Pre-List Networking Caveats & Catches
In a super-tight, super fast Twin Cities housing market — at least at lower price rungs — aggressive, proactive Buyers’ agents are increasingly turning to pre-list networking to find ideas for their frustrated clients.
The catch?
Actually, there are three:
One. Price.
Especially in a rising market, at least a few pre-list Sellers are opting to raise their price before formally debuting on the market.
Can they do that?
As locals like to say, “you betcha!”
In fact, testing the price may have been why the listing agent was networking the home in the first place.
Two. Timetable. For every home that’s genuinely “one week away” or “on the market by the end of the month,” there’s another home (or three) that are delayed several weeks or months.
Or indefinitely.
Sometimes, the explanation is that needed home repairs or prep are taking longer than expected.
Alternatively, if the would-be Seller can’t find another home to buy, they may never formally put their home on the market (that happened last month with a pre-list home one of my Buyers was interested in).
Three. Condition/Home Features.
Once a home is officially on MLS, it’s usually apparent what the spec’s, style, and condition are.
That’s because MLS allows up to 24 photos, plus two fields — “Agent Remarks” and “Public Remarks” — for marketing info.
By contrast, info on pre-list networking is typically scant: an area or neighborhood but no address; only a few photos; and the most basic marketing verbiage.
For all those reasons, it’s important for home Buyers (and their agents) to have realistic expectations — and occasionally, a lot of patience — when it comes to pre-list networking.
See also, “Have a House/Need a House“; “FOBH and 2017 Housing Market“; and “(Too High) Noise-to-Signal Ratio: the Downside of Pre-List Networking (at least, for Buyers’ Agents).”
