Knowing when to Hold them and knowing when to Fold them – when to walk away and when to run makes all of the difference in the world with Poker.
However, in real estate, it creates big issues for Sellers and other Buyers in a constrictive real estate market when the “hold do not show” game is being played.
You see, this is how it works. When a real estate agent takes a sellers listing, at that time, they should be discussing “exclusivity”.
Talking about how many buyers they may have for the sellers “specific” listing. Talking about that in order to save the seller some $$$ on commission – if their agent is representing both sides.
If the seller thinks that “exclusivity” may put them in an “uncomfortable place” by design – they can choose not to go that way and choose to have their “for sale’ home hit the Market to get the highest price possible.
Referencing “uncomfortable place” – The seller may think, “my agent already knows my bottom line, how do I know they aren’t going to tell their buyer?” They may also consider, “If my agent is representing the buyer on my home, could I have gotten more if I would had other agents present offers from their buyers also? Then have my Realtor counter everyone to increase their respective offering amounts?”
FYI – that countering “everyone” thing, is very prevalent today. What if the agent convinces the seller that “exclusive agency” is best? In that case, the property goes onto the market – within the Multiple Listing Service, the other agents don’t see the listing due to the directed agency parameter, and the other buyers in the world are not able to seek their “own separate” representation, with regard to that specific listing.
This is not a common way to sell homes today. Over 99% of the homes that are for sale are structured is this manner. They are placed onto the real estate ‘re sale’ market for all to see to get the highest possible price and the most reliable financing. Sellers know when buyers are out in droves and when inventory is low – this is their best option. click here to check on the Santa Clarita Inventory
Agent’s, knowing that the other agents don’t really think “exclusive agency” is Kosher – they play another game. They place the listing onto the market for sale and without their sellers knowledge, immediately put the listing in a “Hold do not show” status. They do this to have the listing populate the “syndication websites” as “active”, when it is not. They then work the listing for leads and their own buyer.
As a seller in today’s market, you may want to ask your agent if they are going to be doing this, or if they are going to be on your Team 100%….