Home Selling in Lapeer>Question Details

Anna, Home Seller in Lapeer, MI

Can a home owner list on the MLS without a Real Estate agent?

Asked by Anna, Lapeer, MI Tue Aug 26, 2008

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10
Anna
Thank you for asking such a great question.
You have a couple of options we when you sell your home:
1. Sell it without professional representation (common referred to as "for sale by owner" or FSBO.
2. List it on the MLS with an MLS Entry Only broker. They typically charge a flat fee, then offer optional fees for other services. Because the listing is in the MLS you offer a commission to the buyer's agent (often termed SOC or selling office commission...confusing but that's the way it is)

The amount you are saving is the difference between the listing agent commission (usually the same as the commission offered to the buyer's agent, less the expenses paid to the MLS Entry Only broker and other marketing expenses.

3. You list it with a "limited service broker". Similar to a MLS Entry Only broker, "Limited Service" means that they offer more services than MLS Entry Only, offering a menu of services.

4. List it with a "Full Service" Broker. Typically they pay all marketing costs and provide all services needed at no additional charge.

Which way is best for you?

That depends.

I study my market constantly and can provide you with some insights:
Because you asked about MLS entry, I am assuming that you see the value to being in the MLS. Why? Because your listing would be noticed by Realtors, right? You are correct.

Each quarter I research the performance of the three types of brokers mentioned. These are the results of the last quarter (April to June).
Out of 1,166 listings sold, 10 were sold by either MLS Entry Only or Limited Service brokers.
This poses a challenge because with such a small market share listings get lost in the shuffle.

Of a larger concern is that listings fail to sell over 33% more often. So just because you list your home doesn't mean it will sell. We call those "expired listings". Out of 35 listings, 25 did not sell. For full service, out of 2,339, only 1,183 did not sell. A ratio of 102% to 250.

The other big problem is that when listings do sell, they sell for less. On average, listings sold by MLS Entry Only and Limited service brokers sell for 2% less than those sold by Full Service Brokers. (sold price compared to asking price within 30 days on the market)

The last big problem is timing. Listings sold by Limited Service and MLS Entry Only brokers take longer to sell, on average 25 days longer.

So based on my data, if you don't really need to sell, have time to kill, and money to burn , then you are set. OTOH, if you need to sell for top dollar, then you the only way to accomplish that is to use a Full Service Realtor.

My suggestion is for you to interview three Realtors, run the numbers and then you make the call.
2 votes Thank Flag Link Tue Aug 26, 2008
Keith Sorem, Real Estate Pro in Glendale, CA
MVP'08
Contact
GREAT QUESTION: No you can not MLS is held by the code of ethics and standards of realtors.
http://www.lynn911.com http://www.homes-for-sale-dallas.com
Web Reference: http://www.lynn911.com
2 votes Thank Flag Link Tue Aug 26, 2008
0 votes Thank Flag Link Fri Apr 25, 2014
Anna,

Just to add, while I agree with Keith, I do not know if he belongs to your area MLS. The numbers may be different for those listing and selling their homes. There are at least 10 MLS's in southeastern Michigan.

I suggest interviewing at least 3 agents and asking them about where your home will be marketed using each of the Listing Types described. (don't forget to make them prove your home will actually be on those sites after Listing)

If Full Service is not for you because you have marketing, negotiating, and contract experience then there are, other alternatives. I would make sure you read the fine print very carefully. Some companies offer to list your home for a non-refundable fee but require you to use their Title Company and other related services at a marked up price.

I suggest you shop around before signing any paperwork. The hot summer selling season is almost done, so you have time. I have a 50 page booklet "Who's the Best Person to Sell My House" and would be glad to send you a copy. The booklet walks you through 29 things to watch for when selling your home and provides a check list to use when choosing a Realtor(R). No obligation
Web Reference: http://mi-living.com
0 votes Thank Flag Link Wed Aug 27, 2008
I would be interested in your booklet "Who's the Best Person to Sell My House". Can you please send it via email to ndunker@jwrb.com

Thank you. Nancy
Flag Wed Oct 9, 2013
I agree Keith...great data and well put.
0 votes Thank Flag Link Tue Aug 26, 2008
Keith,that was a great answer!
0 votes Thank Flag Link Tue Aug 26, 2008
Our company offers a flexible commission plan we call our Menu of Services. For a low commission rate,we will get you on the MLS & put up a sign. All other activities & costs would be your responsibility. Not only do licensed agents have to adhere to very strict rules with the MLS,we have to pay a substantial subscription fee each year for the service. We are a major international company,not one of these MLS only agencies,but we do offer this. keep in mond,though,in real estate as with so many other things--you get what you pay for.
0 votes Thank Flag Link Tue Aug 26, 2008
Hello Anna. Listing can only be done with a real estate brokerage and once the home is listed, the broker will put it in the MLS as the MLS is for licensed real estate professionals only. As the others have already mentioned, if the sole purpose of your listing is to get your property advertised through the MLS, then you can list with a flat fee real estate brokerage. What that means is that you pay the listing brokerage a flat fee to put your house in the MLS and that's pretty much the only service you get. They will not represent you in a transaction with a buyer. If you want them to represent you, you have to pay extra (how much depends on the brokerage). The other very important thing you have to keep in mind is that you cannot get your house in the MLS without offering a commission to the agent who'll bring you a buyer as the MLS rules make paying a commission to the buyer's agent a condition of putting the property in the MLS. There's no set commission that you have to offer, but if you offer too little, you will most likely attract less showings. I hope this helps.
Web Reference: http://wwwTHEMLSHUB.com
0 votes Thank Flag Link Tue Aug 26, 2008
Ute Ferdig -…, Real Estate Pro in Newcastle, CA
MVP'08
Contact
No but you can list with a broker who is a fee for service. You take the risk by paying them upfront. Realtors take the risk by not getting paid until the home sells.
0 votes Thank Flag Link Tue Aug 26, 2008
I don't think so, thee are real estate company that will list your home for a nominal fee and let you do the work but they aren't very popular, at least not in Phoenix-AZ- Hope this helps. Maria Swan
0 votes Thank Flag Link Tue Aug 26, 2008
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