Quote:
Originally Posted by udelslayer
Sorry for being dumb, but how does this change anything for buyers? Are only certain parties allowed to buy a house in the coming soon period? I think coming soon should be banned altogether in a market like this.
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What has been more tightly regulated, as it stands now:
So, the agent gets a signed listing agreement on a Friday.
Has 2 weekend days and 1 business day to enter the listing into the MLS, by current rules.
(Up to a couple of years ago, that 1 business day was 2 business days.) Alternatively, the agent and seller can agree on a "Delayed Marketing Date" at any point in the future, but the agent cannot spread the word in any way, no sign, no Facebook, Instagram, etc.
Slaps up a sign on Friday and spreads the word in limited fashion, via social media and to favored agents and/or coworkers. So, favored people get first crack.
An Offer comes in that looks pretty dang good. Seller bites on it.
Seller did not benefit from full exposure to the broad market, as many qualified buyers as possible. That was not done. Seller may have missed out on a superior offer. Buyers are exhausted, because too often the first time they see the listing on their IDX feed from their agent or their chosen syndicator, it is Under Contract. Buyers want a clearer perception of fairness.
Of course, Coming Soon should not be banned.
It is merely 30 days or less of public marketing prior to showing. Eliminating it would only drive the cheaters to expose the property even less to market, by talking it up privately, as was done in the past.
But, as I said, tightening up the standards for that status is long overdue.
Now, consumers have contributed to a bit of the current mess, looking for silly fast fast fast sales, and with hangups about the relevance of list price.
If agents suggest low prices, so all offers are over list price
(which is totally irrelevant in the greater scheme of things) and the contract is done before the listing goes active, the agents can brag, "Sold in 0 Days." You can't beat that, and in too many minds, it is infinitely better than "Sold in 3 Days."
(Heck, I can remember agents bragging about "Sold in 50 days.)
3 or 4 years ago, I told one of the head staff in compliance at TMLS that DOM clock should start to tick as soon as the sign goes up.
And I described the 2 business days and weekend dynamic as outlined above. She said, "Well. At some point, you have to put a little hope for agents to act ethically."
We see how THAT worked out.
As Nick and I agree, we will always have cheaters and self-dealers. They will always connive how to "get around" any rules.
This just pulls in the margins of practices a bit tighter.
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