What is a "listing agreement"?

A listing agreement is essentially a formal contract established between a property owner and a real estate agent, which grants the agent the authority to sell the property on behalf of the owner. This contract outlines the terms of the agreement, including the duration of the listing, the sales price, and the commission that the agent will receive upon the successful sale of the property. It serves as a critical document in the real estate transaction process, ensuring that both parties understand their rights and obligations.

The other options do not accurately describe a listing agreement. For instance, an agreement between a bank and a buyer pertains more to financing and does not involve a property sale. A contract for rental property management services relates to managing rental properties rather than selling a property, and a legal document for property transfer refers to deeds or transfer documents that occur after a sale, rather than the arrangement to sell the property itself. Therefore, the correct answer focuses on the relationship established specifically for selling a property.