a percentage.
Math Concepts
State-Specific Concepts
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