Exclusive vs None-Exclusive
Many Real Estate Agencies seem to feel the non-exclusive contract is to their benefit. It allows them, after all, to work with other agencies and freelance all they want on their own with no connection to the agency they have the non-exclusive contract with. For many, this may actually be a benefit. There is certainly nothing wrong with it and often times, for an agency, it is how they prefer to start out new investment opportunity. This creates a sort of "trial-period" under which both the future property and the agency may evaluate one another's relationship together.
A Real Estate agency who intends to invest a great deal of time and money in you will want to ensure that their investment is protected. This is business, even when the agent and the presumed property are the dearest of friends. Bills must usually be paid and overhead costs met. A Real Estate Agency, quite honestly, has a hard time making ends if they are not working hard all day long, every day, seven days a week. The payoff, of course, is when you find and develop (or sign) a major property contract agreement. At that point, for instance, a 6% commission off a property sale is divided in two by both Real Estate agencies. Furthermore, the contract that pays off can make an agency very comfortable financially/contract based.
In a "non-exclusive" contract, a future property investment is under less guidance and the agency may submit them, but generally is not breaking a major sweat to push them with a huge investment of time or resources. Just so this does not sound so bad, however, let me say that this does not imply the agency does not work hard for that property. A good agency will treat everyone equal and present all potential investment property opportunities to their potential clients, regardless of a signed contract type agreement.
In an "exclusive" contract, the agency has more control over decisions and in the meeting of specific objectives. Wherein a non-exclusive deal the undersigned property may be submitting for the same projects, or may have another agent doing this as well, in an exclusive agreement the agent has the upper hand and can better pitch you to the client because there is no confusion of possible multiple property projects. If you have two agents submitting the same property to you, it can not only become confused... but it can often times cost you the potential waste audition, twice go-see, confused considerations, or useless interviews.
This may depend upon the investment, the market, and the value they place (and trust) in their agent(s). EXCLUSIVE is, of course, more powerful and should be the objective (in each geographic area of coverage) of all potential property investments and of course, the property investment returns. If you sign non-exclusive, work hard to prove yourself so that the agent desires to capture more control and invest more time, effort, and financial costs into the furthering of your property offer.
Many exclusive contracts bind you in for certain duration... often times a year or up to three. To some agencies, this is good... though if a potential client wants to leave for whatever reason, there really is no value in holding them back based on the signed contract. Many clients have suffered by discovering that their agency has lost their interest, and yet they are bound contractually and cannot migrate to another estate. We opt to use a "30-days-no-fault-out" type clause in our exclusive contract. This allows the client to leave the estate after 30 days, with no questions asked, for any reason with the provision of a written 10-day notice. The 10 days, of course, it allows the estate to stop submitting and/or to continue for that month on any project they already have considerate for.
In conclusion... You must decide what works best for you. We hope that we helped you at least define some of the reasons and differences between the two contract agreements.