Home Buying in 32827>Question Details

mgmitten, Home Buyer in Ponte Vedra, FL

De-listing a home vs. listing it as "Active with Contract" (And listed, de-listed, listed, de-listed.....what is going on?!)

Asked by mgmitten, Ponte Vedra, FL Fri Jun 7, 2013

Is it common for agents in Orlando to "Delist" a home instead of updating as "Pending Contract?" If so, why would they delist a home until both parties closed on the property? I am curious as to why I keep finding homes I am interested in that repeatedly say "de-listed" sometimes even multiple times (listed, de-listed, listed, de-listed....). Thank you!

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Sorry, I never heard of a section called de-listing section.

Active with Contract (AWC) is a great tool for both seller and buyer, long overdue. If you put a back-up offer in on a property you may get that house. If the house was pending you may never know the house was ever for sale. As a buyer you want the opportunity to view all properties of your choice and possibly take a chance with a backup offer on any property you like, AWC gives you that right.

In the past few years many of my closings were from back-up offers, a couple of them were in 3rd place and become the one to close. It’s not a waste of time to put in a back-up offer, it’s not a waste of time to let you the buyer decide if you want to put a backup offer in on a property.

My friend, writing offers is in our job description as real-estate agents, we proudly provide this level of service to you the buyer. If any real-estate agent doesn’t want to provide this service to you, they should be kind enough to refer you to another agent. One who will provide you with the level of service you deserve as a buyer.

An explanation / example of why AWC: today most buyer(s) contracts or offers coming to the seller(s) are wrote on the popular AS-IS contract, which clearly states the buyer(s) have many rights and outs to cancel the contract whereas the seller does not.

Sometimes incorrect agents or investors will write multiple offers just to tie up multiple properties keeping them off the market hoping one will stick. If the listing agent places the properties as pending, the properties will cease to exist for sale, and be out of sight from the mls and other websites. If you put them as AWC they will remain on the market until all contingences stated are removed. NOW! This allows you the buyer to say I like that house that’s AWC so let’s put a backup offer in. Especially with short sales where the bank may counter offer with a higher amount back and the first buyer walks. Or the buyer does not want to wait for an answer and walks, you now move into 1st position. Or the buyer doesn’t like the inspection results for any reason and cancels the existing contract or the loan fails, YOU the BACKUP OFFER wins!

I hope this helps you understand AWC just a little better.
http://www.orlandomike.com
2 votes Thank Flag Link Sat Jun 8, 2013
Thank you so much! This helps me a lot understanding everything! Thank you!!!
Flag Sat Jun 8, 2013
Thank you everyone in helping explain this! You've all been extremely helpful! Thank you!!!
1 vote Thank Flag Link Sat Jun 8, 2013
I agree with Doneva, and partially disagree with Michael. The main problem with AWC is the word Active. Its an oxymoron to say something is active it has a contract. Pending Third Party (PTP)should be the correct descriptor, people will understand that back-ups are still accepted. But AWC is conflictive with other websites that provide listing info and only recognize the first word of the status. Example Trulia shows all AWC homes as Active...very confusing for the average person. If AWC gets changed by MLS like Doneva mentioned it will be a welcomed change by many. Not eliminated, just labeled correctly.
1 vote Thank Flag Link Sat Jun 8, 2013
Antonio,
May 16, 2013 – A plan to protect online real estate data from third parties that steal the information was presented yesterday afternoon at an MLS Association.

Antonio, how can the listing agent be responsible for 3rd party vendors who steel and redirect our information. The public needs to be more aware of cyber theft. 3rd party’s vendors steel my photos my verbiage and sometimes redirect my web site. 3rd party internet companies sometime state that the agent on their site next to my listing and my verbiage is the expert for my listing. When in reality they never sold or listed a house in their life, or they live 25 miles away.
More agents and companies are going to be opting out of 3rd party sites or putting in a disclosure for the public to verify the listing company before calling for their own protection. The changes again will be hopefully soon because of the recklessness of some 3rd party vendors.
Flag Sun Jun 9, 2013
Thank you so much!
Flag Sat Jun 8, 2013
I think it's a "teaser" for unsuspecting buyers. Most times the original contract goes through and the new buyer has wasted precious time and energy hoping the original offer cancels and theirs is accepted.
I've never seen 'delist' but I have seen "contingent". It's all the same; the selling agent wants to entice buyers as either a prospecting tool or to get backups just in case the first contract falls apart.
I hope our board bans AWC soon, I had heard it was going to. If a buyer and seller go into contract it should go pending until it either closes or cancels. If a buyer's agent looks at pending listing in an area that they have a customer looking, a few phone calls or emails will let them know whether a back up may be in order.
1 vote Thank Flag Link Sat Jun 8, 2013
Thank you so much!
Flag Sat Jun 8, 2013
Completely agree with you. AWC was a mistake from the beginning.
Flag Sat Jun 8, 2013
I think you might have meant to say "Withdrawn". Mark is right *see below*
1 vote Thank Flag Link Sat Jun 8, 2013
Below section 14: is from the rule book so I copied for all to read.
Section 14: Active with Contract.
Definition: The status of Active with Contract indicates that there is a contract with contingencies and the owner will consider back-up offers. The listing broker must obtain written authorization from the owner to place a listing in the Active with Contract Status. Once all contingencies have been met, the listing status must be changed to “Pending” within two calendar days excluding weekends and Federally recognized holidays.
Listings may be placed in “Active with Contract” status if one or more of the contingencies below are met: Kick-out Clause, 1st Right of Refusal, Financing, Back-ups requested, Pending 3rd Party Approval,
Inspections, REO Waiting for Signatures, Other Contract Contingencies

The words “Under contract taking backups” must be added as the first words in the Public Remarks. An Active with Contract listing will be treated as an “Active” listing for export purposes only (example: Realtor.com and IDX websites) except if REO Waiting Signatures is selected as a contingency.

Antonio, I believe the definition is very clear to the public and to others when one reads the words
“Under contract taking backups”. If you come across (agent error) let them know by email. You may also go to ORRA’S site Broker to Broker. The last thing, my guess is you don’t like Jumbo Shrimp?
0 votes Thank Flag Link Sun Jun 9, 2013
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