Pennsylvania Listing Agreement — What You Are Signing Before Your House Goes on the Market
The Pennsylvania Listing Contract — Exclusive Right to Sell Real Estate — is the contract that gives your real estate agent the legal authority to market and sell your home. Most sellers sign it at the kitchen table during the listing appointment, having never read it. It governs your relationship with your agent for the entire listing period, defines what your agent is owed and when, determines who controls the marketing, and specifies what happens if the house doesn't sell. Understanding what you are agreeing to before you sign protects you from surprises that are entirely avoidable.
This page explains every material paragraph of the Listing Contract — the PAR XLS form recommended and approved by the Pennsylvania Association of Realtors, Copyright 2025, revised July 2025 — so you understand exactly what you are committing to before your property goes on the market.
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Josh Wernick - REALTOR®
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The Opening — Broker, Licensee, and Seller
The listing contract opens with the broker company information and the specific licensee — the individual agent — who will represent you. The distinction matters: the broker is the company, the licensee is the person. Your relationship is with both — the broker holds the license and is legally responsible for the transaction; the licensee is the individual you work with day to day. The form also asks whether the seller currently has a listing contract for the property with another broker. If yes, signing a second listing contract creates a legal conflict that can result in owing commission to two brokers simultaneously. Never sign a listing agreement if an existing agreement is still active without first confirming the prior agreement has expired or been properly terminated in writing.
Paragraph 1 — Property and Listed Price
The property identification — address, municipality, county, school district, zoning, present use, currently occupied by, and the tax ID and parcel identification. The listed price is the price the property will be marketed at publicly. The listed price is not the same as the appraised value, the assessed value, or the price at which the seller must accept an offer. A seller can accept, counter, or reject any offer regardless of whether it meets the listed price. The listed price is a marketing decision, not a binding commitment to sell at that number.
Why municipality matters in Bucks and Montgomery County: Bucks County has 54 municipalities and Montgomery County has 62. The municipality determines the transfer tax rate, the U&O (Use and Occupancy) certificate requirement, and the zoning code that governs the property. An incorrectly identified municipality creates title problems and can delay or prevent settlement. I verify the municipality on every listing before the contract is signed.
Paragraph 2 — Term of the Listing Contract
The starting date and ending date of the listing. Pennsylvania law is explicit: no law or Association of Realtors has set or recommended the term of a listing contract — the term is negotiated between broker and seller. The contract starts when signed by both broker and seller unless otherwise stated. The contract ends at 11:59 PM on the ending date. By law, the term of a listing contract may not exceed one year. If the ending date written in the contract creates a term longer than one year, the ending date is automatically 364 days from the starting date.
The term negotiation sellers miss: The standard listing term in Pennsylvania is commonly 6 months — but 6 months is not required by law, not mandated by the Association, and not in the seller's best interest in all circumstances. A seller who wants to test the market for 90 days can negotiate a 90-day term. A seller who wants a full year can negotiate a year. The term is entirely negotiable. Never sign a listing agreement with a term you are uncomfortable with simply because it is presented as standard.
Paragraph 3 — Dual Agency
By signing the listing contract, the seller agrees that the broker and broker's licensees may also represent buyers of the property — making the broker a dual agent in that transaction. A broker is a dual agent when representing both buyer and seller in the same transaction. A licensee is a dual agent when representing both a buyer and seller. All of the broker's licensees are also dual agents unless there are separate Designated Agents for a buyer and seller. The seller understands that the broker is a dual agent when a buyer who is represented by the broker is viewing properties listed by the broker. This consent to dual agency is given by signing the listing contract — sellers who are uncomfortable with dual agency should address it before signing, not after.
Paragraph 4 — Designated Agency
Designated agency allows the broker to designate specific licensees to exclusively represent the seller's interests — separate from other licensees at the same company who may represent buyers. Designated agency is applicable unless checked off as not applicable. If the listing licensee is also acting as the buyer's agent in the same transaction — dual representing both sides — that licensee is a Dual Agent rather than a Designated Agent. The distinction matters because a Designated Agent has a fiduciary duty exclusively to one party; a Dual Agent has obligations to both.
Paragraph 5 — Broker's Fee
The compensation the seller agrees to pay the broker. No law or Association of Realtors has set or recommended the broker's fee — it is entirely negotiated between broker and seller. The fee is stated as a percentage of the purchase price, a flat dollar amount, whichever is greater, plus any additional flat dollar amounts agreed upon. A portion of the broker's fee may be earned and due — non-refundable — at the time of signing the listing contract. The remainder is earned at settlement on the purchase price.
