MLS

Multiple Listing Service (MLS): When is a For Sale By Owner (FSBO) no longer a FSBO?

Especially this time of year home Sellers and home Buyers are inundated with information on where and how to list and search for a home. Frequently you see ads, like I did just this week, promoting selling your home as a FSBO. This particular ad stated for a fee I’m able to enlist the services of a broker to list my house as a FSBO and gain access to the Multiple Listing Service (MLS).

My first question, am I still a FSBO when I agree be listed on MLS and I’m forced to pay a commission to the Selling agent?

According to the contributors at Wikipedia a For Sale By Owner, or FSBO (pron.: /ˈfɪzb/), is the process of selling real estate without the representation of a real estate broker or real estate agent. Homeowners may employ the services of marketing or online listing companies or market their own property but do not pay a commission and represent themselves with the help of a lawyer or Solicitor throughout the sale.”

As defined by Real Estate Fundamentals, a study book to help prepare individuals to successfully pass the real estate exam, “Multiple Listing Service ( MLS) is a marketing organization composed of member brokers who agree to share their listing agreements with one another in the hope of procuring a buyer for their property” …….the carrot for the Selling agent or Buyer agent is the commission offered by the Listing agent to be paid at closing. If no commission is offered the house will not sell using the MLS.

Therefore it stands to reason, according to the above definitions, if I’m using a broker to list my FSBO home on MLS and as a direct consequence I’m forced to pay a commission, I’m not a FSBO.

Hence the above broker that advertises to represent me as a FSBO is really a “Wolf in Sheep’s Clothing”. I scratch my head and question is the broker guilty of deceptive practices. The broker has either performed a bait and switch or is attempting to exploit the unknowing FSBO seller.

If your intention is to be a FSBO be careful this time of year and in this market. There are many unscrupulous wolves (brokers) waiting to feed upon your home equity.

I assure you, in 2014, it is possible to sell your home as a FSBO without posting it to MLS.

 

Donald Van Dyne is THE FSBO ADVOCATE. He is also a licensed real estate agent in the Commonwealth of Massachusetts and the principal at JABIN Software, the developer of the iGOfsbo system. Donald is a seasoned entrepreneur and has over twenty years of experience owning and operating businesses.  For the last twelve years his focus has been in real estate sales, real estate development and property management. Donald can be reached at 978.250.FSBO (3726) or dvdjr@igofsbo.com. To check out the Evolution of Real Estate Sales & Marketing please visit us at iGOfsbo.com.

 

NO Multiple Listing Service (MLS) Required: Everybody Wins

As a Seller interviewing a potential REAL ESTATE LISTING AGENT you should ask the following questions-

How important is the MLS to your success?

Can you sell my home WITHOUT posting it to MLS?

Can we try?

 

Let’s say Mr./Ms. Real Estate Listing Agent we try to sell my home directly to the Home Buyer and forgo using a third party Seller/Buyer agent and the closed broker network system of the MLS.

In addition, I only want to pay you a fixed fee of $7,000 to sell my $400,000 home.  Yes, I realize using the traditional commission broker model I would pay $20,000, but how much of that commission pie (money) do you really get to keep after desk charges and other associated fees?

Don’t you think my offer is more than fair to you? And to me? I think my suggestion is a WIN-WIN for us both. You get to put more money in your pocket and I get to SAVE money ($13,000) compared to using the traditional broker commission model.

The best part is you still get to shine and use all your sales and marketing skills (outside of MLS) to sell my home and show me (the Home Seller) how good you really are.

So Mr./Ms. Real Estate Listing Agent can you do it, can you sell my home without posting it to MLS?

Then we both can be WINNERS!

 

Donald Van Dyne is THE FSBO ADVOCATE. He is also a licensed real estate agent in the Commonwealth of Massachusetts and the principal at JABIN Software, the developer of the iGOfsbo system. Donald is a seasoned entrepreneur and has over twenty years of experience owning and operating businesses.  For the last twelve years his focus has been in real estate sales, real estate development and property management. Donald can be reached at 978.250.FSBO (3726) or dvdjr@igofsbo.com. To check out the Evolution of Real Estate Sales & Marketing please visit us at iGOfsbo.com.

 

MLS: A Private Network for Brokers Only

Everyday home Sellers are told by an overzealous Traditional listing Broker that what they need is for their home to be posted to the Multiple Listing Service (MLS) which, in their opinion, is the best way to market and sell a home.  But what exactly is the illusive MLS?

The MLS is a restricted website for Brokers and Agents only. Chiefly it discloses the commission and compensation paid to Brokers to transact real estate on behalf of the Seller.

According to the National Association of Realtors (NAR) its members have spent millions of dollars to develop more than 800 fractured Multiple Listing Services. Using the MLS, a traditional listing real estate broker will post a Seller’s home in hopes that another traditional real estate broker will collaborate. Invariably the most important listing detail is how much of a commission is being offered. The greater the commission the greater the chance another Broker will cooperate and the home will sell.

Therefore MLS is nothing more than a private listing catalogue created by Brokers and for Brokers to transact third party real property to the exclusion of the Home Buyer and Home Seller. Further, the MLS is never accessible to the For Sale By Owner (FSBO) Seller that is unwilling to pay a real estate broker commission.

In the 21st century the power of the real estate broker to control listing information has been radically diluted by technology; mainly the internet. Consequently, it is just a matter of time until the home Buyer and home Seller recognize the traditional commission model is an antiquated model and only works for the spoils of the real estate Broker.

The evolution of real estate is now.

Donald Van Dyne is THE FSBO ADVOCATE. He is also a licensed real estate agent in the Commonwealth of Massachusetts and the principal at JABIN Software, the developer of the iGOfsbo system. Donald is a seasoned entrepreneur and has over twenty years of experience owning and operating businesses.  For the last twelve years his focus has been in real estate sales, real estate development and property management. Donald can be reached at 978.250.FSBO (3726) or dvdjr@igofsbo.com. To check out the Evolution of Real Estate Sales & Marketing please visit us at iGOfsbo.com.