The Multiple Listing Service (MLS) is a centralized online database that allows real estate agents, buyers, and sellers to search for current properties for sale. Thanks to advances in technology, many real estate buyers and sellers have access to the various MLS systems throughout the country via feeds to websites such as LiveSouthFloridaRealty.com and smartphone property search apps like the Florida Home Search App! With this said, it is important for real estate agents and their clients to have a good understanding of the various statuses in the MLS. Below we explain some common statuses that will be shown.
Common listing statuses in the MLS
- Active listing: This is likely the status that you may be the most familiar with. An active listing is a listing that is available to purchase. Once a contract has been signed for a property, real estate agents are required to change the status.
- Contingent listing: This status applies to a sale that is conditional and therefore is based on something that may or may not happen. The 3 most common contingencies found in real estate contracts include: 1.) home inspection contingency; 2.) appraisal contingency; 3.) mortgage financing contingency.
- Pending listing: This status typically means that a formal offer to purchase has been ratified by both the buyer and seller. In many markets, a listing is moved from contingent to pending once all the contingencies in the contract have been satisfied. Typically, a home that has been moved to pending status is less likely to fall through. However, a significant event such as a job loss for the buyer prior to closing could cause the sale to be terminated.
- Back on market: From time to time a contact for a home purchase will fall through and be cancelled. Reasons for this can be an unacceptable home inspection, a loan issue, appraisal issue, or other reasons. When this happens, the property’s status will change to “Back on Market”.
- Withdrawn listing: This status reflects a seller that has had a change of mind and no longer wishes to sell their home.
- Expired listing: An expired listing is when the contract between the seller and the listing agent is no longer active. Listing agreements between real estate agents and sellers may vary in length. Most often, listing agreements are in effect for six months or so.
- Cancelled listing: A cancelled listing is typically the result of the seller and listing agent deciding to no longer do business together. The reasons for this may vary greatly.
- Sold listing: Most people are quite familiar with this status. In a sold listing, the buyer and seller have completed the transaction and the deed has been properly recorded. Oftentimes, sold listings or closed sales, are referred to when conducting a comparative market analysis when pricing a home to sell.
The listing statuses discussed above are the most common that you will see in your market. As always, it is important for buyers and sellers to be knowledgeable with this terminology. Of course, your real estate agent should be quite familiar with these terms and how to interpret them. If you are in the South Florida area, our team of agents at Live South Florida Realty, Inc. can assist you! Be sure to contact us today! Don’t forget to download the free Florida Home Search App as well.