The commission is negotiable — and has been since NAR's 2024 settlement: The August 2024 NAR settlement changed how buyer broker compensation works in Pennsylvania. Sellers are no longer required to offer buyer broker compensation through the MLS. Buyer broker compensation — if any — is now negotiated separately between buyers and their agents, documented in buyer representation agreements, and may or may not be contributed by sellers as a seller concession in the Agreement of Sale. Sellers should understand this distinction before signing a listing agreement and discuss how buyer broker compensation will be handled in their specific market before agreeing to any fee structure.
The broker's fee is also earned if: a ready, willing, and able buyer is produced at the listed price and terms, or any other price and terms accepted by the seller — even if settlement does not occur due to the seller's default. The fee is also earned if the property is sold, exchanged, leased, optioned, or otherwise transferred during the listing term or within a specified protection period after expiration — to any buyer who was introduced to the property during the listing term. This protection period clause is the most frequently misunderstood provision in the listing contract. Sellers who take their home off the market and sell privately to a buyer who saw it during the listing period typically still owe the broker's fee.
Paragraph 6 — MLS and Internet
Whether the property will be submitted to the Multiple Listing Service and the timeframe for submission. Pennsylvania allows sellers to request delayed MLS entry. Whether the property address will appear on the internet. Whether an automated valuation model may display on the same page as the listing. Whether consumer comments or reviews may appear. IDX participation — whether other agents' websites may display the listing. Whether virtual tours are authorized. The seller controls all of these choices.
Paragraph 7 — Lockbox
Whether a lockbox will be installed and what type — electronic or combination. The seller authorizes access by other agents and their clients when the seller is not present. The broker is not responsible for theft, vandalism, or damage that occurs during showings. Sellers who are uncomfortable with unaccompanied access should elect no lockbox — showings then require seller or agent presence for every showing.
Paragraph 8 — For Sale Sign
Whether a For Sale sign will be placed on the property. Whether a Sold sign will be placed after settlement. Sellers who live in HOA communities or historic districts with sign restrictions should verify sign rules before authorizing placement.
Paragraph 9 — Showings
Whether showings are authorized and any restrictions the seller wants to impose. Time restrictions, notice requirements, and showing method — accompanied or unaccompanied — are all controllable by the seller in this paragraph. Sellers who want 24-hour notice before showings state it here. Sellers who want all showings accompanied state it here.
Paragraph 10 — Offers
The seller's instructions for how offers are to be handled. Whether the listing agent is authorized to present all offers simultaneously or must present them in sequence. Whether the seller wants to be notified of the existence of competing offers. The seller's preference for offer presentation — in person, by email, or by other means. Instructions regarding back-up offers after an offer has been accepted.
Paragraph 11 — Home Warranty
Whether the seller will provide a home warranty to the buyer. The home warranty company, coverage, and cost. A home warranty is a marketing tool that can reduce buyer objections about aging systems and appliances — it does not alter disclosure requirements or substitute for inspection contingencies.
Paragraph 12 — Seller's Property Disclosure
Whether the seller will complete a Seller's Property Disclosure Statement. The listing contract references the seller's obligations under Pennsylvania's Real Estate Seller Disclosure Law and acknowledges that the seller must complete the SPD before a buyer signs an agreement of sale.
Paragraph 13 — Lead-Based Paint
For homes built before 1978 — the federal Lead-Based Paint Disclosure requirements. The seller must disclose known lead-based paint and lead-based paint hazards, provide any available records and reports, provide the EPA-approved pamphlet "Protect Your Family from Lead in Your Home," and give buyers 10 days to conduct a lead-based paint inspection before becoming obligated to purchase.
Paragraph 14 — Seller's Warranties and Representations
The seller warrants ownership of the property or authority to sell, that the property is not subject to any agreement that would prevent conveyance of marketable title, that the seller has disclosed all known material defects, and that all information provided to the broker is accurate to the best of the seller's knowledge. The seller agrees to maintain the property and inform the broker promptly of any change in the property's condition that would affect its marketability or value. The seller warrants that they are not in default under any mortgage, judgment, or other lien that would prevent conveyance.
What "authority to sell" means in practice: If the property is owned jointly — by spouses, siblings, or business partners — all owners must sign the listing contract and eventually the agreement of sale. One owner cannot bind the others. Estate properties, trust-held properties, and properties subject to power of attorney each have specific signature requirements. I identify ownership structure and required signatures before any listing goes active to prevent the closing-table disasters that arise from missing signatures.
