If you’re in the real estate industry, you’re likely familiar with the Multiple Listing Service or MLS for short.
The Multiple Listing Service is a centralized online database that allows real estate agents, buyers, and sellers to search for current properties for sale.
Not only can you look for available properties for sale but can also see homes that have sold and properties that have gone under contract.
Where it can become confusing for consumers is trying to dissect all of the different MLS listing statuses.
As real estate agents, we often forget that buyers and sellers do know our business inside and out like we do. Without proper explanation, the listing statuses we take for granted can be confusing.
Let’s look at some of the most common listing statuses and their meanings.
What are the different statuses of a property on the MLS?
New listing: A new listing is one that has just been listed for sale. The “new” status will often remain for a few days before it turns to active in the MLS.
Active listing: An active listing is one that is available to purchase. Real Estate agents are required to change listings in the MLS to a different status when a contract has been signed by a buyer and seller.
Contingent listing: A contingent listing is one where a buyer and seller have signed a purchase agreement. There are certain contingencies that need to be met before the status will change. Some of the common contingencies in real estate contracts are the home inspection, appraisal, and mortgage financing contingencies.
Buyers often ask if they can put an offer on a contingent home. They can as a backup.
Pending listing: A pending listing status is usually reserved for properties who’s contingencies have been satisfied. For example, the buyer has completed their home inspection without issue and has received their mortgage commitment letter.
Pricing change listing: A price change listing is just like it sounds. The seller has reduced the price of their home. It will be reflected as such in the MLS for a short period of time.
An extended listing: The standard listing contract between a seller and a real estate agent will be an exclusive right to sell agreement.
At times, an agent has not sold the home before the contract time frame has ended. When a seller wishes to continue the relationship with the agent, the listing will be extended for a specified time period.
Back on market listing: unfortunately in real estate sales sometimes fall through. Maybe the home inspection did not go so well? Whatever the reason, homes come back on the market. When they do the listing status will say back on market.
Withdrawn Listing: a withdrawn listing is one in which the seller has decided they no longer wish to sell their home. It is possible they were not able to obtain their desired price or some other change took place in their life. It could be any number of reasons.
When a home has been withdrawn from the multiple listing service, the contract is still in force with the current real estate agent.
Expired listing: an expired listing is one in which the contract between the listing agent and the home seller is no longer active.
The contract has ended and other agents are allowed to contact the owner to solicit their business. When there is an expired listing the seller and their agent were not successful in moving the property.
Canceled listing: A canceled listing is one in which either the seller of the real estate agent no longer wish to do business with one another. It could be as simple as the seller no longer being interested in selling their property.
Sold listing: A sold listing is just like it sounds. The buyer and seller have completed the transaction and the deed has been recorded at the registry of deeds.
While these are the most common listing statuses, there could certainly be others in different parts of the country. For example, one status you might see is a kick-out clause listing.
It is essential for real estate agents to remember that buyers and sellers don’t necessarily know all the common listing statuses. Explaining how they work can be a valuable exercise.
The Multiple Listing Service in Real Estate is a valuable resource for people in the real estate industry. It can help you to find the property that you’re looking for, and it can also help you to stay up-to-date on the properties that are still for sale.