How often do you see on social media,
"I need a 4/2 in Hollywood subdivision...if you know of anything NOT in MLS."
The assumption can probably be made that the person posting the "need" actually means,
"I've exhausted MLS and what my client needs isn't there today."
If you happen to know of the exact property that's not on the market yet that fits that need you should consider the following before representing a seller to put that deal together outside MLS:
1. Are you considering the obligation of Article 1 Code of Ethics that requires promoting and protecting the seller's best interest? Is it in the seller's best interest to limit exposure to one buyer rather than to all buyers in an effort get the seller the highest price?
2. Are you advising the seller of the risks of limiting exposure to that one buyer and that doing so must be the seller's decision not the agent's?
3. Are you considering the obligation of MLS participation - that of the obligation to share all listings with cooperating brokers for the benefit of all?
4. Are you considering that if the sale occurs outside the MLS no Participants, appraisers, buyers or sellers will have the benefit of that sale as a potential comp, since "for comps only" cannot be included in the MLS? For a listing to be included in MLS, cooperation and compensation must be offered.
Exposure of property through the MLS serves the interests of sellers by compiling property information in an orderly manner and distributing it to MLS participants who have buyer clients actively seeking to purchase property. MLS also benefit consumers generally because they facilitate aggregation and evaluation of numerous factors that can affect a property's fair market value. MLS information facilitates the preparation of appraisals and CMAs. Sellers rely upon those valuations when setting listing prices; buyers use them when making offers to purchase. Those valuations are especially useful when they include information about comps, including sales prices, days on market and property condition. Withholding that market information from the MLS hinders consumers' ability to receive useful estimates of value.
A best practice for the agent who "knows of something" that fits the need of a another REALTORS�' client is to fly to the seller's house, explain that there is a market for his property, list it, expose it to the entire market, then contact the buyer's agent about the new listing.
The fifteen year-old program recognizes REALTORS� who are making an extraordinary impact on their community through volunteer work.