Paragraph 15 — Broker's Obligations
The broker's specific obligations under the listing contract: to use good-faith efforts to find a buyer, to market the property as agreed, to present all offers promptly, to advise the seller of all material information the broker receives, to maintain confidentiality of the seller's motivations and circumstances, and to comply with all fair housing laws. The broker is obligated to present all offers to the seller regardless of whether they meet the listed price — sellers who instruct agents not to present below-list offers are legally exposing themselves to fair housing violations in certain circumstances.
Paragraph 16 — Fair Housing
The broker and seller agree to comply with all federal, state, and local fair housing laws prohibiting discrimination based on race, color, religion, sex, national origin, disability, familial status, and all other protected classes under Pennsylvania law. Pennsylvania's Human Relations Act adds additional protected classes beyond the federal Fair Housing Act — including ancestry and use of a guide or support animal. Sellers who attempt to direct marketing away from any protected class create liability for themselves and their broker.
Paragraph 17 — Seller's Obligations
The seller agrees to refer all inquiries about the property to the broker. The seller agrees not to negotiate directly with any buyer who was introduced to the property through the broker's marketing during the listing term. The seller agrees to cooperate with the broker in all aspects of the marketing and sale. The seller agrees to promptly inform the broker of any direct contact by prospective buyers. The seller agrees to maintain the property in showing condition and complete any agreed pre-listing repairs or improvements.
Paragraph 18 — Cooperation with Other Brokers
Whether the listing broker will cooperate with and compensate buyer's brokers. The specific compensation offered to buyer's brokers — if any — is stated in this paragraph. Following the NAR 2024 settlement, buyer broker compensation offered through the MLS has been decoupled from the seller's listing agreement in Pennsylvania — sellers are no longer required to offer buyer broker compensation through the MLS but may choose to do so as a seller concession. The cooperation and compensation terms stated in the listing contract govern what the listing broker offers to cooperating brokers who produce a buyer.
Paragraph 19 — Protection Period
After the listing contract expires, there is a protection period — specified in the contract — during which the broker is still entitled to a commission if the property is sold to any person to whom the property was shown or with whom the broker negotiated during the listing term. The protection period is one of the most financially significant provisions in the listing contract. A seller who lists with Agent A, the listing expires, the seller relists with Agent B, and sells to a buyer who was shown the property by Agent A during Agent A's listing term — may owe commission to both agents. I explain the protection period and its specific duration to every seller before signing.
Paragraph 20 — Cancellation
The conditions under which the listing contract may be cancelled before the ending date. A listing contract is a binding contract — neither party can unilaterally cancel it without cause. Cancellation typically requires mutual written agreement. If the broker fails to fulfill obligations under the listing contract, the seller may have grounds to cancel. If the seller materially breaches the listing contract — refusing to allow showings, withdrawing the property from the market without cause — the broker may have a claim for the earned commission or a portion of it.
Paragraph 21 — Mediation
All disputes arising from the listing contract — including commission disputes — must be submitted to mediation before legal action. Pennsylvania Association of Realtors mediation is conducted under established procedures with fees divided equally. Mediation is binding when both parties sign a mediation agreement. Legal proceedings may be initiated before mediation to stop statutes of limitations from expiring.
Paragraph 22 — Additional Provisions
Any additional terms negotiated between broker and seller that are not addressed in the pre-printed form — including specific marketing commitments, timeline agreements, price reduction schedules, or other arrangements specific to the property and transaction.
What Is Negotiable in the Pennsylvania Listing Agreement
Almost everything. The listing price, the commission, the term of the contract, the MLS submission timeline, the lockbox authorization, the showing instructions, the offer presentation protocol, whether a home warranty is offered, the protection period duration, and the cooperation and compensation offered to buyer's brokers are all negotiable. The pre-printed PAR form is a starting point — not a fixed agreement. Sellers who assume everything is standard and sign without reading are routinely surprised by provisions they did not understand. That surprise is always avoidable with a ten-minute conversation before the signature.
The Questions to Ask Before You Sign Any Pennsylvania Listing Agreement
What is the exact commission and when is it earned? What is the term and what happens if I need to extend or terminate early? What is the protection period after the listing expires? How will buyer broker compensation be handled post-NAR settlement? Will my property be in MLS immediately or is there a delay? Who else at your company might represent a buyer for my property? What specific marketing activities are you committing to? What are the showing instructions and how will I be notified of showings? These questions should have clear answers before any signature.
