What is a key feature of a net listing?

A net listing is designed to provide the seller with a specific amount of money from the sale of their property, known as the "net" proceeds. The key feature of this type of listing is that any amount received above the seller's predetermined net profit is considered the commission for the broker. This structure incentivizes the broker to sell the property for as much as possible while ensuring that the seller receives their desired amount.

In this arrangement, there is no fixed commission or percentage specified upfront; instead, the broker’s earnings are directly tied to the amount exceeding the net amount set by the seller. This can lead to potentially higher earnings for the broker if the property sells for a price significantly above the seller’s net.

Other choices describe different compensation structures or legal considerations that do not accurately capture the essence of how a net listing operates. The fixed fee mentioned would imply a more traditional listing relationship, while a percentage of the sale implies a standard commission structure typically seen in exclusive right-to-sell listings. Additionally, although net listings may be legal in some jurisdictions, they are regulated and not a requirement in most states, which makes the legal aspect less relevant compared to the commission structure highlighted in the correct answer.