How much is that doggie in the window? How long has he been for sale?

By
Real Estate Broker/Owner with BROOKVIEW REALTY

How much is that doggie in the window? How long has he been for sale?

Why do we cage our seller in when we list their property on the MLS? Would our sellers bite us if they knew? I think they would bark if they read the listing and questioned us. I, as a REALTOR®, am tried of rolling over on this issue.Don't cage our sellers

The issue that I find harmful to our sellers is displaying their confidential days on market. The role of the REALTOR® is to work to promote the best interest of their client, the seller (Article 1 of the code of ethics). Is telling the buyer agent in an easy to calculate display, working to the best of our client? I think not. Our duty to the client is to obtain "top" dollar for them. The fiduciary duty is to our client, the seller. Without the seller, there would not be a MLS as we know it. (The "L" in MLS stands for listings.)

Do sellers know and understand that once their property is inputted into the MLS it starts a history? A history that is detrimental to them. Do we as listing Brokers, tell/explain this to sellers? In any market, buyers or sellers, the listing which has the best chance of selling is one that has NO history. This type of listing is known as a "virgin" listing, a property listing that has never been listed before on the MLS.

Do sellers of any other product, property or merchandise openly and freely disclose how long they have been trying to sell it? Do car sellers/dealers, does Macy's, does eBay, does the local pet store, and does the FSBO seller? DOM disclosure is not necessary as a FSBO. Perhaps sellers should remain a FSBO? If a seller tried selling FSBO before an agent listed it, should those DOM during the FSBO period be disclosed?

DOM is primarily a function of supply and demand. DOM is an artificial number. DOM is a flexible number. DOM is a magical number. It is a magical number which tells buyers if they should even look at the property, if it has a hidden problem and even how much a buyer should offer for it. DOM is NOT necessary in order for the buyer to make a decision. If this is/was crucial why don't we publish it on public and IDX websites?

DOM is a function of price.

DOM only works against the seller.

Why isn't the pending price that a seller accepted posted on the MLS? Why wait until the closing to reveal it?

Do sellers have a basis for a class action lawsuit against the MLS and listing Brokers?

Who's interest is the listing Broker working for? Theirs or their client, the seller?

 

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Rainer
160,181
Stefan Scholl
Buyer's Broker of Northern Michigan, LLC - Petoskey, MI
Northern Michigan Real Estate

David,

I cannot agree that DOM always works against a seller.  If a property legitimately has only been on the market for a brief period of time, that could certainly factor into a buyer's negotiating strategy. 

As for the gravamen of your argument, I simply don't believe it is the industry's job to conceal pertinent information from potential buyers.  I don't believe that it is the listing agent's job to try and pull the wool over a potential buyer's eyes.  To me, DOM is no different that assessed value.  It is a fact that cannot be avoided.

     

Mar 20, 2007 02:50 AM #1
Rainmaker
114,926
David Elya
BROOKVIEW REALTY - Rochester, MI
ABR, CRS, e-PRO, GRI, SFR - Broker

Stefan,

It appears that your response is being spoken from the buyers/buyer broker point of view. My post was to reaffirm the role of the listing broker, to promote the best interest of the seller, not the industry's job?

DOM IS different than assessed value. The listing agent is not pulling the wool over the eyes of the buyer by disclosing pertinent information/facts. These facts include location, size, number of bedrooms, number of baths, garage size, etc.

DOM is a number that can vary dramatically. DOM is not always a "true" fact. There are many ways to manipulate this number.

It's best to delete this field from all MLS listing displays, except for solds.

Mar 20, 2007 04:03 AM #2
Rainer
160,181
Stefan Scholl
Buyer's Broker of Northern Michigan, LLC - Petoskey, MI
Northern Michigan Real Estate

David,

You are correct about my perspective.  I guess my point is, why should the industry favor sellers over buyers?  I think that deleting this information would be a step in the wrong direction.  We are living in the information age.  People are demanding this information. 