I Walk Through Every Line Before You Sign
The Pennsylvania Listing Agreement is a legally binding contract that commits you to a specific agent, a specific commission, and a specific term. Signing it without understanding what you are agreeing to creates obligations that are difficult and sometimes expensive to exit. I go through every paragraph with every seller before we sign — because a seller who understands the listing contract makes better decisions about price, timeline, and strategy than one who finds out about the protection period when they're trying to relist with someone else. Call 267-934-5674 before your listing appointment.
Josh Wernick - REALTOR®
· Named Top Agent — BestAgents.us · Luxury Homes Certified · Keller Williams Real Estate
FAQ — Pennsylvania Listing Agreement
What is the Pennsylvania Listing Agreement?
The Listing Contract — Exclusive Right to Sell Real Estate — is the legally binding contract between a home seller and a real estate broker that authorizes the broker to market and sell the property. The PAR form XLS is the standard form recommended by the Pennsylvania Association of Realtors, Copyright 2025, revised July 2025. It governs the relationship between seller and broker for the entire listing period, defines commission, establishes the term, addresses dual agency, and specifies the protection period after expiration.
Is the real estate commission negotiable in Pennsylvania?
Yes. No law or Association of Realtors has set or recommended the broker's fee in Pennsylvania. The commission is entirely negotiated between the seller and the broker. The PAR listing contract explicitly states this. Following the NAR 2024 settlement, buyer broker compensation is also negotiable and no longer required to be offered through the MLS as a condition of listing.
How long does a listing agreement last in Pennsylvania?
The term is negotiated between broker and seller — no law mandates any specific term. By Pennsylvania law, the term of a listing contract may not exceed one year. If the ending date written in the contract creates a term longer than one year, the ending date is automatically 364 days from the starting date. Common terms are 3 months, 6 months, or one year — but any term up to one year is permissible.
Can I cancel a listing agreement in Pennsylvania?
A listing agreement is a binding contract — neither party can unilaterally cancel without cause. Cancellation requires either mutual written agreement, a material breach by the broker that gives the seller grounds to terminate, or expiration of the contract term. Sellers who want the flexibility to cancel should negotiate specific cancellation terms before signing. A seller who withdraws the property from the market without cause typically still owes the broker's earned commission.
What is the protection period in a Pennsylvania listing agreement?
The protection period is the time after a listing contract expires during which the broker may still earn a commission if the property is sold to anyone who was shown the property or with whom the broker negotiated during the listing term. If you list with Agent A, the listing expires, you relist with Agent B, and sell to a buyer who was shown the property by Agent A — you may owe commission to both agents. The duration of the protection period is negotiated and stated in the listing contract.
What is dual agency in a Pennsylvania listing agreement?
By signing the listing contract, the seller consents to dual agency — the broker representing both the seller and a buyer in the same transaction. A broker is a dual agent when a buyer represented by the broker views a property listed by the same broker. Designated agency — where specific licensees exclusively represent each party — is the alternative that provides each party with dedicated representation. Designated agency is applicable unless specifically checked off as not applicable in Paragraph 4 of the listing contract.
What happens if my house doesn't sell during the listing period?
The listing contract expires at 11:59 PM on the ending date. After expiration, the seller is free to relist with a different broker — subject to the protection period provisions. If a buyer who was shown the property during the expired listing term purchases the property during the protection period, the original broker may still be owed a commission. After the protection period expires, the seller has no further obligation to the original broker.
Do I have to accept an offer at my listed price?
No. The listed price is a marketing price — not a binding commitment to sell at that amount. A seller can accept, counter, or reject any offer regardless of whether it meets the listed price. However, if the seller rejects a full-price, full-terms offer from a ready, willing, and able buyer, the broker may have earned their commission even if the sale does not occur — depending on the specific commission terms in the listing contract.
What changed in Pennsylvania listing agreements after the NAR 2024 settlement?
The NAR 2024 settlement changed how buyer broker compensation is handled. Sellers are no longer required to offer buyer broker compensation through the MLS as a condition of listing. Buyer broker compensation — if any seller concession is made — is now negotiated separately and documented in the Agreement of Sale as a seller concession toward buyer's costs. The listing contract's Paragraph 18 governing cooperation with other brokers reflects this change. Sellers should discuss how buyer broker compensation will be handled before signing any listing agreement.