It used to be that when your home went conditionally sold you had to mark the listing as “P” on the MLS system which meant there is a contract on the home and the home is pending or conditionally sold.. Some sellers felt that this was unfair and that they had a right to continue to market their home on the MLS until they had a firm purchase contract. As a result, this past Spring, the rules changed. Sellers no longer had to disclose their property as pending. This meant that unsuspecting buyers would see an “A” on the MLS system which means that a home is active and not under contract when in reality it may have been under contract. If asked, seller’s agents would have to disclose the conditional sale, but only if asked.
This new scenario made it very frustrating for buyers. Buyers felt they were being duped and many Realtors felt the same way. In early June this has brought about a new rule and designation for not reporting conditional sales. If a seller’s home is under contract and the seller does not want to disclose it, the listing will be marked “U”, basically meaning that the home is under a conditional contract, but this way it can continue to be marketed as for sale in the MLS system, otherwise the home will be marked “P” for pending. If you are unsure of a home’s status, ask your Realtor.
I hope this clears up some confusion on active homes on the MLS versus conditionally sold homes. Thanks for reading!
By Patrick Murray Join me on Google+