What characterizes a non-exclusive broker agreement?

A non-exclusive broker agreement is characterized by the flexibility it provides to the buyer in their choice of representation. Under this type of agreement, the buyer is allowed to work with multiple agents simultaneously. This means that if a buyer is interested in various properties, they can engage different brokers to help them, potentially increasing their options in the market.

The compensation structure in this scenario typically hinges on the concept of "procuring cause," which refers to the agent whose efforts directly lead to the successful transaction, such as the purchase of a property. This means that if the buyer ultimately purchases a property through one of the agents they are working with, that agent may be entitled to a commission based on their role in facilitating the sale. This arrangement fosters competition among brokers, as each one strives to secure the buyer's business.

The other options depict scenarios that are not aligned with the nature of non-exclusive agreements. For instance, requiring a buyer to work solely with one agent contradicts the essential feature of a non-exclusive arrangement. Also, the notion of a flat fee for the broker regardless of the sale does not apply; rather, commissions are earned based on successful transactions. Lastly, suggesting that the agreement becomes void if no property is purchased does not reflect the nature of