What allows for a private offer of cooperation and compensation by listing brokers to other real estate brokers?

The Multiple Listing Service (MLS) is a cooperative system utilized by real estate brokers that allows for the sharing of listings among multiple parties. When a broker lists a property, they can offer incentives, such as a commission, to other brokers who bring buyers to the table. This reciprocal arrangement fosters collaboration and enhances the distribution of property information, enabling more comprehensive marketing.

By being part of the MLS, listing brokers can openly communicate offers of cooperation and compensation to other brokers, thus encouraging them to show and promote the listed properties. This is a substantial advantage for sellers as it broadens the pool of potential buyers, ultimately helping with quicker sales and potentially achieving better prices.

Other options lack this collaborative feature. Open houses are events for showcasing properties to the public but do not inherently facilitate the sharing of compensation across brokers. A broker's agreement typically pertains to the relationship between a broker and their client, focusing on the terms of service provided rather than cooperation with other brokers. A listing contract solidifies the arrangement between a seller and their broker but does not address the cooperative compensation element that the MLS specifically facilitates.