Pocket listings?

[FormerOwner]

I have some questions for the realtors and other experts out there:

I lived in a rental house last year that ended up foreclosing. I got cash for keys and moved out. I drove by a couple weeks later and found that the listing agent for the bank was holding open houses and making a list of names of interested buyers. The house then went on the MLS and sold within 2 days – probably to one of the people on her list but I don’t know for sure. I suspect that she did it this way so that she could be both the listing AND selling agent and get double the commission. Is this ethical? Is it common?

Now, a year later, I’m looking to be a buyer myself and I’m getting VERY frustrated. I’m finding that most of the houses have multiple offers on them almost as soon as they hit the MLS. Is this because a lot of the REO agents are doing what I described above? If so, should I really be looking for open houses on newly foreclosed homes rather than new MLS listings?

[SD Realtor]

Yes it is common. Many times an asset disposition company is hired to dispose of the property. They assign the ;roperty to a brokerage. Before the brokerage gets a price from the dispostion company the property needs to be prepped for sale. Changing the locks, trash out, perhaps even cash for keys or evictions, etc… Many times the property is ready to sell before the price is given to the brokerage. In that timeframe (or even before so) there is nothing stopping the broker from marketting the home, even taking offers on it. Many times the sign goes up immediately after the broker has received the assignment from the disposition company. However the home cannot go on the MLS because there is no price yet.

Many disposition companies will ask the broker to keep the home on the MLS at least a few days. Some do not. Also yes there are brokers who cheat the system to double end the deal.

[SD Realtor]

Yes it is common. Many times an asset disposition company is hired to dispose of the property. They assign the ;roperty to a brokerage. Before the brokerage gets a price from the dispostion company the property needs to be prepped for sale. Changing the locks, trash out, perhaps even cash for keys or evictions, etc… Many times the property is ready to sell before the price is given to the brokerage. In that timeframe (or even before so) there is nothing stopping the broker from marketting the home, even taking offers on it. Many times the sign goes up immediately after the broker has received the assignment from the disposition company. However the home cannot go on the MLS because there is no price yet.

Many disposition companies will ask the broker to keep the home on the MLS at least a few days. Some do not. Also yes there are brokers who cheat the system to double end the deal.

[SD Realtor]

Yes it is common. Many times an asset disposition company is hired to dispose of the property. They assign the ;roperty to a brokerage. Before the brokerage gets a price from the dispostion company the property needs to be prepped for sale. Changing the locks, trash out, perhaps even cash for keys or evictions, etc… Many times the property is ready to sell before the price is given to the brokerage. In that timeframe (or even before so) there is nothing stopping the broker from marketting the home, even taking offers on it. Many times the sign goes up immediately after the broker has received the assignment from the disposition company. However the home cannot go on the MLS because there is no price yet.

Many disposition companies will ask the broker to keep the home on the MLS at least a few days. Some do not. Also yes there are brokers who cheat the system to double end the deal.

[SD Realtor]

Yes it is common. Many times an asset disposition company is hired to dispose of the property. They assign the ;roperty to a brokerage. Before the brokerage gets a price from the dispostion company the property needs to be prepped for sale. Changing the locks, trash out, perhaps even cash for keys or evictions, etc… Many times the property is ready to sell before the price is given to the brokerage. In that timeframe (or even before so) there is nothing stopping the broker from marketting the home, even taking offers on it. Many times the sign goes up immediately after the broker has received the assignment from the disposition company. However the home cannot go on the MLS because there is no price yet.

Many disposition companies will ask the broker to keep the home on the MLS at least a few days. Some do not. Also yes there are brokers who cheat the system to double end the deal.

[SD Realtor]

Yes it is common. Many times an asset disposition company is hired to dispose of the property. They assign the ;roperty to a brokerage. Before the brokerage gets a price from the dispostion company the property needs to be prepped for sale. Changing the locks, trash out, perhaps even cash for keys or evictions, etc… Many times the property is ready to sell before the price is given to the brokerage. In that timeframe (or even before so) there is nothing stopping the broker from marketting the home, even taking offers on it. Many times the sign goes up immediately after the broker has received the assignment from the disposition company. However the home cannot go on the MLS because there is no price yet.

Many disposition companies will ask the broker to keep the home on the MLS at least a few days. Some do not. Also yes there are brokers who cheat the system to double end the deal.

[bsrsharma]

cheat the system to double end the deal.,

Why do you call it cheating? If someone is planning to buy an REO and intentionally skips having a buyer’s agent (A low ball cash buyer), don’t you think the listing agent will expedite that buyers request and get him the deal (compared to some one coming through a buyer’s agent). If one is smart enough to buy an REO, I think they should deal with just one agent to get the lowest price.

[bsrsharma]

cheat the system to double end the deal.,

Why do you call it cheating? If someone is planning to buy an REO and intentionally skips having a buyer’s agent (A low ball cash buyer), don’t you think the listing agent will expedite that buyers request and get him the deal (compared to some one coming through a buyer’s agent). If one is smart enough to buy an REO, I think they should deal with just one agent to get the lowest price.

[bsrsharma]

cheat the system to double end the deal.,

Why do you call it cheating? If someone is planning to buy an REO and intentionally skips having a buyer’s agent (A low ball cash buyer), don’t you think the listing agent will expedite that buyers request and get him the deal (compared to some one coming through a buyer’s agent). If one is smart enough to buy an REO, I think they should deal with just one agent to get the lowest price.

[bsrsharma]

cheat the system to double end the deal.,

Why do you call it cheating? If someone is planning to buy an REO and intentionally skips having a buyer’s agent (A low ball cash buyer), don’t you think the listing agent will expedite that buyers request and get him the deal (compared to some one coming through a buyer’s agent). If one is smart enough to buy an REO, I think they should deal with just one agent to get the lowest price.

[bsrsharma]

cheat the system to double end the deal.,

Why do you call it cheating? If someone is planning to buy an REO and intentionally skips having a buyer’s agent (A low ball cash buyer), don’t you think the listing agent will expedite that buyers request and get him the deal (compared to some one coming through a buyer’s agent). If one is smart enough to buy an REO, I think they should deal with just one agent to get the lowest price.

[SD Realtor]

I call it cheating because in some situations they are not getting the top dollar for thier client the bank.

It has nothing to do with the buyer. If I have 5 days to get a buyer for a property I can gaurantee you I will get more buyers and a higher price by putting it on the MLS then not. The higher price in most cases will surpass the coop commission.

[SD Realtor]

I call it cheating because in some situations they are not getting the top dollar for thier client the bank.

It has nothing to do with the buyer. If I have 5 days to get a buyer for a property I can gaurantee you I will get more buyers and a higher price by putting it on the MLS then not. The higher price in most cases will surpass the coop commission.

[SD Realtor]

I call it cheating because in some situations they are not getting the top dollar for thier client the bank.

It has nothing to do with the buyer. If I have 5 days to get a buyer for a property I can gaurantee you I will get more buyers and a higher price by putting it on the MLS then not. The higher price in most cases will surpass the coop commission.

[SD Realtor]

I call it cheating because in some situations they are not getting the top dollar for thier client the bank.

It has nothing to do with the buyer. If I have 5 days to get a buyer for a property I can gaurantee you I will get more buyers and a higher price by putting it on the MLS then not. The higher price in most cases will surpass the coop commission.

[Author]

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