What does a listing agreement signify in real estate?

A listing agreement signifies a contract between a property owner and a broker, granting the broker the right to market and sell the property on behalf of the owner. This agreement establishes the terms under which the broker will operate, including the duration of the agreement, the commission to be paid upon the sale, and any specific conditions related to the listing.

In the context of real estate transactions, the listing agreement is a crucial document because it formalizes the relationship between the seller and the broker, ensuring that both parties understand their rights and obligations. It empowers the broker to represent the seller's interests, actively market the property, and facilitate negotiations with potential buyers.

The other options do not correctly describe the purpose of a listing agreement. For example, while a contract between a buyer and a lender involves financing arrangements, it does not pertain to the sale of a property. Additionally, a property management service contract would focus on managing rental properties rather than selling them. Lastly, a document outlining property tax assessments is unrelated to the selling process and does not involve a broker’s authority to sell. Therefore, the primary goal of a listing agreement is to enable a broker to effectively sell a property.