Mar 20, 2007 06:20 AM #3
Rainer
79,029
Gary Smith
Agent Marketing Today - Commerce Township, MI

Dave,

Perhaps, I'm missing something. When you have your listing presentation are you informing the sellers that their information (DOM) will be available for other Realtors to see? If so, they have been informed and choose to have their product appear dated by not properly pricing the home. Agreed DOM can be manipulated, by switching agents.

As to other industries showing how long their products have been on the market, every retail establishment has sales, sometimes deep discount sales, on their products before the next years models arrive.

Mar 23, 2007 02:04 PM #4
Rainmaker
114,926
David Elya
BROOKVIEW REALTY - Rochester, MI
ABR, CRS, e-PRO, GRI, SFR - Broker

Gary,

You are not missing something. I do inform them of this. My point is that the MLS should ALWAYS work in the BEST interest of the listing broker's client, the SELLER. It is not a number that even needs to be posted or collected by the MLS. If the MLS wishes to display this information, AFTER the deals closes that's alright by me. My concern is that buyer brokers use this info as ammo against the seller to negotiate a lower price.

Your sales argument I don't follow. Are you suggesting that all industries post a new "tag" on their merchandise to inform the buyer how long the "widget" has been for sale?

Thanks,

Dave

Mar 23, 2007 02:43 PM #5
Rainmaker
114,926
David Elya
BROOKVIEW REALTY - Rochester, MI
ABR, CRS, e-PRO, GRI, SFR - Broker

Stefan,

The industry I am talking about is the MLS. Without SELLER'S listings, there would be no Buyer Brokers searching the MLS. The MLS should, by agency law and the REALTOR Code of Ethics, favor the seller.

Before buyer agency came about, the MLS's DOM was NOT harmful to sellers. All agents worked for the seller. What people are demanding this information? The seller or the buyer? My guess is that some buyers may feel this number is important.

 P.S. As a Buyer broker, when you sell your buyer a FSBO property, do you insist the seller certify their true DOM in writing? Is it necessary to know, or a just wondering number?

David

Mar 23, 2007 02:55 PM #6
Rainer
71,795
Rita Taylor
None - Sanford, NC
Sanford NC Real Estate - Homes for Sale in Sanford North Carolina

David,

     Car dealers don't tell you how long it has been on the lot but we always look inside the jamb of the front door at the manufacture date to figure it out.

What the heck does this have to do with your blog?  Well, if you remove DOM, good buyer's agents will do something similar - they KNOW how long most of the inventory in their target market has been on the market even if it doesn't show up on their computer screen.

Rita 

Mar 23, 2007 05:51 PM #7
Rainmaker
114,926
David Elya
BROOKVIEW REALTY - Rochester, MI
ABR, CRS, e-PRO, GRI, SFR - Broker

Read the newest post written by another Active Rain member on my favorite topic.

http://activerain.com/blogsview/263753/Does-DOM-matter-Or

 

Nov 06, 2007 12:53 PM #8
Rainer
20,641
Cari Pilon
RE:STYLE Home Staging - Brighton, MI
RE:STYLE Home Staging

Hi David,

When we purchased our home a few years back I loved it when the listing sheet somehow let me know how long the home had been on the market. I thought that it would give me power over the seller because I knew that their home had been lingering and that they were probably getting desperate to sell. I assumed that I would be able to get them to take a lower price.

It is a moot point in Michigan's market now, you could easily assume most listings have either been on the market a while or the seller must really have to sell if they are selling in our market.

If you didn't know the DOM, you can always tell by the trees in the online photos how long a homes been sitting there!

Nov 06, 2007 01:39 PM #9
Rainer
160,181
Stefan Scholl
Buyer's Broker of Northern Michigan, LLC - Petoskey, MI
Northern Michigan Real Estate

Great point, Cari.  In Northern Michigan, you can tell DOM on the waterfront properties when you see the lakes frozen over in the pictures, and it's still an active listing in November! :-)

 

 

Nov 06, 2007 02:15 PM #10
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Rainmaker
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David Elya

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